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Nexstar Media Group Reports Record Third Quarter Net Revenue of $1.37 Billion

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Nexstar Media Group (NASDAQ: NXST) reported record third quarter financial results with net revenue of $1.37 billion, up 20.7% year-over-year. The company achieved net income of $180 million and Adjusted EBITDA of $510 million. Distribution revenue reached $719 million, while advertising revenue hit $622 million, including $154 million in political advertising. The CW Network reduced operating losses by $36 million year-over-year. The company returned $233 million to shareholders through dividends and share repurchases, reducing shares outstanding by 3.1%. Nexstar maintained strong financial health with a first lien net leverage ratio of 1.91x and total net leverage ratio of 3.26x.

Nexstar Media Group (NASDAQ: NXST) ha riportato risultati finanziari record per il terzo trimestre, con un fatturato netto di $1,37 miliardi, in aumento del 20,7% rispetto all'anno precedente. L'azienda ha registrato un reddito netto di $180 milioni e un EBITDA rettificato di $510 milioni. I ricavi da distribuzione hanno raggiunto $719 milioni, mentre i ricavi pubblicitari hanno toccato $622 milioni, inclusi $154 milioni in pubblicità politica. La rete CW ha ridotto le perdite operative di $36 milioni rispetto all'anno precedente. L'azienda ha restituito $233 milioni agli azionisti tramite dividendi e riacquisti di azioni, riducendo il numero di azioni in circolazione del 3,1%. Nexstar ha mantenuto una solida salute finanziaria con un rapporto di leva netta di primo grado di 1,91x e un rapporto di leva netta totale di 3,26x.

Nexstar Media Group (NASDAQ: NXST) reportó resultados financieros récord en el tercer trimestre, con ingresos netos de $1.37 mil millones, un aumento del 20.7% en comparación con el año anterior. La compañía logró un ingreso neto de $180 millones y un EBITDA ajustado de $510 millones. Los ingresos por distribución alcanzaron los $719 millones, mientras que los ingresos por publicidad llegaron a $622 millones, incluidos $154 millones en publicidad política. La red CW redujo las pérdidas operativas en $36 millones en comparación con el año anterior. La empresa devolvió $233 millones a los accionistas a través de dividendos y recompras de acciones, disminuyendo las acciones en circulación en un 3.1%. Nexstar mantuvo una sólida salud financiera con una relación de apalancamiento neto de primer grado de 1.91x y una relación de apalancamiento neto total de 3.26x.

Nexstar Media Group (NASDAQ: NXST)는 3분기 기록적인 재무 결과를 보고하였으며, 순수익은 $13.7억으로, 전년 대비 20.7% 증가하였습니다. 이 회사는 순이익 $1.8억을 달성하였고 조정 EBITDA는 $5.1억에 이릅니다. 배급 수익은 $7.19억에 도달했으며, 광고 수익은 $6.22억으로, 그 중 $1.54억은 정치 광고에서 발생했습니다. CW 네트워크는 전년 대비 운영 손실을 $3.6억 줄였습니다. 이 회사는 배당금과 자사주 매입을 통해 주주에게 $2.33억을 돌려주었고, 유통 주식을 3.1% 줄였습니다. Nexstar는 1.91배의 선순위 순 차입 비율과 3.26배의 총 순 차입 비율로 강력한 재무 건전성을 유지하고 있습니다.

Nexstar Media Group (NASDAQ: NXST) a annoncé des résultats financiers record pour le troisième trimestre, avec un chiffre d'affaires net de $1,37 milliard, en hausse de 20,7% par rapport à l'année précédente. L'entreprise a réalisé un bénéfice net de $180 millions et un EBITDA ajusté de $510 millions. Les revenus de distribution ont atteint 719 millions de dollars, tandis que les revenus publicitaires ont atteint 622 millions de dollars, dont 154 millions de dollars en publicité politique. Le réseau CW a réduit ses pertes d'exploitation de 36 millions de dollars par rapport à l'année précédente. L'entreprise a restitué 233 millions de dollars aux actionnaires par le biais de dividendes et de rachats d'actions, réduisant ainsi le nombre d'actions en circulation de 3,1%. Nexstar a maintenu une solide santé financière avec un ratio d'endettement net de premier rang de 1,91x et un ratio d'endettement net total de 3,26x.

