Usa Today Co., Inc. · NYSE:TDAY
Usa Today — Gannett — Q1 2025 Earnings Presentation
27 slides from Usa Today's earnings presentation, May 1, 2025
Slide 1: Q1 2025 Earnings
Q1 2025 Earnings May 1, 2025 1
Slide 2: Disclaimer and Notes
Disclaimer and Notes In General. This disclaimer applies to this document and the verbal or written comments of any person presenting it. This document, taken together with any such verbal or written comments, is referred to herein as the “Presentation.” Gannett Co., Inc. is referred to in this Pres
Slide 3: Gannett is a diversified media company with expansive reach
Gannett is a diversified media company with expansive reach at the national and local level dedicated to empowering and enriching communities. We seek to inspire, inform, and connect audiences as a sustainable, growth- focused media and digital marketing solutions company. Our strategy prioritizes m
Slide 4: Key Operating Pillars
Key Operating Pillars Strong Focus on Maximizing Long-term Shareholder Value Q1 2025 Highlights (1) Expand reach and engagement + Achieved growth in free cash flow over the prior year 1 with our customer segments period Foundation + Significant year-over-year improvement in net loss for ongoing attr
Slide 5: The Turning Point
(1) The Turning Point Diligent Focus on Driving Free Cash Flow and Earnings Improvement Adjusted Net Income Cash Provided by Net Income (Loss) Free Cash Flow(2) (Loss) Attributable to Operating Activities Attributable to Gannett Gannett(2) Grew Grew Improved Improved 3.8% 7.6% $77.4M $23.4M $10.2M $
Slide 6: The Turning Point
(1) The Turning Point Full Year 2025 Results Expected to Build on the Strong Foundation of the Past Three Years Digital Revenues as a % of Net Income (Loss) Attributable to Adjusted Net Income (Loss) Total Digital Revenues (2) Total Revenues Gannett Attributable to Gannett Grew Increased Improved Im
Slide 7: Diversified Digital Revenue
Diversified Digital Revenue Revenue Expected to Continue to be Increasingly Digital Q1 2025 Q1 2025 Q1 2025 Total Revenue Mix % of Total Digital Advertising $83.4M 15% Digital Marketing Services $108.8M 19% 44% 56% Digital-only Subscription $43.3M 8% Digital Print and commercial Digital Other $15.0M
Slide 8: Key Stats and Value Drivers
Key Stats and Value Drivers Executed on Growth Segments and Investment Strategy in Q1 2025 Diversified Digital Expanded Reach Balanced Capital Structure Revenues 195M $250.4M $74.5M Average Monthly Unique Visitors (1) Total Digital Revenues Total Debt Paydown 4.7% growth YoY 1.93M 44% Digital Revenu
Slide 9: Q1 2025 Results and Non-GAAP Highlights
(1) Q1 2025 Results and Non-GAAP Highlights (1) Revenues Adjusted EBITDA ◦ $571.6M Total Revenues ◦ $50.5M Adjusted EBITDA(1) (1) (1) ◦ Same store revenues decreased 7.7% year-over-year, driven ◦ Adjusted EBITDA decreased $7.1 million, or 12.3% compared in part by the cycling of Leap Day. Total reve
Slide 10: Business Outlook
(1) Business Outlook Following Q1 2025 Results, the Company Confirms its Full Year Outlook Full Year 2024 Results Expected Full Year 2025 Business Outlook Total Digital (2) Grow approximately 7%-10% on a same store basis (2) +5.8% on a same store basis Revenues Make up 50% of total revenues during 2
Slide 11: Key Operating Pillars
Key Operating Pillars First Quarter 2025 Update 11
Slide 12: Pillar One: Expand Reach and Engagement with our Customer Segments
Pillar One: Expand Reach and Engagement with our Customer Segments Q1 2025 Metrics Total Digital Audience Domestic Average Monthly Page Views 1.29B 1.27B 1.22B 195M 1.12B 1.12B (1) Average Monthly Unique Visitors Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 1 195 million average monthly unique visitors in Q1 2025
Slide 13: Pillar Two: Diversify Digital Revenue
Pillar Two: Diversify Digital Revenue Revenue Expected to Continue to be Increasingly Digital Total Digital Digital Marketing Digital-only Digital Advertising Digital Other Revenues Services Subscription $250.4M $83.4M $108.8M $43.3M $15.0M $250.4M $83.4M 19% of Total $43.3M 8% of Total $15.0M 3% of
Slide 14: Pillar Three: Strengthen Capital Structure
