USA TODAY Co. Announces Third Quarter Results, $100 Million Cost Reduction Program & Plans to Opportunistically Repurchase Shares
USA TODAY Co., Inc. (TDAY) filed an SEC Form 8-K — Results of Operations and Financial Condition. USA TODAY Co. Announces Third Quarter Results, $100 Million Cost Reduction Program & Plans to Opportunistically Repurchase Shares NEW YORK, NY — November 5, 2026 — USA TODAY Co., Inc. ("USA TODAY Co.", "we", "us", "our", or the "Company") (NYSE: TDAY) today reported its financial
How this was made
The 30-second read
Why it matters
The filing provides fresh guidance and capital allocation signals that could influence investor sentiment and short‑term price action.
Market read
The announcement may prompt modest buying pressure due to the buyback, but earnings weakness tempers enthusiasm.
What to watch
Potential impact of the pending $901M ad‑tech litigation judgment on future cash flows.
USA TODAY Co. Announces Third Quarter Results, $100 Million Cost Reduction Program & Plans to Opportunistically Repurchase Shares
Revenue, digital revenue, Adjusted EBITDA and free cash flow declined year-over-year, while the net loss narrowed substantially, digital-only ARPU increased, and management implemented a $100 million annualized cost reduction program.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total revenues, three months ended September 30GAAP | $519.2M | – | (7.4) % |
| Digital revenues, three months ended September 30GAAP | $249.3M | – | (5.1) % |
| Print and commercial revenues, three months ended September 30GAAP | $269.9M | – | – |
| Same store total revenues, three months ended September 30non-GAAP | $519.1M | sequential improvement of 30 basis points compared to the second quarter of 2026 | (5.8) % |
| Same store digital revenues, three months ended September 30non-GAAP | $249.0M | – | (4.2) % |
| Operating costs, three months ended September 30GAAP | $337.2M | – | – |
| Selling, general and administrative expenses, three months ended September 30GAAP | $148.6M | – | – |
| Depreciation and amortization, three months ended September 30GAAP | $31.49M | – | – |
| Integration and reorganization costs, three months ended September 30GAAP | $18.04M | – | – |
| Gain on sale or disposal of assets, net, three months ended September 30GAAP | −$10.34M | – | – |
| Interest expense, three months ended September 30GAAP | $20.80M | – | – |
| Loss before income taxes, three months ended September 30GAAP | −$5.79M | – | – |
| (Benefit) provision for income taxes, three months ended September 30GAAP | −$1.18M | – | – |
| Net loss attributable to USA TODAY Co., three months ended September 30GAAP | −$4.61M | – | – |
| Loss per share attributable to USA TODAY Co. - basic, three months ended September 30GAAP | $(0.03) | – | – |
| Loss per share attributable to USA TODAY Co. - diluted, three months ended September 30GAAP | $(0.03) | – | – |
| Total Adjusted EBITDA, three months ended September 30non-GAAP | $36.60M | – | – |
| Total Adjusted EBITDA margin, three months ended September 30non-GAAP | 7.0 % | – | – |
| Adjusted net income (loss) attributable to USA TODAY Co., three months ended September 30non-GAAP | $1.37M | – | – |
| Cash provided by operating activities, three months ended September 30GAAP | $16.66M | – | – |
| Free cash flow, three months ended September 30non-GAAP | $4.34M | – | – |
| Cash provided by operating activities, nine months ended September 30GAAP | $71.30M | – | – |
| Purchase of property, plant and equipment, nine months ended September 30GAAP | −$41.25M | – | – |
| Digital-only ARPU: USA TODAY Co., three months ended September 30other | $10.82 | – | 23 % |
| Digital-only paid subscriptions: Total USA TODAY Co., as of September 30other | 1.40M | – | (12) % |
| Core platform revenues, three months ended September 30other | $105.4M | – | (8) % |
| Core platform ARPU, three months ended September 30other | $2,996 | – | 6 % |
| Core platform average customer count, three months ended September 30other | 11.7K | – | (13) % |
| Average monthly unique visitors, third quarterother | 161 million average monthly unique visitors | increased | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| USA TODAY MediaDigital-only ARPU was $11.45, compared with $9.03 in the prior-year period. | $380.6M | – | – |
| NewsquestDigital-only paid subscriptions were 160 (In thousands) as of September 30, 2026, compared with 139 (In thousands) as of September 30, 2025. | $59.46M | – | – |
| LocaliQCore platform ARPU was $2,996, compared with $2,828 in the prior-year period. | $105.7M | – | – |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Full Year 2026 Business Outlook outlook
- RevenueTotal revenues are expected to be down in the mid-single digits on a same store basis
- NoteTotal digital revenues are expected to make up 50%+ of total revenues during 2027
- NoteNet income attributable to USA TODAY Co. is expected to grow versus the prior year; expect sequential improvement in the fourth quarter of 2026
- NoteTotal Adjusted EBITDA, cash provided by operating activities, and free cash flow are expected to decline versus the prior year; expect sequential improvement in the fourth quarter of 2026
Capital returns
- $96.9 million available under the authorized Stock Repurchase Program
- The Company plans to be opportunistic with share repurchases in the fourth quarter.