Nexstar Media Group (NASDAQ: NXST) meldete im dritten Quartal Rekordergebnisse mit einem Nettoumsatz von $1,37 Milliarden, was einem Anstieg von 20,7% im Jahresvergleich entspricht. Das Unternehmen erzielte einen Nettogewinn von $180 Millionen und ein bereinigtes EBITDA von $510 Millionen. Die Vertriebserlöse erreichten $719 Millionen, während die Werbeeinnahmen $622 Millionen betrugen, einschließlich $154 Millionen aus politischer Werbung. Das CW-Netzwerk verringerte die operativen Verluste um $36 Millionen im Jahresvergleich. Das Unternehmen gab $233 Millionen an die Aktionäre zurück, durch Dividenden und Aktienrückkäufe, und reduzierte die ausgegebenen Aktien um 3,1%. Nexstar wies eine starke finanzielle Gesundheit mit einem Nettoverschuldungsgrad von 1,91x und einem Gesamtverschuldungsgrad von 3,26x auf.

Positive
  • Record Q3 net revenue of $1.37 billion, up 20.7% YoY
  • Net income increased to $180 million from $8 million YoY
  • Distribution revenue grew 20.2% to $719 million
  • Political advertising revenue up 16% to $154 million
  • Reduced The CW operating losses by $36 million
  • Adjusted EBITDA increased 82.8% to $510 million
  • Adjusted Free Cash Flow grew 303.7% to $327 million
Negative
  • Non-political advertising revenue decreased by $22 million
  • Reduced income from TV Food Network equity investments
  • Ongoing advertising market softness

Insights

Nexstar's Q3 results showcase remarkable financial strength with $1.37B in revenue, up 20.7% year-over-year. Key highlights include record distribution revenue of $719M and political advertising revenue of $154M. The company's strategic moves are paying off, particularly with The CW Network, where operating losses decreased by $36M.

The company's capital allocation strategy remains shareholder-friendly, returning $233M through dividends and buybacks in Q3, while maintaining a healthy balance sheet with a first lien net leverage ratio of 1.91x. The $1.5B share repurchase authorization signals management's confidence in future cash flow generation.

Most impressive is the 82.8% increase in Adjusted EBITDA to $510M and the substantial improvement in EBITDA margin to 37.3%, demonstrating strong operational efficiency and scaling benefits.

Q3 Net Revenue Drives Net Income of $180 Million, Adjusted EBITDA(1) of  $510 Million, Net Cash Provided by Operating Activities of $387 Million and Adjusted Free Cash Flow (1) of $327 Million

All-Time High Third Quarter Distribution Revenue

Reduced Year-over-Year Quarterly Losses at The CW by $36 Million

Quarterly Return of Capital to Shareholders of $233 Million, Reducing Shares Outstanding by 3.1%

IRVING, Texas--(BUSINESS WIRE)-- Nexstar Media Group, Inc. (NASDAQ: NXST) (“Nexstar” or the “Company”) today reported financial results for the third quarter ended September 30, 2024 as summarized below. Please visit Nexstar’s website to view the full press release.

STATEMENT FROM PERRY A. SOOK, FOUNDER, CHAIRMAN AND CEO

“Nexstar generated record financial results for the third quarter, reflecting the continued power of our broadcast television business model. We delivered the highest third quarter net revenue in the Company’s history, comprised of record third quarter distribution and advertising revenue, including all-time high third quarter political advertising revenue of $154 million, up 16% over the comparable 2020 period. During the quarter, we made further progress on our strategy for The CW, reducing operating losses by $36 million year-over-year and by $119 million year-to-date. We debuted NASCAR Xfinity Series racing in September and WWE NXT wrestling in October on The CW broadcast network to double-digit percentage increases both in total audience and in adults 18-49 versus previous viewership on cable. Overall, our strong year-to-date operating performance yielded $792 million of Adjusted Free Cash Flow and we returned $590 million, or 74%, to shareholders in the form of dividends and share repurchases and reduced debt by $146 million.”

