Tribune Media — Q3 2016 Earnings Presentation
23 slides from Tribune Media's earnings presentation, Nov 9, 2016
Slide 1: Q3 2016 Performance Summary
Exhibit 99.2 Q3 2016 Performance Summary NOVEMBER 2016
Slide 2: Cautionary Statement Regarding Forward Looking Statements
Cautionary Statement Regarding Forward Looking Statements This presentation contains “forward-looking statements” within the meaning of the federal securities laws. Forward-looking statements are subject to known and unknown risks and uncertainties, many of which may be beyond our control. Forward-l
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation includes a discussion of Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted EPS for the Company and Adjusted EBITDA and Adjusted EBITDA Margin for our operating segments (Television and Entertainment, Digital and Data, and Corporate and Other) and pres
Slide 4: Tribune Media
Tribune Media A diverse combination of media assets that meaningfully touch millions of people every day, including compelling content in news and entertainment, significant broadcast distribution, an emerging cable network, and a cutting-edge digital and data business. • Broadcast: 42 owned or oper
Slide 5: Q3 and Q3 YTD 2016 Highlights
Q3 and Q3 YTD 2016 Highlights As compared to the three and nine months ended September 30, 2015 Q3 2016 Q3 YTD 2016 • Consolidated operating revenues increased 6% to • Consolidated operating revenues increased 7% to $518.1 million. $1,564.7 million. • Net core advertising revenues decreased 6% to •
Slide 6: Consolidated Financial Results
Consolidated Financial Results (unaudited) (USD thousands) Three Months Ended Variance Nine Months Ended Variance September 30, September 30, September 30, September 30, 2016 2015 $% 2016 2015 $% Operating Revenues $518,069 $488,594 29,475 6% $1,564,697 $1,462,855 101,842 7% Operating Expenses 295,6
Slide 7: Television and Entertainment Segment Operating Results
Television and Entertainment Segment Operating Results (unaudited) (USD thousands) Three Months Ended Variance Nine Months Ended Variance September 30, September 30, September 30, September 30, 2016 2015 $% 2016 2015 $% Operating Revenues $459,145 $429,700 29,445 7% $1,380,991 $1,285,622 95,369 7% O
Slide 8: Television and Entertainment Segment Revenues
Television and Entertainment Segment Revenues (unaudited) (USD thousands) Three Months Ended Variance Nine Months Ended Variance September 30, September 30, September 30, September 30, 2016 2015 $% 2016 2015 $% Advertising Core (Local/National) (1) $282,175 $300,247 (18,072) (6)% $882,369 $901,938 (
Slide 9: Television and Entertainment Segment Adjusted EBITDA & Broadcast Cash Flow
Television and Entertainment Segment Adjusted EBITDA & Broadcast Cash Flow (unaudited) (USD thousands) Three Months Ended Variance Nine Months Ended Variance September 30, September 30, September 30, September 30, 2016 2015 $% 2016 2015 $% Operating Profit $46,186 $64,061 (17,875) (28)% $188,519 $19
Slide 10: Digital and Data Segment Operating Results
Digital and Data Segment Operating Results (unaudited) (USD thousands) Three Months Ended Variance Nine Months Ended Variance September 30, September 30, September 30, September 30, 2016 2015 $% 2016 2015 $% Operating Revenues $49,064 $46,561 2,503 5% $149,651 $140,388 9,263 7% Operating Expenses 60
Slide 11: Digital and Data Segment Revenues & Adjusted EBITDA
Digital and Data Segment Revenues & Adjusted EBITDA (unaudited) (USD thousands) Three Months Ended Variance Nine Months Ended Variance September 30, September 30, September 30, September 30, 2016 2015 $% 2016 2015 $% Video and other $33,952 $30,718 3,234 11% $105,050 $86,269 18,781 22% Music 15,112
Slide 12: Corporate and Other Revenues & Adjusted EBITDA
Corporate and Other Revenues & Adjusted EBITDA (unaudited) (USD thousands) Three Months Ended Variance Nine Months Ended Variance September 30, September 30, September 30, September 30, 2016 2015 $% 2016 2015 $% Operating Revenues $9,860 $12,333 (2,473) (20)% $34,055 $36,845 (2,790) (8)% Operating E
Slide 13: Real Estate Premier Sale & Redevelopment Properties
Real Estate Premier Sale & Redevelopment Properties as of November 9, 2016 Property Location Sq.Ft Acres Redevelopment Status Current Occupancy Freedom Center North Chicago, IL 117K 7.0 JV partner selected Vacant Freedom Center South Chicago, IL 854K 30.4 Operating as an industrial site tronc, Inc.