Pillar Three: Strengthen Capital Structure Q1 2025 Balance Sheet and Liquidity Q1 2025 Significant Debt Repayment + Cash and cash equivalents of $85.9 million at the end of Q1 2025 $1,759M + Total debt principal outstanding at March 31, 2025 of $1,037.3 million $1,575M (1) $1,369M ◦ Total net debt o
Slide 15: Digital Marketing Solutions
Digital Marketing Solutions First Quarter 2025 Update 15
Slide 16: Q1 2025 Results
Digital Marketing Solutions: Drive Digital Revenue Growth Digital Marketing Solutions – Dedicated to Helping Local Businesses Succeed Q1 2025 Results $108.2M (1) Core Platform Revenues $2,693 (1) Core Platform ARPU 13.4K (1) Core Platform Average Customer Count 1 Core platform ARPU, core platform av
Slide 17: Digital Marketing Solutions: Drive DMS Growth
Digital Marketing Solutions: Drive DMS Growth Digital Marketing Solutions - Core Platform (1) (1) Revenues (M) Average Customer Count (K) $122.8 $119.2 $116.1 $116.2 14.7 $108.2 14.3 14.3 13.9 13.4 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 (1) (2) ARPU Customer Budget Retention $2,
Slide 18: Appendix
Appendix 18
Slide 19: Gannett Diversified Revenues
Gannett Diversified Revenues(1) Full Year Full Year Full Year Full Year Q1 2025 ($ in millions) 2023 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 2024 2024 Q1 2025 % of Total % of Total % of Total Digital advertising $333.6 12.5% $84.5 $84.5 $84.7 $92.7 $346.4 13.8% $83.4 14.6% Digital marketing services $4
Slide 20: Debt and Leverage Overview
Debt and Leverage Overview ($ in millions) Rate Balance as of March 31, 2025 (1) 2029 Term Loan Facility 9.3% $775.5 2031 Notes 6.0% $223.7 2027 Notes 6.0% $38.1 Total Debt Outstanding 8.47% Blended Rate $1,037.3 (2) Q1 2025 LTM Adjusted EBITDA $266.1 Cash and cash equivalents $85.9 (3) Gross Levera
Slide 21: Non-GAAP Reconciliation
Non-GAAP Reconciliation The Company uses non-GAAP financial performance and liquidity measures to supplement the financial information presented on a U.S. generally accepted accounting principles ("U.S. GAAP") basis. These non-GAAP financial performance and liquidity measures, which may not be compa
Slide 22: Key Performance Indicators
Key Performance Indicators A key performance indicator ("KPI") is generally defined as a quantifiable measurement or metric used to gauge performance, specifically to help determine strategic, financial, and operational achievements, especially compared to those of similar businesses. We define Digi
Slide 23: Gannett Non-GAAP Reconciliation
(1) Gannett Non-GAAP Reconciliation Adjusted EBITDA 3 months ended March 31, 2025 Domestic Digital Corporate Total (in thousands) Gannett Newsquest Marketing and other Consolidated Media Solutions Net income (loss) attributable to Gannett $22,659 $13,455 $1,624 $(45,071) $(7,333) Benefit for income
Slide 24: Gannett Non-GAAP Reconciliation
(1) Gannett Non-GAAP Reconciliation Adjusted EBITDA 3 months ended March 31, 2024 Domestic Digital Corporate Total (in thousands) Gannett Newsquest Marketing and other Consolidated Media Solutions Net income (loss) attributable to Gannett $5,463 $14,544 $609 $(105,384) $(84,768) Provision for income
Slide 25: Gannett Non-GAAP Reconciliation
(1) Gannett Non-GAAP Reconciliation Adjusted net income (loss) attributable to Gannett and Free cash flow (in thousands) 3 months ended March 31, 2025 Net loss attributable to Gannett $(7,333) Loss on early extinguishment of debt 1,274 Integration and reorganization costs 9,498 Third-party debt expe
Slide 26: Gannett Same Store Non-GAAP Revenues Metrics and Reconciliations
(1) Gannett Same Store Non-GAAP Revenues Metrics and Reconciliations 2025 and 2024 Same Store Year-over-Year Total revenues Q1 2024 Q2 2024 Q3 2024 Q4 2024 FY 2024 Q1 2025 Same Store Year-Over-Year Total revenues (5.1)% (4.6)% (5.3)% (5.5)% (5.1)% (7.7)% 3 months ended 3 months ended Year ended Year
Slide 27: Gannett Same Store Non-GAAP Revenues Metrics and Reconciliations
(1) Gannett Same Store Non-GAAP Revenues Metrics and Reconciliations 2025 and 2024 Same Store Year-over-Year Digital revenues Q1 2024 Q2 2024 Q3 2024 Q4 2024 FY 2024 Q1 2025 Same Store Year-Over-Year Digital revenues 7.8% 6.2% 5.8% 3.4% 5.8% (3.8)% 3 months ended 3 months ended Year ended Year ended