 

2024 Third Quarter Financial Summary

 

($ in millions)

Three Months Ended September 30,

 

Nine Months Ended September 30,

 

 

 

2024

 

2023

 

% Change

 

2024

2023

% Change

 

 

Distribution

$719

 

$598

 

20.2

 

$2,215

$2,023

9.5

 

 

Advertising

622

 

509

 

22.2

 

1,656

1,535

7.9

 

 

Other

25

 

25

 

 

49

71

(31.0)

 

 

Net Revenue

$1,366

 

$1,132

 

20.7

 

$3,920

$3,629

8.0

 

 

Net Income

$180

 

$8

 

NM

 

$453

$171

164.9

 

 

% Margin(2)

13.2%

 

0.7%

 

12.5

 

11.6%

4.7%

6.9

 

 

Adjusted EBITDA(1)

$510

 

$279

 

82.8

 

$1,376

$1,029

33.7

 

 

% Margin(2)

37.3%

 

24.6%

 

12.7

 

35.1%

28.4%

6.7

 

 

Net Cash Provided by
Operating Activities

$387

 

$138

 

180.4

 

$839

$817

2.7

 

 

Adjusted Free Cash Flow(1)

$327

 

$81

 

303.7

 

$792

$659

20.2

 

NM = Not Meaningful

(1)

Changes were made to these definitions in the third quarter of 2024. Please refer to the “Definitions and Disclosures Regarding Non-GAAP Financial Information” section herein, the reconciliations at the end of this press release and additional information on our website nexstar.tv.

(2)

Net Income margin is Net Income as a percentage of Net Revenue. Adjusted EBITDA margin is Adjusted EBITDA as a percentage of Net Revenue.

Company and Business Highlights

  • Announced a new $1.5 billion share repurchase authorization in July 2024.
  • Appointed Ellen Johnson, Chief Financial Officer of Interpublic Group of Companies (NYSE: IPG), one of the world’s leading providers of marketing and advertising solutions, to the Board of Directors effective October 1, 2024. Following her appointment, Nexstar’s Board is composed of 10 Board members, nine of whom are independent and three of whom are women.
  • Named Scott Weaver as Senior Vice President of Government Relations in August 2024 to lead a team to represent Nexstar’s interests in Washington D.C.
  • Announced comprehensive multi-year agreements in July 2024 to renew CBS Television Network affiliations in 42 markets and an agreement for two Paramount-owned independent stations in Miami, FL and Detroit, MI, both top-20 markets, to become affiliates of The CW Network on September 1, 2024.
  • Announced the renewal of CW affiliation agreements with 38 Gray Media-owned television stations in August 2024.
  • Announced in August that Nexstar stations in Augusta, GA, Monroe, LA, Wichita Falls, TX, Terre Haute, IN and Utica, NY will become affiliates of The CW, bringing the number of CW affiliations recaptured by Nexstar and its partners since the acquisition of The CW to 17 and the number of Company and partner-owned CW affiliates to 54, covering 45.7% of U.S. TV households.
  • Delivered record audiences for The CW Network debuts of NASCAR Xfinity series racing and WWE NXT. The NASCAR Xfinity Series race from Bristol Motor Speedway on September 20, 2024 averaged 906,000 viewers, the highest ratings for the series since July 2024. On October 1, 2024, WWE NXT drew 895,000 viewers, an increase of over 44% from the prior week’s episode on cable.
  • Raised over $1.7 million from viewers to support relief efforts related to Hurricane Helene and Hurricane Milton. Donations will go to several charitable organizations assisting victims of the storms, including the American Red Cross, United Way and the Salvation Army, among others.

Financial Highlights

  • Net Revenue. Record third quarter net revenue of $1.37 billion, increased $234 million, or 20.7%, primarily due to growth in distribution and advertising revenue. Approximately 53% of Nexstar’s third quarter revenue was derived from distribution revenue.
  • Distribution Revenue. Record third quarter distribution revenue of $719 million, increased $121 million, or 20.2%, over the comparable prior year quarter. Distribution revenue growth primarily reflects the comparison with the third quarter of 2023 when a dispute with an MVPD caused Nexstar stations to be dark, the benefit of distribution contract renewals in 2023 on terms favorable to the Company, annual rate escalators, growth in vMVPD subscribers, the addition of CW affiliations on certain of our stations, and the return of partner stations on one MVPD in January, which more than offset MVPD subscriber attrition.

