Sinclair (SBGI) Q2 2024 earnings summary

Executive summary

• Q2 2024 revenues reached $829 million, up 8% year-over-year, with Adjusted EBITDA of $158 million, exceeding guidance, driven by strong political and distribution revenues.

• Political advertising revenue was $40 million in Q2, with full-year guidance raised to $385–$410 million, 10–17% above 2020 levels.

• Ventures portfolio generated $109 million in distributions, including a $105 million exit, and $83 million net cash received.

• Net income attributable was $17 million, compared to a net loss of $89 million in Q2 2023.

• NextGen Broadcast launched in 45 markets, now covering over 75% of TV households.

Financial highlights

• Q2 2024 total revenues were $829 million, up from $768 million in Q2 2023.

• Adjusted EBITDA was $158 million, up 39–42% year-over-year, exceeding guidance.

• Operating income was $64 million, compared to a $3 million loss prior year.

• CapEx was $23 million, below guidance.

• Cash and equivalents at quarter-end were $378 million, with total liquidity of $605 million.

Outlook and guidance

• Q3 2024 revenues are guided to $898–$929 million, with Adjusted EBITDA expected at $229–$254 million.

• Full-year political ad revenue guidance increased to $385–$410 million.

• Full-year media programming, production, and SG&A expenses projected at $2.47–$2.48 billion; capex $93–$98 million.

• Net cash tax payment guidance lowered by $162 million, with payment delayed to Q2 2025.

• Management expects liquidity to be sufficient for debt service and capex over the next 12 months.