10-Q · May 7, 2026
Gray Media (GTN) reported Q1 2026 revenues of $768 million, a slight decline of 2% from $782 million in Q1 2025. The diluted EPS was -$0.34, missing the consensus estimate of -$0.09. Key segments showed mixed…
Earnings analysis · 10-Q
GTN earnings analysis
Filed August 7, 2026 · Our reading of the company's report
The latest report
Gray Media delivered a strong Q2 recovery, with revenue up 9% to $839 million, operating margin expanding to 16.2% from 9.8%, and diluted EPS improving to $0.21 from a $(0.71) loss. Political advertising was the primary…
Read full summary
Gray Media delivered a strong Q2 recovery, with revenue up 9% to $839 million, operating margin expanding to 16.2% from 9.8%, and diluted EPS improving to $0.21 from a $(0.71) loss. Political advertising was the primary catalyst, while broadcasting segment operating income increased to $300 million for the first six months. However, liquidity weakened as cash fell to $176 million amid $290 million of investing outflows, and the company remains highly leveraged with $5.867 billion of debt.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $0.21
- Operating margin
- 16.2%
What stood out
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Revenue beat driven by political advertising
Q2 revenue was $839 million, up $67 million or 9% year over year and above the $792.9 million consensus estimate. Revenue also increased from $768 million in Q1 2026.
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Operating leverage improved sharply
Operating income rose to $136 million from $82 million year over year, lifting operating margin to 16.2% from 9.8%; margin also improved from 10.6% in Q1 2026.
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EPS returned to positive territory
Diluted EPS was $0.21 versus a $(0.71) loss in Q2 2025 and a $(0.34) loss in Q1 2026, exceeding the $0.18 consensus estimate.
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Political advertising surged
Political advertising revenue increased to $83 million from $9 million year over year, while six-month political revenue rose 414% to $113 million from $22 million as 2026 is an election-cycle on-year.
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Broadcasting and production growth
Broadcasting generated Q2 revenue of $813 million, while production companies revenue grew 44% to $26 million. Six-month broadcasting segment operating income increased to $300 million from $236 million.
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Positive operating cash flow
Six-month operating cash flow was $124 million, while property and equipment purchases were $36 million, implying approximately $88 million of six-month cash flow after capex before other investing items.
What to watch
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Heavy debt burden and interest expense
Long-term debt, including the current portion, was $5.867 billion at June 30, 2026, versus $5.810 billion at December 31, 2025. Management estimates approximately $465 million of debt interest payments over the following 12 months.
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Liquidity reduced by acquisitions
Cash declined to $176 million from $368 million at year-end, while six-month net cash used in investing activities was $290 million, including $264 million for television business and license acquisitions.
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Retransmission revenue pressure
Retransmission consent revenue fell 3% to $359 million in Q2 and 7% to $698 million for the first six months. Management cited lower subscriptions, a station transition and a satellite distribution dispute that lasted from March through May 1, 2026.
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Core advertising remains soft
Core advertising revenue declined 1% to $357 million in Q2 because of macroeconomic softness, despite $15 million contributed by the 2026 Acquisitions.
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Second-half capex intensity
Management expects approximately $90 million of routine capital expenditures during the remainder of 2026, including significant station construction projects and Assembly Atlanta spending, compared with $36 million of capex in the first six months.
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Portfolio transactions created charges
The company reported a $22 million non-cash loss on the Station Swap in Q2, contributing to $20 million of total losses on disposal of long-lived assets versus an $8 million gain in the first half of 2025.
Management's outlook
No quantitative revenue or EPS guidance was provided. Management expects approximately $90 million of routine capital expenditures for the remainder of 2026, approximately $40 million of income tax payments, and approximately $465 million of debt interest payments over the 12 months following June 30, 2026. Management states that cash on hand, operating cash flow and available borrowing capacity should fund obligations for the next 12 months and foreseeable future.
Earlier filings 4
10-K · February 26, 2026
Gray Media positions itself as the nation’s largest owner of top-rated local TV stations and digital assets, reaching approximately 37% of U.S. television households and operating #1 stations in 77 of 113…
10-Q · August 8, 2025
Gray Media reported Q2 revenue of $772.0M, down from $826.0M a year ago, and posted an operating income decline to $82.0M from $152.0M, producing a net loss of $56.0M (EPS -$0.71) for the quarter. Key drivers were a…
10-Q · May 7, 2024
Gray reported Q1 revenue of $823 million (up $22 million vs. Q1 2023) and GAAP diluted EPS of $0.79 (vs. $(0.48) in Q1 2023), driven by higher broadcasting ad revenue and a $110 million gain on the sale of its BMI…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.