Saga Communications (SGA) Q4 2025 earnings summary

Executive summary

• Net revenue for Q4 2025 declined 9.3% year-over-year to $26.5 million, and full-year net revenue fell 5.1% to $107.1 million, mainly due to lower political revenue.

• Digital and interactive revenue grew 25.8% in Q4 and 19.1% for the year, partially offsetting declines in traditional revenue.

• A non-cash impairment charge of $20.4 million led to a reported net loss for both Q4 and the full year, eliminating all goodwill.

• Excluding the impairment, Q4 net income would have been $8.2 million and full-year net income $7.2 million.

Financial highlights

• Q4 2025 net loss was $6.9 million versus net income of $1.3 million in Q4 2024; full-year net loss was $7.9 million compared to net income of $3.5 million in 2024.

• Q4 operating loss was $9.5 million; without impairment, operating income would have been $10.9 million.

• Station operating income (non-GAAP) fell 38.7% in Q4 to $3.6 million and 27.3% for the year to $15.3 million.

• Gain of $11.6 million recognized from the sale of telecommunications towers.

• Quarterly dividend of $0.25 per share paid in December 2025 and declared for March 2026.

Outlook and guidance

• First quarter 2026 pacing down mid-single digits, with interactive revenue up 26.4%.

• Second quarter expected to be down mid-single digits; return to revenue growth anticipated in the second half of 2026.

• Capital expenditures for 2026 projected at $3.5–$4.5 million.

• Station operating expense expected flat year-over-year, up 3%-4% including digital initiative costs.