$GTN earnings report

This filing is a pre-results guidance update for the quarter ending September 30, 2026, not a release of finalized third-quarter financial results. Gray raised political advertising guidance to $188 - $195 million from $165 - $185 million and raised the low end of total revenue guidance to $950 - $965 million from $935 - $965 million. The company said the update reflects its most current operational information and expectations as of September 28, 2026.

Political advertising is the central change in the update. Gray’s illustrative first-nine-month political advertising discussion assumes $192 million of third-quarter political advertising revenue, the midpoint of the new range. That assumption includes an estimated $9 million of political advertising revenue from recent acquisitions through September 30, 2026. The release also says strong political advertising revenues are paid in advance, affecting commercial receivables and current borrowing capacity under the Accounts Receivable Securitization facility.

Core advertising remains a limitation on the outlook. Guidance moved from Flat, as reported to -1% to Flat, as reported. The filing does not provide a finalized core advertising revenue dollar result for the 2026 quarter, nor does it provide other operating results needed to assess gross profit, operating income, net income, or earnings per share.

Expense guidance improved within the updated outlook. Total corporate and administrative expense is now expected to be $30 - $35 million, versus $35 - $40 million in the August 7, 2026 guidance. Gray also currently anticipates no outstanding borrowings under its Revolving Credit Facility as of September 30, 2026, while stating that current borrowing capacity under its Accounts Receivable Securitization facility is approximately $379 million.

The key confirmation point is the final third-quarter release, which Gray currently expects on Friday, November 6, 2026. Investors will need that release to evaluate whether the stronger political outlook translated into reported total revenue and profitability, and whether core advertising, expenses, cash flow, and debt matched the updated expectations.

Gray Media delivered $839 million of total revenue in the second quarter of 2026, an increase of 9% from $772 million in the second quarter of 2025. Growth was led by political advertising revenue of $83 million, compared with $9 million in the prior-year period, and production companies revenue of $26 million, compared with $18 million. The 2026 Acquisitions contributed $41 million of total revenue during the quarter.

Underlying advertising and retransmission trends were less uniform. Core advertising revenue declined 1% to $357 million. Retransmission consent revenue declined 3% to $359 million, with the release citing continued subscriber declines, one station's transition to independent status, and a resolved distribution-partner dispute. Lower network affiliation fees, which declined 10% to $209 million, supported a 10% increase in Net Retransmission Revenue to $150 million.

Expense performance was mixed. Total broadcasting expense increased 1% to $569 million, while production companies operating expenses increased 10% to $22 million. Corporate and administrative expense increased 48% to $37 million, above the $30 million to $35 million guidance range, primarily due to transaction-related expenses. Net income was $14 million, compared with a net loss of $(56) million, and Adjusted EBITDA increased 27% to $214 million.

For the first six months, total revenue increased 3% to $1,607 million and Adjusted EBITDA increased 12% to $368 million. The company reported a six-month net loss of $(6) million, compared with $(65) million in the prior-year period. Political advertising increased to $113 million from $22 million, while retransmission consent revenue decreased 7% to $698 million.

Balance-sheet attention remains important. Total outstanding principal of debt obligations, less cash, was $5,691 million as of June 30, 2026, compared with $5,442 million as of December 31, 2025. During the period, Gray issued $70 million of additional 7.250% Senior Secured First Lien Notes due in 2033 and used a portion of proceeds for an acquisition closing and a repurchase of Series A Perpetual Preferred Stock. The supplied filing text contains no forward guidance beyond the reported second-quarter comparison with prior guidance.