Slide 14: Debt and Cash
Debt and Cash (unaudited) (USD thousands) September 30, 2016 December 31, 2015 (1) Cash and cash equivalents $643,698 $262,644 Debt: Term Loan Facility, due 2020 $2,316,178 $2,328,092 5.875% Senior Notes due 2022 1,083,813 1,082,534 Dreamcatcher Credit Facility due 2018 15,768 18,725 Total Debt (2)
Slide 15: 2016 Guidance
2016 Guidance(1) (2) The Company is revising FY 2016 guidance. 2016 Guidance Range Implied Y-o-Y Change Consolidated Revenues $2.147 billion to $2.179 billion ~7% to 8% Consolidated Adjusted EBITDA (3) $565 million to $585 million ~15% to 19% TV&E Segment Revenues $1.885 billion to $ 1.905 billion ~
Slide 16: Non-GAAP Reconciliations
Tribune } Non-GAAP Reconciliations
Slide 17: Consolidated Reconciliation of Net Income (Loss) to Adjusted EBITDA
Consolidated Reconciliation of Net Income (Loss) to Adjusted EBITDA (unaudited) (USD thousands) Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, 2016 2015 2016 2015 Revenues $ 518,069 $488,594 $1,564,697 $1,462,855 Net Income (Loss) $ 145,765 $27,858 $(4,7
Slide 18: Television and Entertainment Reconciliation of Operating Profit to Adjusted EBITDA and Broadcast Cash Flow
Television and Entertainment Reconciliation of Operating Profit to Adjusted EBITDA and Broadcast Cash Flow (unaudited) (USD thousands) Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, 2016 2015 2016 2015 Advertising $329,290 $319,510 $986,809 $953,769 Retr
Slide 19: Digital and Data Reconciliation of Operating Loss to Adjusted EBITDA
Digital and Data Reconciliation of Operating Loss to Adjusted EBITDA (unaudited) (USD thousands) Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, 2016 2015 2016 2015 Video and other $33,952 $30,718 $105,050 $86,269 Music 15,112 15,843 44,601 54,119 Total R
Slide 20: Corporate and Other Reconciliation of Operating Profit (Loss) to Adjusted EBITDA
Corporate and Other Reconciliation of Operating Profit (Loss) to Adjusted EBITDA (unaudited) (USD thousands) Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, 2016 2015 2016 2015 Total Revenues $9,860 $12,333 $34,055 $36,845 Operating Profit (Loss) $ 187,87
Slide 21: Consolidated Reconciliation of Diluted EPS to Adjusted EPS
Consolidated Reconciliation of Diluted EPS to Adjusted EPS (unaudited) (USD thousands, except per share amounts) Three Months Ended September 30, 2016 September 30, 2015 Pre-Tax After-Tax Diluted EPS Pre-Tax After-Tax Diluted EPS Diluted EPS $1.61 $0.29 Newsday income tax charges $ —$ (2,871) (0.03)
Slide 22: Consolidated Reconciliation of Diluted EPS to Adjusted EPS
Consolidated Reconciliation of Diluted EPS to Adjusted EPS (unaudited) (USD thousands, except per share amounts) Nine Months Ended September 30, 2016 September 30, 2015 Pre-Tax After-Tax Diluted EPS Pre-Tax After-Tax Diluted EPS Diluted EPS $(0.05) $0.63 Newsday income tax charges $— $190,360 2.08 $
Slide 23: Q3 2016 Performance Summary
Q3 2016 Performance Summary NOVEMBER 2016