Financial Highlights (continued)

  • Advertising Revenue. Record third quarter advertising revenue of $622 million, increased $113 million, or 22.2%, over the comparable prior year quarter reflecting a $135 million year-over-year increase in election-year political advertising to $154 million, which more than offset a $22 million year-over-year reduction in non-political advertising revenue due to ongoing advertising market softness and political displacement.
  • Net Income. Third quarter net income of $180 million increased $172 million compared to the prior year quarter, reflecting the revenue growth and lower operating expenses driven, in part, by reduced amortization of broadcast rights at The CW, partially offset by increased income tax expenses and reduced income from equity investments related to the performance of the TV Food Network LLC (“TVFN”) in which we have a 31.3% interest. Net Income margin increased to 13.2% from 0.7% in the comparable prior year period.
  • Adjusted EBITDA. Third quarter Adjusted EBITDA of $510 million, increased $231 million, or 82.8%, compared to the prior year quarter primarily reflecting revenue growth and a $36 million year-over-year reduction in losses at The CW, which more than offset lower income from equity method investments from TVFN primarily related to lower advertising revenue. Adjusted EBITDA margin grew to 37.3% from 24.6% in the comparable prior year period.
  • Net Cash Provided by Operating Activities. Third quarter Net Cash Provided by Operating Activities of $387 million, increased $249 million, or 180.4%, compared to the prior year quarter, due primarily to increased net income and a deferral of income taxes into 2025.
  • Adjusted Free Cash Flow. Third quarter Adjusted Free Cash Flow of $327 million, increased $246 million, or 303.7%, compared to the prior year quarter, due primarily to the increase in net cash provided by operating activities and reduced capital expenditures, partially offset by changes in operating assets and liabilities primarily reflecting timing of receipts and payments, which are excluded from our definition of Adjusted Free Cash Flow.

Capital Allocation

  • In the third quarter of 2024, the Company used cash on hand and cash flow from operations to repay $85 million of debt, pay $55 million in dividends, and repurchase 1,061,852 shares of Nexstar’s common stock at an average price of approximately $167.16 per share for a total of $178 million.

($ in millions, shares in thousands)

Three Months Ended
September 30,

Nine Months Ended
September 30,

 

2024

2023

2024

2023

Cash Used For

 

 

 

 

Debt repayment

$85

$31

$146

$93

Acquisitions

-

38

-

38

Stockholder return

233

246

590

659

Common stock dividends

55

47

167

145

Stock repurchases

178

199

423

514

Shares Outstanding

 

 

 

 

End of period

31,476

34,194

31,476

34,194

Less: Beginning of period

32,486

35,381

33,601

36,810

Change in shares outstanding

(1,010)

(1,187)

(2,125)

(2,616)

% Change

(3.1%)

(3.4%)

(6.3%)

(7.1%)

Debt, Cash and Leverage

  • As of September 30, 2024, the consolidated debt of Nexstar and Mission Broadcasting, Inc. (“Mission”), an independently owned variable interest entity, was $6.7 billion, including senior secured debt of $4.0 billion.
  • The Company calculates its leverage ratios in accordance with the terms of its credit agreements which exclude The CW Network’s operations and cash balance. As of September 30, 2024, The CW Network had $22 million of cash on its balance sheet.

‒ As of September 30, 2024, the Company’s first lien net leverage ratio was 1.91x compared to a covenant of 4.25x and its total net leverage ratio was 3.26x.

  • The table below summarizes the Company’s unrestricted cash balances and debt obligations (net of financing costs, discounts and/or premiums) as of September 30, 2024 and as of December 31, 2023.

($ in millions)

 

September 30, 2024

 

December 31, 2023

 

Unrestricted Cash

 

$181

 

$135

 

Revolving Credit Facilities

 

$62

 

$62

 

First Lien Term Loans

 

3,926

 

4,064

 

5.625% Senior Unsecured Notes due 2027

 

1,717

 

1,717

 

4.75% Senior Unsecured Notes due 2028

 

995

 

994

 

Total Debt

 

$6,700

 

$6,837

 

Third Quarter Conference Call

Nexstar will host a conference call at 10 a.m. ET today. Senior management will discuss the financial results and host a question-and-answer session. The dial in number for the audio conference call is 877-407-9208 or 201-493-6784, conference ID 13748486 (domestic and international callers). Participants can also listen to a live webcast of the call through the “Events and Presentations” section under “Investor Relations” on Nexstar’s website at nexstar.tv. A webcast replay will be available for 90 days following the live event at nexstar.tv.

