Glacier Media (GVC) Q2 2023 earnings summary

Executive summary

• Q2 2023 revenue was $37.3M, down 13.5% YoY; EBITDA was a $3.2M loss versus $0.6M profit, while net loss attributable to common shareholders widened to $8.2M from $2.4M.

• Results reflected print-media revenue pressure, inflation-driven costs, and the shift of three operations from consolidated subsidiaries to joint ventures.

Financial highlights

• Q2 revenue was $37.322M versus $43.135M YoY; H1 revenue was $76.540M versus $85.367M.

• Q2 EBITDA was $(3.237)M versus $0.636M; H1 EBITDA was $(5.478)M versus $2.876M.

• Q2 net loss attributable to common shareholders was $(8.186)M, or $(0.06) per share, versus $(2.386)M, or $(0.02) per share; H1 loss was $(13.403)M, or $(0.10) per share.

• Capital expenditures were $1.142M in Q2 and $2.219M in H1, compared with $1.040M and $2.132M in the prior-year periods.

Outlook and guidance

• Strategic investment in key areas is being scaled back and targeted to necessary spending until the economic outlook becomes more certain; cost-cutting measures are being implemented through 2023.

• Targeted closures of print operations deemed uneconomic will continue, supporting the shift toward digital products.

• Industry-specific softness is expected to persist through H2 2023; interest-rate pressures are anticipated to begin easing toward year-end, though the outlook remains uncertain.

• Long-term growth focus remains on digital media, data, analytics and information products, with the goal of outgrowing declines in print-advertising profit and cash flow.