second quarter 2026
Filed Jul 30, 2026AMC Global Media reported lower second-quarter revenue, operating income, adjusted operating income and free cash flow, while announcing a $500 million Netflix licensing agreement and increasing full-year guidance.
Second-quarter net revenue decreased 8.8%, operating income decreased 75.4%, Adjusted Operating Income decreased 57.9%, and Free Cash Flow decreased 54.8%. The announced Netflix agreement provides $500 million of aggregate content license fees and expected annual license revenue of between $200 million to $225 million in each of 2026 and 2027.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Net RevenuesGAAP | $547,495 | – | (8.8) % |
| Operating IncomeGAAP | $15,854 | – | (75.4) % |
| Adjusted Operating Incomenon-GAAP | $46,068 | – | (57.9) % |
| Diluted Earnings (Loss) Per ShareGAAP | $(0.51) | – | n/m |
| Adjusted Earnings (Loss) Per Sharenon-GAAP | $(0.28) | – | n/m |
| Net cash provided by operating activitiesother | $57,192 | – | (44.4) % |
| Free Cash Flownon-GAAP | $43,267 | – | (54.8) % |
| Domestic Operations subscription revenueGAAP | $305,902 | – | (4.5) % |
| Domestic Operations advertising revenueGAAP | $108,829 | – | (11.2) % |
| Domestic Operations content licensing and other revenueGAAP | $55,659 | – | (33.7) % |
| Domestic Operations Segment Adjusted Operating Incomenon-GAAP | $60,972 | – | (51.7) % |
| International subscription revenueGAAP | $46,612 | – | (1.0) % |
| International advertising revenueGAAP | $29,383 | – | 13.0 % |
| International content licensing and other revenueGAAP | $2,605 | – | 5.8 % |
| International Segment Adjusted Operating Incomenon-GAAP | $14,359 | – | (2.6) % |
| Six Months Ended June 30 Net RevenuesGAAP | $1,089,622 | – | (5.7) % |
| Six Months Ended June 30 Operating IncomeGAAP | $47,115 | – | (63.4) % |
| Six Months Ended June 30 Adjusted Operating Incomenon-GAAP | $115,042 | – | (46.2) % |
| Six Months Ended June 30 Diluted Earnings (Loss) Per ShareGAAP | $(0.94) | – | n/m |
| Six Months Ended June 30 Adjusted Earnings (Loss) Per Sharenon-GAAP | $(0.21) | – | n/m |
| Six Months Ended June 30 Net cash provided by operating activitiesother | $124,659 | – | (41.1) % |
| Six Months Ended June 30 Free Cash Flownon-GAAP | $108,082 | – | (43.1) % |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Domestic OperationsSubscription revenue decreased primarily due to a decline in affiliate revenue, partially offset by streaming revenue growth; advertising revenue included a one-time system integration issue; and content licensing revenue declined due to the timing and availability of deliveries. | $470,390 | – | (10.7) % |
| InternationalAdvertising revenue increased primarily related to revenue from the outperformance of advertising in the fourth quarter of 2025 that has since returned to normal levels and the favorable impact of foreign currency translation. | $78,600 | – | 4.1 % |
2026 and 2027 outlook
- Revenuebetween $200 million to $225 million
- NoteThe Company expects to receive cash payments of approximately $25 million in 2026.
- NoteThe Company expects to receive annual cash payments of approximately $100 million in 2027, 2028, 2029 and 2030.
- NoteThe Company expects to receive the remaining amount in 2031.
- NoteThe aggregate revenue that the Company will recognize will be based on the present value of future payments, which is estimated to be approximately $445 million.
- NoteIn each of 2026 and 2027, the Company expects to recognize annual revenue related to the license agreement between $200 million to $225 million.
- NoteThe Company is increasing its guidance for the full year.
Capital returns
- On May 8, 2026, the Company entered into an accelerated share repurchase agreement with Citibank, N.A. to repurchase $30 million of its outstanding Class A Common Stock.
- As of June 30, 2026, the Company had $87 million of authorization remaining for repurchase under its Stock Repurchase Program.
- The final settlement of the accelerated share repurchase transaction is expected to occur in the fourth quarter of 2026, but may be completed earlier at Citibank’s election.
What drove it
- Streaming revenue increased 6% to $180 million primarily due to the impact of price increases across the Company’s services.
- Affiliate revenue declined 17% to $126 million primarily due to basic subscriber declines.
- Domestic advertising revenue was affected by a one-time, now resolved system integration issue.
- International revenue increased 4%; excluding the favorable impact of foreign currency translation, International revenue increased 2%.
- The Netflix agreement grants co-exclusive global streaming rights to seven Walking Dead Universe series comprising 371 episodes, while AMC Global Media retains global rights to exhibit the shows on its own streaming services.
Concerns
- Net revenue decreased 9% from the prior year.
- Domestic Operations revenue decreased 11% from the prior year.
- Domestic Segment Adjusted Operating Income decreased 52% to $61 million, primarily driven by revenue declines and increased marketing investments related to the timing of premieres.
- International Segment Adjusted Operating Income decreased 3% to $14 million, primarily driven by lower subscription revenue and higher selling, general and administrative expense, excluding the impact of foreign currency translation.
- Second-quarter restructuring and other related charges were $1.3 million, including $0.8 million related to the restructuring plan in the International segment and $0.5 million related to severance charges.
What to watch
- Cash payments and revenue recognition under the Netflix license agreement, including approximately $25 million of expected cash payments in 2026 and between $200 million to $225 million of expected annual revenue recognition in each of 2026 and 2027.
- The Walking Dead beginning to stream on AMC+ for the first time early next year.
- Affiliate revenue trends following renewals with Comcast, DirecTV, DISH and YouTube.
- The final settlement of the $30 million accelerated share repurchase agreement.
Balance sheet and cash flow
- Net cash provided by operating activities was $57 million.
- Free Cash Flow was $43 million.
- The Company repaid the $80 million remaining balance under the Term Loan A facility and terminated its revolving credit facility on May 12, 2026.
- As of July 24, 2026, the Company had 29,765,563 shares of Class A Common Stock and 11,484,408 shares of Class B Common Stock outstanding.
Analysis
AMC Global Media's second quarter showed broad pressure in the reported operating results. Net revenues were $547,495, down (8.8) %, while Operating Income was $15,854, down (75.4) %, and Adjusted Operating Income was $46,068, down (57.9) %. Diluted Earnings (Loss) Per Share was $(0.51), compared with $0.91 in the prior-year period, and Adjusted Earnings (Loss) Per Share was $(0.28), compared with $0.69.
Management, verbatim
We are pleased to announce today an expansion of our relationship with a key long-term partner, Netflix. We have reached a global co-exclusive licensing agreement for the streaming rights to the entire Walking Dead Universe, which will provide a meaningful source of cash flow for years to come.
Kristin Dolan, Chief Executive Officer
We renewed distribution agreements with major partners Comcast and YouTube. We are increasing our guidance for the full year as we leverage the value of our IP, the importance of our studio and the strength of our partner relationships, particularly in the area of distribution.
Kristin Dolan, Chief Executive Officer
Not in the filing
stated, not guessed- Gross profit and gross margin
- Operating expenses
- Net income or net loss
- Cash and cash equivalents balance
- Total debt balance after repayment of the Term Loan A facility
- Dividend information
- Full-year company revenue, gross margin, operating expense and tax-rate guidance figures
- Prior-quarter comparisons for reported metrics
- Prior outlook for comparison with actual results
AlphaAI analysis generated 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 cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.