Forward-Looking Statements

This communication includes forward-looking statements. We have based these forward-looking statements on our current expectations and projections about future events. Forward-looking statements include information preceded by, followed by, or that includes the words "guidance," "believes," "expects," "anticipates," "could," or similar expressions. For these statements, Nexstar claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. The forward-looking statements contained in this communication, concerning, among other things, future financial performance, including changes in net revenue, operating expenses and cash flow, involve risks and uncertainties, and are subject to change based on various important factors, including the impact of changes in national and regional economies, the ability to service and refinance our outstanding debt, successful integration of business acquisitions (including achievement of synergies and cost reductions), pricing fluctuations in local and national advertising, future regulatory actions and conditions in the television stations' operating areas, competition from others in the broadcast television markets, volatility in programming costs, the effects of governmental regulation of broadcasting, industry consolidation, technological developments and major world news events. Nexstar undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. In light of these risks, uncertainties and assumptions, the forward-looking events discussed in this communication might not occur. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this release. For more details on factors that could affect these expectations, please see Nexstar’s other filings with the Securities and Exchange Commission.

Definitions and Disclosures Regarding Non-GAAP Financial Information

Adjusted EBITDA is calculated as net income, plus or (minus): transaction and other one-time expenses, stock-based compensation expense, depreciation and amortization expense (excluding amortization of broadcast rights), amortization of basis difference of equity method investments, (gain) loss on asset disposal, impairment charges, interest expense, net, pension and other postretirement plans costs (credit), income tax expense (benefit) and other operating and non-operating expense (income). We consider Adjusted EBITDA to be an indicator of our assets’ operating performance.

Free Cash Flow is calculated as net cash provided by operating activities less capital expenditures.

Adjusted Free Cash Flow is calculated as Free Cash Flow plus or (minus): transaction and other one-time expenses, changes in operating assets and liabilities, net of acquisitions and dispositions (excluding changes in income tax payable), taxes paid on sale of assets, pension and other postretirement plans costs (credit), (payments) for capitalized software obligations, proceeds from disposal of assets and insurance recoveries and other expense (income), cash contribution from (distribution to) noncontrolling interests and other items. We consider Adjusted Free Cash Flow to be an indicator of our liquidity. We consider Adjusted Free Cash Flow to be a liquidity measure that provides useful information to management and investors about the amount of cash generated by the business that can be available for use in ongoing operations, debt payments, pension contributions, dividends, share repurchases, acquisitions and other items. Adjusted Free Cash Flow is not intended to represent the amount of cash flow available for discretionary expenditures as certain items and non-discretionary expenditures, such as changes in working capital, mandatory debt service requirements and pension contributions, are not deducted from this measure.

For a reconciliation of these non-GAAP financial measurements to the GAAP financial results cited in this news announcement, please see the supplemental tables at the end of this release.

Nexstar Media Group, Inc.

Condensed Consolidated Statements of Operations

(in millions, except for share and per share amounts, unaudited)

 

 

Three Months Ended September 30,

Nine Months Ended September 30,

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

Net revenue

$1,366

 

$1,132

 

$3,920

 

$3,629

 

 

 

 

 

 

Operating expenses:

 

 

 

 

Direct operating

 

563

 

 

537

 

 

1,663

 

 

1,613

 

Selling, general and administrative

 

225

 

 

229

 

 

658

 

 

659

 

Corporate

 

53

 

 

52

 

 

160

 

 

149

 

Depreciation and amortization

 

190

 

 

220

 

 

588

 

 

731

 

Total operating expenses

 

1,031

 

 

1,038

 

 

3,069

 

 

3,152

 

Income from operations

 

335

 

 

94

 

 

851

 

 

477

 

Income from equity method investments, net

 

17

 

 

24

 

 

52

 

 

82

 

Interest expense, net

 

(113

)

 

(113

)

 

(340

)

 

(332

)

Pension and other postretirement plans credit, net

 

6

 

 

9

 

 

20

 

 

27

 

Gain on disposal of an investment

 

-

 

 

-

 

 

40

 

 

-

 

Other expenses, net

 

(1

)

 

-

 

 

(1

)

 

-

 

Income before income taxes

 

244

 

 

14

 

 

622

 

 

254

 

Income tax expense

 

(64

)

 

(6

)

 

(169

)

 

(83

)

Net income

 

180

 

 

8

 

 

453

 

 

171

 

Net loss attributable to noncontrolling interests

 

7

 

 

17

 

 

27

 

 

61

 

Net income attributable to Nexstar Media Group, Inc.

