Saga Communications, Inc. (SGA) Q3 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Thank you, Matt, and thank you to your dulcet tones. And thank you to everyone who has taken the time to join Saga's 2025 Q3 earnings call. We appreciate your continued interest and support in your participation in Saga Communications, what we believe is the best media company on the planet. I'm here with Sam Bush, and today represents 28 years of Sam doing Saga earnings calls. So, Sam, congratulations. And with that, I'm going to relinquish the floor to you for now. and I'll save my remarks for later in the call. Thank you, Chris. This call will contain forward-looking statements about our future performance and results of operations that involve risks and uncertainties that are described in the risk factor section of our most recent Form 10-K. This call will also contain a discussion of certain non-GAAP financial measures. Reconciliation for all the non-GAAP financial measures to the most directly comparable GAAP measure are attached in the selected financial data tables. For the quarter ended September 30, 2025, net revenue decreased $528,000, or 1.8%, to $28.2 million compared to $28.7 million last year. Station operating expense increased $2 million to $24.7 million for the three-month period. As reported in the press release, this increase was primarily the result of an industry-wide settlement with two of the music licensing organizations we are licensed by. In mid-August, the Radio Music License Committee, which SAG is a member of, announced separate rate-setting settlements with ASCAP and BMI. The settlements established license fees, which applied retroactively for the periods from January 1, 2022, through September 30, 2025, and on a go-forward basis through December 31, 2029. In September, we booked $1.7 million for the periods from January 1, 2022, to De...