- The November 2029 Amendment permits incremental debt financing under the 2029 Term Loan Facility in an aggregate principal amount not to exceed $50.0 million; proceeds may be used to repurchase common stock on or prior to December 31, 2026.
What drove it
- Management cited changes in consumer search and inflationary pressures.
- Direct-sold digital advertising, digital-only subscriptions, and digital other were identified as digital categories central to the strategy.
- Digital-only subscription revenues were $46.0 million and represented the third consecutive quarter of year-over-year growth.
- Digital advertising revenues were $75.0 million.
- The Company implemented a new $100 million annualized cost reduction program at the end of the third quarter.
- Google's motion for summary judgment in the Ad Tech litigation was denied, and the trial date was set for April 5, 2027.
Concerns
- Total revenues decreased 7.4% year-over-year and same store total revenues decreased 5.8% year-over-year.
- Digital revenues decreased 5.1% year-over-year and same store digital revenues decreased 4.2% year-over-year.
- Total Adjusted EBITDA declined to $36,602 (In thousands) from $57,173 (In thousands), while Total Adjusted EBITDA margin declined to 7.0 % from 10.2 %.
- Free cash flow declined to $4,340 (In thousands) from $4,880 (In thousands).
- Total USA TODAY Co. digital-only paid subscriptions declined 12 % year-over-year and LocaliQ core platform average customer count declined 13 % year-over-year.
- Total debt principal outstanding was $952.9 million as of September 30, 2026.
What to watch
- Fourth-quarter sequential improvement in net income attributable to USA TODAY Co., Total Adjusted EBITDA, cash provided by operating activities, and free cash flow.
- The fourth-quarter run-rate benefit and margin expansion from the $100 million annualized cost reduction program.
- Progress toward total digital revenues making up 50%+ of total revenues during 2027.
- Execution of opportunistic fourth-quarter share repurchases and any incremental debt financing under the November 2029 Amendment.
- The April 5, 2027 trial date in the Ad Tech litigation.
Balance sheet and cash flow
- Cash and cash equivalents were $68.2 million as of September 30, 2026.
- Total debt principal outstanding at September 30, 2026 was $952.9 million, including $705.1 million in first lien debt.
- First lien net leverage was 2.5x as of September 30, 2026, a decrease of 8.2% year-over-year.
- Cash, cash equivalents and restricted cash at end of period were $75,978 (In thousands) for the nine months ended September 30, 2026, compared with $82,818 (In thousands) in the prior-year period.
- Repayments of long-term debt were $(39,396) (In thousands) for the nine months ended September 30, 2026, compared with $(116,393) (In thousands) in the prior-year period.
- Payment to former partner was $(28,475) (In thousands) for the nine months ended September 30, 2026.
Analysis
USA TODAY Co. reported third-quarter total revenues of $519,243 (In thousands), down 7.4 %, with same store total revenues down 5.8 %. Digital revenues were $249,327 (In thousands), down 5.1 %, and same store digital revenues were down 4.2 %. Management attributed the period to changes in consumer search and inflationary pressures, although it cited stabilization in audience trends and stronger engagement. Average monthly unique visitors increased to 161 million from 158 million average monthly unique visitors in the second quarter of 2026.
