- Gannett (GCI +11.9%) is soaring following its Q2 earnings beating EPS and revenue estimates.
- Q2 total revenues rose rose 4.9% Y/Y to $804.3M, out of which digital revenues were $259.3M.
- Digital revenues rose 33% and digital marketing solutions revenue rose 21.5% over prior year same store.
- The company launched digital subscription model at USA TODAY with subscriber-only content.
- "Digital-only subscriber growth continued to set new records in the second quarter of 2021, ending the quarter at approximately 1.4M, up 41% compared to a year ago. Our Digital Marketing Solutions segment posted significant Y/Y growth and continued to grow platform client count sequentially each quarter,” said Gannett Chairman and CEO Michael Reed.
- Adjusted net income amounted to $30.06M, compared to loss of $5.18M in Q2 2020. Net income totaled $15.16M.
- "The company once again grew Adjusted EBITDA year-over-year, now for the third quarter in a row. With digital revenues making up approximately one-third of our total revenue and growing, we believe we are well positioned for the second half of the year and beyond," commented Reed.
- In Q2, the company repaid ~$45.8M in principal under its 5-year term loan using proceeds from real estate and other asset sales of ~$11.2M million and excess cash.
- Total debt principal outstanding as of June 30 was $1.49B, while cash and cash equivalents was $158.6M.
- Source: Press Release