Variety: The CW Narrows Losses by $33 Million in Q2 as Nexstar Ad Sales Tick Up 2%

Story from Variety:

Nexstar reported its second-quarter 2024 earnings Thursday, revealing that the CW Network has narrowed its losses by $33 million.

Additionally, the TV station group giant saw its ad sales for the April 1-June 30 quarter inch up 2.2% from Q2 of 2023 ($522 million vs. $511 million). Nexstar says that includes a $37 million year-over-year rise in political advertising to $45 million ahead of the November presidential election between Vice President Kamala Harris and former President Donald Trump. However, there was a $24 million drop in non-political ad sales.

Distribution revenue was up 5.5% for Q2 at $734 million.

Nexstar’s net income rose 41.3% to $106 million. Free cash flow stood at $78 million.

Wall Street forecast earnings per share (EPS) of $4.17 on $1.3 billion in revenue, according to analyst consensus data provided by LSEG, formerly Refinitiv. Nexstar reported diluted EPS of $3.54 on $1.27 billion in revenue.

“Nexstar delivered another period of solid financial results, building on our strong start to the year,” Nexstar CEO Perry Sook said in a letter to shareholders. “Following a first quarter in which Nexstar generated record first-quarter distribution and total net revenue, we did it again, generating our highest-ever second-quarter distribution and total net revenue. During the quarter, we continued executing on our plan at The CW, reducing operating losses by $33 million year-over-year and $83 million year-to-date as our organizational and programming changes are driving improved cash flows and the third consecutive quarter of ratings growth in primetime entertainment programming. Overall, our strong year-to-date operating performance yielded $483 million of Adjusted Free Cash Flow and we returned $358 million, or 74% of Adjusted Free Cash Flow, to shareholders in the form of dividends and share repurchases. Looking ahead, we expect to benefit from anticipated record levels of political spending on broadcast television in the second half of the year.”