Digital monetization indicators were uneven. Digital-only subscription revenues were $46.0 million and marked the third consecutive quarter of year-over-year growth, while company digital-only ARPU increased 23 % to $10.82. However, total digital-only paid subscriptions declined 12 % to 1,396 (In thousands). LocaliQ core platform revenues declined 8 % to $105,362 (In thousands), as a 13 % decline in core platform average customer count to 11.7 (In thousands) outweighed a 6 % increase in core platform ARPU to $2,996.
Profitability and cash flow weakened on a year-over-year basis despite a substantially narrower GAAP loss. Net loss attributable to USA TODAY Co. was $(4,605) (In thousands), versus $(39,249) (In thousands), and adjusted net income was $1,366 (In thousands), versus adjusted net loss of $(31,021) (In thousands). Total Adjusted EBITDA declined to $36,602 (In thousands) from $57,173 (In thousands), reducing its margin to 7.0 % from 10.2 %. Third-quarter free cash flow was $4,340 (In thousands), compared with $4,880 (In thousands), while cash provided by operating activities increased to $16,664 (In thousands) from $15,163 (In thousands).
The company has implemented a $100 million annualized cost reduction program and expects that program to benefit the fourth-quarter run rate, supporting significant sequential growth in Adjusted EBITDA and free cash flow and substantial fourth-quarter margin expansion. Its full-year outlook calls for same store revenue to be down in the mid-single digits, net income attributable to USA TODAY Co. to grow versus the prior year, and Adjusted EBITDA, operating cash flow and free cash flow to decline versus the prior year. The capital structure included $68.2 million of cash and cash equivalents and $952.9 million of total debt principal outstanding at September 30, 2026. The company also had $96.9 million available under its authorized Stock Repurchase Program and amended its term loan facility to permit up to $50.0 million of incremental debt financing that may be used for repurchases on or prior to December 31, 2026.
Management, verbatim
In the third quarter, we felt the impacts of the changes in consumer search along with some inflationary pressures. At the same time, we saw encouraging underlying signals in the categories that we believe are most important to our future. Audience trends showed signs of stabilization, engagement strengthened across our platforms, and we continued to grow the digital revenue categories that are central to our strategy, including direct-sold digital advertising, digital-only subscriptions, and digital other.
Michael Reed, Chairman and Chief Executive Officer
At the end of the third quarter, we implemented our new $100 million annualized cost reduction program, establishing a lower cost structure that is already benefiting our fourth-quarter run rate. Together with the positive momentum across our digital portfolio, we expect these improvements to drive significant sequential growth in Adjusted EBITDA and free cash flow, as well as substantial margin expansion in the fourth quarter.
Michael Reed, Chairman and Chief Executive Officer
We believe our current market valuation does not fully reflect the underlying value of our business or its long-term potential. We have $96.9 million available under our authorized Stock Repurchase Program and plan to be opportunistic with share repurchases in the fourth quarter.
Michael Reed, Chairman and Chief Executive Officer
Not in the filing
stated, not guessed- GAAP gross margin
- non-GAAP gross margin
- GAAP operating income (loss)
- GAAP operating margin
- GAAP tax rate
- quantitative full-year 2026 revenue guidance
- quantitative full-year 2026 Adjusted EBITDA guidance
- quantitative full-year 2026 operating cash flow guidance
- quantitative full-year 2026 free cash flow guidance
- actual third-quarter share repurchases
- dividend information
- previous-release outlook for comparison
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
USA TODAY Co. reported a 7.4% YoY revenue decline, a net loss of $4.6M, and outlined cost reductions and share repurchase plans.
Ticker impact
USA TODAY Co. filed its Q3 2026 results, announced a $100M cost‑reduction program and a $96.9M opportunistic share repurchase plan.
likely modest upside as the market prices in the cost reductions and share repurchase potential
Guidance updates and a buyback tranche are fresh material; however, earnings remain weak, limiting the upside.
Market effects
Digital media firms may see pressure to improve margins, highlighting cost‑cutting trends.
U.S. media sector could experience slight re‑rating as investors assess cost structures.
Limited, primarily affecting U.S. listed media stocks.
Counterpoint
The buyback may be a short‑term support tactic masking underlying revenue weakness.
Key entities
- companyUSA TODAY Co.
Media company reporting Q3 results and new financial initiatives.
