NASDAQ$NXST

Nexstar Media Group Inc · Q1 2022 earnings

Q1 2022 earnings · · Investor relations

Briefing

Nexstar reported record first quarter financial results, exceeding consensus expectations with all-time high net revenue, Adjusted EBITDA, and free cash flow.

Nexstar Media Group reported a strong start to 2022, delivering record first quarter financial results. The company exceeded expectations, generating all-time high net revenue and Adjusted EBITDA, as well as the highest quarterly free cash flow in the company's history. These results were driven by increases across all core and political advertising, distribution, and digital revenue sources.

  • Nexstar's Q1 2022 net revenue reached a record $1.21 billion, an 8.6% increase year-over-year.
  • Adjusted EBITDA increased by 12.5% to $642.7 million, representing a 53.1% margin.
  • Record quarterly free cash flow increased by 15.9% to $560.4 million, representing 87.2% of Adjusted EBITDA.
  • The company returned $195.2 million to shareholders through share repurchases and dividends.

Headline financials

Total Revenue

$1.21B

Previous: $1.11B+8.6%
EPS (adj)

$5.99

Previous: $4.42+35.5%
Adjusted EBITDA

$643M

Previous: $571M+12.5%
Political Advertising Revenue

$23.7M

Previous: $5.41M+338.2%
Capital Expenditures

-$28.9M

Previous: -$32.1M+10.0%
Free Cash Flow

$223M

Previous: $169M+31.9%
Net Income

$252M

Previous: $201M+25.2%
Operating Income

$329M

Previous: $285M+15.6%
Gross Profit

-$490M

Previous: -$449M-9.0%
Cash & Equivalents

$326M

Previous: $340M-4.0%
Total Assets

$13.1B

Previous: $13.3B-1.9%
Stock-Based Comp

$13M

Previous: $11.6M+12.1%

Revenue & EPS history

Nexstar · Revenue · Quarterly

$1.21B

Q1 2022+8.6%vs Q1 2021
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

Nexstar · $668M total across 1 segment · Q1 2022

  • Distribution
    $668M+7.5%

Forward guidance

Nexstar anticipates strong mid-term and presidential political advertising and distribution agreement renewals, expecting to generate pro forma average annual free cash flow in excess of $1.40 billion over the 2022/2023 cycle.

Tailwinds

  • Strong mid-term and presidential political advertising expected.
  • Distribution agreement renewals representing a significant percentage of subscribers.
  • Healthy core television advertising environment.
  • Expectation to generate pro forma average annual free cash flow in excess of $1.40 billion over the 2022/2023 cycle.
  • Nexstar's diversified media platform produces compelling local and national news, sports, and entertainment content.

Headwinds

  • Recent macroeconomic challenges.
  • Potential impact of changes in national and regional economies.
  • Ability to service and refinance outstanding debt.
  • Successful integration of acquired television stations and digital businesses.
  • Pricing fluctuations in local and national advertising.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2022

Historical avgQ1 2022

+0.9%

Avg return

Earnings day

+3.2%

Avg return

5 days after

+3.6%

Avg return

30 days after

59%

38 / 64 earnings

Positive

+11.5%

Q1 2020

Best reaction

-10.3%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.5%-0.0%-7.8%
Q4 2025+5.5%+4.7%-8.3%
Q3 2025-3.4%-0.7%-3.7%
Q1 2025+5.4%+11.9%+8.4%
Q4 2024+11.1%+16.0%+20.6%
Q3 2024-9.4%-8.2%-7.1%
Q2 2024-7.9%-8.5%-6.1%
Q1 2024+2.5%+6.9%-6.9%
Q4 2023+2.3%-3.9%+6.1%
Q3 2023-4.8%-5.1%-1.9%
Q2 2023-10.3%-10.5%-27.4%
Q1 2023-3.6%-3.7%+1.4%
Q4 2022-3.2%-4.9%-11.5%
Q3 2022+2.5%+8.5%+17.4%
Q2 2022+1.9%+3.1%+0.5%
Q1 2022+6.2%+12.9%+12.6%
Q4 2021-3.2%+1.9%+8.2%
Q3 2021+6.1%+8.6%+0.1%
Q2 2021+3.3%+1.6%+0.6%
Q1 2021+0.6%-0.6%+0.2%
Q4 2020+8.1%+7.0%+13.6%
Q3 2020+5.6%+15.8%+35.3%
Q2 2020-0.3%-0.3%+6.8%
Q1 2020+11.5%+18.8%+53.1%
Q4 2019-1.8%+1.3%-45.1%
Q3 2019+5.0%+11.6%+12.3%
Q2 2019-0.3%-0.1%+2.5%
Q1 2019+0.3%-3.4%-10.5%
Q4 2018+5.1%+11.8%+21.6%
Q3 2018-2.6%-3.3%+2.5%
Q2 2018+1.0%+0.6%+4.3%
Q1 2018+1.9%+6.6%+13.2%
Q4 2017-3.1%-1.5%-9.8%
Q3 2017+3.5%+4.1%+12.9%
Q2 2017+3.0%+2.9%-5.1%
Q1 2017+0.5%-3.4%-2.0%
Q4 2016+4.2%+3.0%+0.2%
Q3 2016+4.9%+20.7%+34.5%
Q2 2016-3.1%+1.4%+3.2%
Q1 2016-1.2%
Q4 2015+7.1%
Q3 2015+1.0%
Q2 2015+0.2%
Q1 2015-2.1%
Q4 2014+0.5%
Q3 2014+4.8%
Q2 2014+3.5%
Q1 2014-4.0%
Q4 2013-3.9%
Q3 2013-1.3%
Q2 2013-5.1%
Q1 2013+6.7%
Q4 2012+4.9%
Q3 2012+1.9%
Q2 2012+2.5%
Q1 2011+1.0%
Q1 2012+0.9%
Q4 2011-0.5%
Q2 2011-0.5%
Q3 2011-1.5%
Q4 2010+7.8%
Q3 2010-6.9%
Q2 2010+2.2%
Q1 2010-2.0%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro