Versant Media Group (VSNT) J.P. Morgan 54th Annual Global Technology, Media and Communications Conference summary

Strategic transformation and business focus

• Completed separation from a larger conglomerate, enabling sharper focus and investment in core businesses, with positive feedback from partners and investors.

• Emphasizing four verticals: business news/personal finance, political news/opinion, golf, and sports/entertainment, each with tailored growth strategies.

• Targeting a revenue mix shift toward 50% non-pay TV, currently at just over 20%, to reduce reliance on traditional pay TV.

• Maintaining strong relationships with distribution and advertising partners, including a two-year ad sales partnership with NBCUniversal, with future optionality.

• Focused on returning capital to shareholders, investing in business growth, and maintaining a strong balance sheet.

Vertical business strategies and digital expansion

• Business news/personal finance vertical leverages CNBC and new digital tools, including the acquisition of StockStory, to serve retail investors without becoming a broker-dealer.

• Political news/opinion vertical (MS NOW) is launching a direct-to-consumer platform later this year, aiming to attract younger audiences and expand engagement.

• Golf vertical has diversified revenue streams, with GolfNow booking 40 million tee times last year and ongoing international expansion.

• Sports/entertainment vertical includes live sports rights (Premier League, NASCAR, WNBA, Olympics, WWE) and plans for AVOD expansion under the Fandango brand.

Market outlook, M&A, and operational efficiency

• Sees limited cost synergies in horizontal M&A within cable networks, focusing instead on vertical integration and targeted acquisitions that enhance existing businesses.

• Linear TV business is stabilizing, with exclusive content reserved for pay TV and broader, higher-priced DTC offerings planned.

• M&A strategy targets both incremental and transformational deals to accelerate revenue diversification, with recent acquisitions in software services and free TV networks.

• Operational efficiency achieved through a leaner structure post-spin, ongoing process reviews, and judicious programming investments based on audience, distributor, and advertiser value.

• Actively returning capital via dividends and share buybacks, with $100 million repurchased in Q1 and an additional $100 million ASR announced.