Nexstar Q3 2021 Earnings Report
Key Takeaways
Nexstar Media Group reported record third-quarter net revenue of $1,157.0 million, driven by double-digit increases in core advertising, distribution, and digital revenue. The company's adjusted EBITDA was $410.4 million, with a 35.5% margin, and free cash flow was $251.7 million. Nexstar returned $173.6 million to shareholders through share repurchases and dividends.
Nexstar's third-quarter net revenue reached a record $1.16 billion, up 3.5% year-over-year.
Core television advertising revenue increased by 13.3% year-over-year.
Distribution fee revenue rose by 15% year-over-year to approximately $619 million.
Total digital revenue increased by 46.8% to approximately $81 million.
Nexstar
Nexstar
Nexstar Revenue by Segment
Forward Guidance
Nexstar expects continued retransmission revenue growth reflecting contract renewals representing a mid-to-high single digit percentage of our subscribers in 2021 and approximately 60% of our subscribers in 2022. Looking ahead, Nexstar expects 2022 to benefit from its growing multi-platform audience and industry-leading distribution, continued growth of the gaming/sports betting category and the upcoming 2022 mid-term elections.
Positive Outlook
- Growing multi-platform audience
- Industry-leading distribution
- Continued growth of the gaming/sports betting category
- Upcoming 2022 mid-term elections
- Upsized free cash flow targets in the 2021/2022 cycle
Revenue & Expenses
Visualization of income flow from segment revenue to net income