Nexstar Media Group (NXST - Free Report) shares have gained 4.4% in the year-to-date period, outperforming the Zacks Consumer Discretionary sector’s growth of 3%. The company delivered adjusted earnings of $3.32 per share for the fourth quarter of 2023, which declined 58.7% year over year.
Revenues of $1.3 billion decreased 12.3% year over year, owing to a decrease in Political Advertising Revenues.
Segment Details
Core Advertising revenues (34.4% of total revenues) of $449 million decreased 5.9% year over year due to continued softness in the advertising market. Political Advertising revenues (2.3% of total revenues) totaled $30 million in the reported quarter, which decreased 88.7% year over year due to the lack of material election activity in odd years.
Distribution revenues (54% of total revenues) of $704 million increased 14.3% year over year, driven by the renewal of the substantial majority of distribution agreements in 2022 and 2023 on improved terms and annual rate escalators.
Digital revenues (8% of total revenues) of $106 million plunged 5.4% year over year, primarily impacted by weakness in national digital advertising, partially offset by year-over-year increases in Nexstar’s local digital advertising revenues and agency services business and ecommerce. Other revenues (1.1% of total revenues) of $15 million decreased 6.3% year over year.
Operating Details
In the fourth quarter, total operating expenses decreased 10% year over year to $1.07 billion.
Adjusted EBITDA decreased 31.3% year over year to $411 million.
Balance Sheet
As of Dec 31, 2023, Nexstar had unrestricted cash of $135 million compared with $150 million as of Sep 30.
Total consolidated debt, as of Dec 31, 2023, was $6.84 billion compared with a total debt of $6.87 billion as of Sep 30.
Guidance
For full-year 2024, the company provided adjusted EBITDA guidance of $2.085 billion to $2.195 billion.
With the extra cash expected to come in the political year, the company plans to repay a portion of its debt, while continuing to use the rest of the cash for dividends and repurchases.
(We are reissuing this article to correct a mistake. The original article, issued on February 28, 2024, should no longer be relied upon.)
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Nexstar Media Group (NXST - Free Report) shares have gained 4.4% in the year-to-date period, outperforming the Zacks Consumer Discretionary sector’s growth of 3%. The company delivered adjusted earnings of $3.32 per share for the fourth quarter of 2023, which declined 58.7% year over year.
Revenues of $1.3 billion decreased 12.3% year over year, owing to a decrease in Political Advertising Revenues.
Segment Details
Core Advertising revenues (34.4% of total revenues) of $449 million decreased 5.9% year over year due to continued softness in the advertising market. Political Advertising revenues (2.3% of total revenues) totaled $30 million in the reported quarter, which decreased 88.7% year over year due to the lack of material election activity in odd years.
Distribution revenues (54% of total revenues) of $704 million increased 14.3% year over year, driven by the renewal of the substantial majority of distribution agreements in 2022 and 2023 on improved terms and annual rate escalators.
Digital revenues (8% of total revenues) of $106 million plunged 5.4% year over year, primarily impacted by weakness in national digital advertising, partially offset by year-over-year increases in Nexstar’s local digital advertising revenues and agency services business and ecommerce. Other revenues (1.1% of total revenues) of $15 million decreased 6.3% year over year.
Operating Details
In the fourth quarter, total operating expenses decreased 10% year over year to $1.07 billion.
Adjusted EBITDA decreased 31.3% year over year to $411 million.
Balance Sheet
As of Dec 31, 2023, Nexstar had unrestricted cash of $135 million compared with $150 million as of Sep 30.
Total consolidated debt, as of Dec 31, 2023, was $6.84 billion compared with a total debt of $6.87 billion as of Sep 30.
Guidance
For full-year 2024, the company provided adjusted EBITDA guidance of $2.085 billion to $2.195 billion.
With the extra cash expected to come in the political year, the company plans to repay a portion of its debt, while continuing to use the rest of the cash for dividends and repurchases.
(We are reissuing this article to correct a mistake. The original article, issued on February 28, 2024, should no longer be relied upon.)
Zacks Names #1 Semiconductor Stock
It's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.
With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.
See This Stock Now for Free >>
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