Sinclair (SBGI) Q4 2024 earnings summary

Executive summary

• Achieved record-breaking political advertising revenues of $405 million in 2024, up 16% over 2020 pre-runoff levels and doubling 2016 levels.

• Adjusted EBITDA for Q4 2024 was $330 million, exceeding guidance by $5 million.

• Comprehensive refinancing completed in early 2025, extending debt maturities and improving balance sheet flexibility.

• Launched new digital products, including top-rated sports podcasts, Tennis Channel D2C streaming, and AMP Sales & Marketing Solutions.

• Formed EdgeBeam Wireless joint venture to leverage ATSC 3.0 for new data delivery services.

Financial highlights

• Q4 2024 consolidated media revenue rose 21% year over year to $992 million, driven by political and distribution revenue growth.

• Adjusted EBITDA grew 83% year over year in Q4 2024 to $330 million.

• Full-year 2024 revenues reached $3,548 million, with Adjusted EBITDA up 57% to $876 million.

• Core advertising declined 9% year over year in Q4, mainly due to political crowd-out and macroeconomic softness.

• Tennis Channel revenues increased 6% year over year in Q4, with digital ad revenue more than doubling.

Outlook and guidance

• Q1 2025 media revenues expected to decline 2–4% year over year, mainly due to lower political revenues.

• Adjusted EBITDA guidance for Q1 2025 is $90–$102 million, down from $139 million in Q1 2024.

• Full-year 2025 expense guidance includes a modest 2% increase in media programming, production, and SG&A.

• Net cash interest expense in 2025 expected to rise by $28 million, excluding $75 million in non-recurring Q1 refinancing fees.

• Forecasting $216 million in cash tax payments for 2025, largely due to Diamond's emergence from Chapter 11.