NYSE$TDAY

USA TODAY Co Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Gannett's Q4 2022 financial performance was reported, demonstrating progress against strategic priorities with the highest quarterly Adjusted EBITDA of the year and significant sequential growth over the prior quarter.

Gannett reported Q4 2022 results, with digital-only paid subscriptions growing 24% year-over-year to 2.03 million, and digital marketing solutions core platform revenues up 9% year-over-year. The company repaid $47.3 million in debt during the quarter and ended the year with a cash balance of $94 million.

  • Digital-only paid subscriptions grew 24% year-over-year, reaching 2.03 million.
  • Digital-only circulation revenues increased by 29% year-over-year.
  • Digital Marketing Solutions core platform revenues increased 9% year-over-year.
  • The company repaid $47.3 million of debt during the fourth quarter.

Headline financials

Total Revenue

$731M

Previous: $827M-11.6%
EPS (adj)

$0.22

Previous: -$0.32+168.8%
Total Digital-only Paid Subscriptions

2.0M

No prior period
Capital Expenditures

$9.43M

Previous: $12.3M-23.3%
Free Cash Flow

-$1.64M

Previous: -$18.2M+91.0%
Net Income

$32.8M

Previous: -$22.4M+246.0%
Operating Income

$14.7M

Previous: $24.6M-40.0%
Gross Profit

$276M

Previous: $356M-22.7%
Cash & Equivalents

$94.3M

Previous: $131M-27.9%
Total Assets

$2.39B

Previous: $2.83B-15.4%
Stock-Based Comp

$3.47M

Previous: $4.64M-25.0%

Revenue & EPS history

Gannett · Revenue · Quarterly

$731M

Q4 2022-11.6%vs Q4 2021
Beat estimate in 5 of 14 quarters(36%)
ActualEstimate

Forward guidance

Gannett provided its full year 2023 outlook, expecting revenues between $2.75B to $2.80B, net income attributable to Gannett between ($20M) to $10M, cash provided by operating activities between $120M to $140M, free cash flow between $80M to $100M, and Adjusted EBITDA between $280M to $300M.

Tailwinds

  • Revenues between $2.75B to $2.80B
  • Cash provided by operating activities between $120M to $140M
  • Free cash flow between $80M to $100M
  • Adjusted EBITDA between $280M to $300M
  • First lien net leverage <2.0x

Headwinds

  • Net income attributable to Gannett between ($20M) to $10M
  • Same-store total revenues Year-Over-Year (5% to 3%)
  • Capital expenditures are assumed at $40 million for full year 2023
  • Estimates do not factor in the impact of any future acquisitions or dispositions
  • Future financial results could differ materially from the Company’s current estimates

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 2022

Historical avgQ4 2022

-0.7%

Avg return

Earnings day

-0.8%

Avg return

5 days after

+6.7%

Avg return

30 days after

47%

22 / 47 earnings

Positive

+31.5%

Q1 2024

Best reaction

-28.1%

Q2 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.8%-1.1%+7.4%
Q3 2025+28.4%+23.8%+21.9%
Q1 2025-3.4%-1.6%+10.6%
Q4 2024-3.7%-15.8%-36.3%
Q3 2024-19.4%-14.5%-10.7%
Q2 2024-12.8%-10.2%+7.7%
Q1 2024+31.5%+33.2%+56.0%
Q4 2023-6.3%-2.7%+0.5%
Q3 2023-14.8%-15.2%-16.1%
Q2 2023+17.1%+26.2%+7.3%
Q1 2023+1.5%-2.0%+13.6%
Q4 2022+17.8%+17.4%-29.1%
Q3 2022+23.0%+31.1%+74.3%
Q2 2022-26.5%-26.2%-28.7%
Q1 2022-8.8%-11.7%-7.9%
Q4 2021-5.6%-12.4%-13.2%
Q3 2021-7.1%-13.7%-21.1%
Q2 2021+11.4%+11.0%+15.7%
Q1 2021-4.0%-1.3%+12.4%
Q4 2020-11.8%-2.7%-4.6%
Q3 2020+12.3%+20.2%+148.2%
Q2 2020-7.8%+6.0%+10.2%
Q1 2020+1.9%+3.7%+162.6%
Q4 2019-14.1%-18.6%-59.3%
Q3 2019-3.5%-11.1%-23.3%
Q2 2019-28.1%-18.3%-8.2%
Q1 2019-3.8%-3.1%-13.7%
Q4 2018+0.7%+0.9%-16.0%
Q3 2018-2.4%-3.8%-12.1%
Q2 2018-1.8%-1.3%-1.8%
Q1 2018+2.3%-1.1%+6.2%
Q4 2017-1.6%+0.4%+9.3%
Q3 2017+2.2%-0.1%+12.4%
Q2 2017+1.9%-1.5%+4.4%
Q1 2017+2.8%-7.6%-10.9%
Q4 2016+2.1%+1.8%-4.9%
Q3 2016+1.0%+0.8%+11.3%
Q2 2016-9.1%-10.6%-21.3%
Q1 2016+1.2%
Q4 2015+1.5%
Q3 2015-6.5%
Q2 2015+8.6%
Q1 2015+0.5%
Q4 2014+2.4%
Q3 2014-1.3%
Q2 2014-1.0%
Q1 2014-1.1%
Q4 2013
Q3 2013
Q2 2013
Q1 2013
Q4 2012
Q3 2012

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