Research Reports

Summary

The E.W. Scripps Company reported a modest revenue decline and lower operating income in Q1 FY2026, reflecting ongoing pressures in national networks, while net income improved year-over-year and operating cash flow turned positive — signaling improved working capital management and timing of tax receipts.

Key takeaways

Revenue was $516.9M (-1.4% YoY), driven by lower network affiliation fees and softer advertising demand amid industry-wide audience measurement shifts.

Operating income was $24.8M (-9.9% YoY) with a 4.8% operating margin, pressured by higher sports rights fees partially offset by reduced syndicated programming costs.

Net income improved to -$1.8M (48.2% YoY improvement), and diluted EPS rose to -$0.20 (9.1% YoY improvement), reflecting lower losses despite revenue softness.

Net cash provided by operating activities turned positive at $3.5M (vs. -$3.3M YoY), supported by working capital improvements and tax refund timing.

Full analysis

Network Programming Revenue Declined Due to Lower Affiliation Fees and Advertising Demand

Operating Income Reflects Mixed Programming Cost Dynamics

Operating Cash Flow Turned Positive Amid Working Capital Improvements

Net cash provided by operating activities improved to $3.5M in Q1 FY2026, reversing a $3.3M outflow in the prior-year quarter. This turnaround reflects improvements in working capital management and the timing of tax refunds — both acknowledged in the filing’s liquidity discussion. The positive inflection underscores enhanced operational efficiency in converting earnings into cash, even amid modest top-line pressure.

SSP · The E.W. Scripps Company