$187

 

$25

 

$480

 

$232

 

 

 

 

 

 

Net income per share available to common stockholders:

 

 

 

Basic

$5.34

 

$0.71

 

$14.17

 

$6.47

 

Diluted

$5.27

 

$0.70

 

$13.96

 

$6.37

 

 

 

 

 

 

Weighted average number of common shares outstanding:

 

 

 

 

Basic (in thousands)

 

32,020

 

 

34,931

 

 

32,759

 

 

35,806

 

Diluted (in thousands)

 

32,441

 

 

35,367

 

 

33,248

 

 

36,370

 

Nexstar Media Group, Inc.

Condensed Consolidated Statements of Cash Flows

($ in millions, unaudited)

 

 

Nine Months Ended September 30,

 

 

2024

 

 

2023

 

Cash flows from operating activities:

 

 

Net income

$453

 

$171

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

Depreciation and amortization

 

588

 

 

731

 

Stock-based compensation expense

 

57

 

 

44

 

Amortization of debt financing costs, debt discounts and premium

 

9

 

 

8

 

Gain on disposal of an investment

 

(40

)

 

-

 

Deferred income taxes

 

(26

)

 

(37

)

Payments for broadcast rights

 

(240

)

 

(322

)

Income from equity method investments, net

 

(52

)

 

(82

)

Distribution from equity method investments – return on capital

 

143

 

 

259

 

Changes in operating assets and liabilities, net of acquisitions and dispositions:

 

 

Accounts receivable

 

80

 

 

191

 

Prepaid and other current assets

 

(10

)

 

(6

)

Other noncurrent assets

 

(7

)

 

(21

)

Accounts payable

 

(99

)

 

(54

)

Accrued expenses and other current liabilities

 

-

 

 

(3

)

Income tax payable

 

6

 

 

(25

)

Other noncurrent liabilities

 

(30

)

 

(36

)

Other

 

7

 

 

(1

)

Net cash provided by operating activities

 

839

 

 

817

 

Cash flows from investing activities:

 

 

Purchases of property and equipment

 

(110

)

 

(113

)

Payments for acquisitions

 

-

 

 

(38

)

Deposits received associated with a proposed sale of a real estate asset

 

-

 

 

10

 

Proceeds from disposal of an investment

 

40

 

 

-

 

Other investing activities, net

 

2

 

 

4

 

Net cash used in investing activities

 

(68

)

 

(137

)

Cash flows from financing activities:

 

 

Proceeds from debt issuance, net of debt discounts

 

55

 

 

-

 

Repayments of long-term debt

 

(201

)

 

(93

)

Purchase of treasury stock

 

(423

)

 

(509

)

Common stock dividends paid

 

(167

)

 

(145

)

Payments for capitalized software obligations

 

(13

)

 

(14

)

Contribution from noncontrolling interests

 

19

 

 

47

 

Cash paid for shares withheld for taxes

 

(8

)

 

(24

)

Other financing activities, net

 

1

 

 

2

 

Net cash used in financing activities

 

(737

)

 

(736

)

Net increase (decrease) in cash, cash equivalents and restricted cash

 

34

 

 

(56

)

Cash, cash equivalents and restricted cash at beginning of period

 

147

 

 

220

 

Cash, cash equivalents and restricted cash at end of period

$181

 

$164

 

Nexstar Media Group, Inc.

Reconciliation of Adjusted EBITDA (Non-GAAP Measure)

($ in millions, unaudited)

 

 

Three Months Ended September 30,

Nine Months Ended September 30,

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

 

 

 

 

 

Net income

$180

 

$8

 

$453

 

$171

 

Add (Less):

 

 

 

 

Transaction and other one-time expenses(1)

 

-

 

 

2

 

 

1

 

 

13

 

Stock-based compensation expense

 

19

 

 

16

 

 

57

 

 

44

 

Depreciation and amortization expense

 

190

 

 

220

 

 

588

 

 

731

 

(Amortization) of broadcast rights expense

 

(70

)

 

(98

)

 

(226

)

 

(367

)

Amortization of basis difference of equity method investments

 

18

 

 

18

 

 

53

 

 

53

 

Interest expense, net

 

113

 

 

113

 

 

340

 

 

332

 

Pension and other postretirement plans (credit), net

 

(6

)

 

(9

)

 

(20

)

 

(27

)

Income tax expense

 

64

 

 

6

 

 

169

 

 

83

 

Gain on disposal of an investment

 

-

 

 

-

 

 

(40

)

 

-

 

Other

 

2

 

 

3

 

 

1

 

 

(4

)

Adjusted EBITDA

$510

 

$279

 

$1,376

 

$1,029

 

(1)

Primarily includes severance, legal and other direct expenses associated with our completed or proposed strategic transactions and/or acquisitions, any fees or other direct expenses associated with financing transactions, and severance and other direct expenses associated with restructuring activities.

