Scripps Q3 2021 Earnings Report
Key Takeaways
In Q3 2021, The E.W. Scripps Company reported a 13% increase in total revenue to $555 million, driven by an 18% year-over-year increase in adjusted combined local core and national networks advertising revenue. Income from continuing operations attributable to the shareholders of Scripps was $45.8 million, or 49 cents per share.
Local Media core advertising in Q3 surpassed third-quarter 2019 levels, driven by significant new business, demand for our connected TV advertising products and the rise of the sports betting category.
Scripps Networks delivered adjusted-combined revenue growth of 18% in the quarter and is on track to deliver a margin of 40% for the full year.
Scripps made a $10 million investment in esports company Misfits Gaming Group to distribute Misfits’ content through its linear and over-the-top television platforms.
The company paid down $500 million of debt year to date through Sept. 30 and intends to use excess cash flow to pay down additional debt in future quarters.
Scripps
Scripps
Scripps Revenue by Segment
Forward Guidance
The company provided the following guidance for the fourth quarter of 2021, comparisons are to the same period in 2020 on an adjusted-combined basis.
Positive Outlook
- Scripps Networks revenue up mid-teens percent range
- Scripps Networks expense up mid-teens percent range
Challenges Ahead
- Local Media revenue down mid-20s percent range
- Local Media expense up mid-single-digit percent range
- Shared services and corporate about $19 million
Revenue & Expenses
Visualization of income flow from segment revenue to net income