NASDAQ$NXST

Nexstar Media Group Inc · Q4 2019 earnings

Q4 2019 earnings · · Investor relations

Briefing

Nexstar's Q4 2019 financial results were released, showing a significant increase in net revenue driven by the Tribune Media acquisition and strong performance in core advertising and distribution revenue.

Nexstar Media Group reported record fourth-quarter net revenue of $1.1 billion, a 37.9% increase year-over-year, driven by growth in core advertising, distribution, and digital revenue, with significant contributions from the recent Tribune Media acquisition. The company's focus on integration and synergy realization led to strong financial results.

  • Net revenue increased by 37.9% to $1.1 billion, driven by the Tribune Media acquisition.
  • Core advertising revenue rose by 76.1%, indicating strong underlying business performance.
  • Distribution revenue increased by 56.7% to a record $445.8 million due to new agreements and synergies.
  • The company repurchased $45.1 million of common shares, demonstrating a commitment to shareholder returns.

Headline financials

Total Revenue

$1.1B

Previous: $798M+37.8%
EPS (adj)

$2.36

Previous: $3.53-33.1%
Adjusted EBITDA

$379M

Previous: $353M+7.5%
Political Advertising Revenue

$36.5M

Previous: $140M-73.9%
Capital Expenditures

$87.3M

Previous: $42.7M+104.6%
Free Cash Flow

$174M

Previous: $195M-10.6%
Net Income

$114M

Previous: $153M-25.6%
Operating Income

$256M

Previous: $273M-6.0%
Gross Profit

$668M

Previous: $519M+28.8%
Cash & Equivalents

$232M

Previous: $145M+59.9%
Total Assets

$14B

Previous: $7.06B+98.1%
Stock-Based Comp

$9.59M

Previous: $8.45M+13.5%

Revenue & EPS history

Nexstar · Revenue · Quarterly

$1.1B

Q4 2019+37.8%vs Q4 2018
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

Nexstar · $446M total across 1 segment · Q4 2019

  • Distribution
    $446M+56.7%

Forward guidance

Nexstar anticipates significant free cash flow growth for the 2020/2021 cycle, driven by factors like the Super Bowl, Olympics, distribution revenue growth, and election cycle spending. The company expects to generate pro-forma average annual free cash flow in excess of $1.175 billion.

Tailwinds

  • Expected record levels of 2020 election cycle spending.
  • Continued double-digit growth in distribution revenue.
  • Synergies from the Tribune Media transaction.
  • Super Bowl on FOX and Summer Olympics on NBC.
  • Continued sharing of best practices between Nexstar and Tribune organizations.

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 Q4 2019

Historical avgQ4 2019

+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%

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