Nexstar Media Group, Inc.

Reconciliation of Free Cash Flow and Adjusted Free Cash Flow (Non-GAAP Measure)

($ in millions, unaudited)

 

 

Three Months Ended
September 30,

Nine Months Ended

September 30,

 

 

2024

 

 

2023

 

 

2024

 

 

2023

 

 

 

 

 

 

Net cash provided by operating activities

$387

 

$138

 

$839

 

$817

 

Add (Less):

 

 

 

 

Capital expenditures

 

(29

)

 

(36

)

 

(110

)

 

(113

)

Free Cash Flow

$358

 

$102

 

$729

 

$704

 

 

 

 

 

 

Add (Less):

 

 

 

 

Transaction and other one-time expenses(1)

 

-

 

 

2

 

 

1

 

 

13

 

Changes in operating assets and liabilities(2)

 

(90

)

 

(22

)

 

60

 

 

(46

)

Changes in income tax payable(3)

 

66

 

 

(1

)

 

8

 

 

(25

)

Taxes paid on sale of assets(4)

 

-

 

 

-

 

 

11

 

 

-

 

Pension and other postretirement plans (credit), net

 

(6

)

 

(9

)

 

(20

)

 

(27

)

Payments for capitalized software obligations

 

(2

)

 

(2

)

 

(13

)

 

(14

)

Proceeds from disposal of assets and insurance recoveries

 

1

 

 

-

 

 

3

 

 

7

 

Cash contribution from noncontrolling interests

 

-

 

 

11

 

 

19

 

 

47

 

Other

 

-

 

 

-

 

 

(6

)

 

-

 

Adjusted Free Cash Flow

$327

 

$81

 

$792

 

$659

 

 

 

 

 

 

Supplemental Information:

 

 

 

 

Distributions received (reduced distributions) from accounts receivable
securitization of equity method investee (included above)(5)

 

-

 

 

-

 

 

(9

)

 

69

 

 

(1)

Primarily includes severance, legal and other direct expenses associated with our completed or proposed strategic transactions and/or acquisitions, any fees or other direct expenses associated with financing transactions, and severance and other direct expenses associated with restructuring activities.

(2)

Removes the impact of changes in operating assets and liabilities (including changes in income tax payable), net of acquisitions and dispositions.

(3)

Includes changes in income tax payable to reflect all tax payments.

(4)

Eliminates taxes paid on sale of assets related to the impact of a $40 million gain from disposal of an investment in Q1 2024.

(5)

Reflects the impact included in Free Cash Flow and Adjusted Free Cash Flow of cash distributions received from our 31.3% ownership interest in TV Food Network LLC related to its accounts receivable securitization program. As our investee increases or (reduces) the amount of accounts receivable it sells into the program, our distribution is increased or (reduced) accordingly.

 

Investor Contacts:

Lee Ann Gliha

EVP and Chief Financial Officer

Nexstar Media Group, Inc.

972/373-8800



Joe Jaffoni, Jennifer Neuman

JCIR

212/835-8500 or nxst@jcir.com



Media Contact:

Gary Weitman

EVP and Chief Communications Officer

Nexstar Media Group, Inc.

972/373-8800 or gweitman@nexstar.tv

Source: Nexstar Media Group

FAQ

What was Nexstar's (NXST) revenue in Q3 2024?

Nexstar reported record third quarter net revenue of $1.37 billion in Q3 2024, representing a 20.7% increase from the previous year.

How much political advertising revenue did NXST generate in Q3 2024?

Nexstar generated $154 million in political advertising revenue during Q3 2024, representing a 16% increase compared to the 2020 period.

How much did Nexstar (NXST) return to shareholders in Q3 2024?

Nexstar returned $233 million to shareholders in Q3 2024 through $55 million in dividends and $178 million in share repurchases.

What was The CW Network's performance improvement for NXST in Q3 2024?

The CW Network reduced its operating losses by $36 million year-over-year in Q3 2024.

Nexstar Media Group, Inc.

NASDAQ:NXST

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