10-Q

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

TEGNA Inc.

CONDENSED CONSOLIDATED BALANCE SHEETS

In thousands of dollars (Unaudited)


	Mar. 31, 2025			Dec. 31, 2024

ASSETS
Current assets
Cash and cash equivalents	$	716,647		$	693,214
Accounts receivable, net of allowances of $3,531 and $2,831, respectively		594,829			604,300
Other receivables		6,911			11,752
Syndicated programming rights		19,525			28,097
Prepaid expenses and other current assets		28,994			23,049
Total current assets		1,366,906			1,360,412
Property and equipment
Cost		1,097,949			1,093,900
Less accumulated depreciation		(664,183	)		(649,581	)
Net property and equipment		433,766			444,319
Intangible and other assets
Goodwill		3,015,944			3,015,944
Indefinite-lived and amortizable intangible assets, less accumulated amortization of $194,028 and $185,175, respectively		2,300,919			2,309,772
Right-of-use assets for operating leases		51,992			63,535
Investments and other assets		132,230			132,537
Total intangible and other assets		5,501,085			5,521,788
Total assets	$	7,301,757		$	7,326,519

The accompanying notes are an integral part of these condensed consolidated financial statements.

TEGNA Inc.

CONDENSED CONSOLIDATED BALANCE SHEETS

In thousands of dollars, except par value and share amounts (Unaudited)


	Mar. 31, 2025			Dec. 31, 2024
LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND EQUITY
Current liabilities
Accounts payable	$	88,827		$	87,338
Accrued liabilities
Compensation		56,209			64,343
Interest		12,042			44,719
Contracts payable for programming rights		151,733			143,095
Other		94,987			75,454
Income taxes payable		21,266			51,331
Current portion of long-term debt		548,454			—
Total current liabilities		973,518			466,280

Noncurrent liabilities
Net deferred income tax liabilities		580,556			579,213
Long-term debt		2,528,920			3,076,451
Pension liabilities		62,236			65,956
Operating lease liabilities		47,516			63,421
Other noncurrent liabilities		49,433			50,167
Total noncurrent liabilities		3,268,661			3,835,208
Total liabilities	$	4,242,179		$	4,301,488

Commitments and contingent liabilities (see Note 10)

Redeemable noncontrolling interest (see Note 1)	$	20,708		$	20,317

Shareholders̛ equity
Common stock of $1 per value per share, 800,000,000 shares authorized, 324,418,632 shares issued		324,419			324,419
Additional paid-in capital		27,941			27,941
Retained earnings		8,531,880			8,549,717
Accumulated other comprehensive loss		(105,621	)		(106,644	)
Less treasury stock at cost, 163,703,324 shares and 164,520,591 shares, respectively		(5,739,749	)		(5,790,719	)
Total equity		3,038,870			3,004,714
Total liabilities, redeemable noncontrolling interest and equity	$	7,301,757		$	7,326,519

The accompanying notes are an integral part of these condensed consolidated financial statements.

TEGNA Inc.

CONSOLIDATED STATEMENTS OF INCOME

Unaudited, in thousands of dollars, except per share amounts


	Quarter ended Mar. 31,
	2025			2024

Revenues	$	680,049		$	714,252

Operating expenses:
Cost of revenues1		440,991			430,567
Business units - Selling, general and administrative expenses		95,547			102,260
Corporate - General and administrative expenses		10,156			14,798
Depreciation		15,479			14,310
Amortization of intangible assets		8,853			13,660
Asset impairment and other		—			1,097
Total		571,026			576,692
Operating income		109,023			137,560

Non-operating (expense) income:
Interest expense		(41,811	)		(42,368	)
Interest income		8,073			5,573
Other non-operating items, net		(1,817	)		149,758
Total		(35,555	)		112,963

Income before income taxes		73,468			250,523
Provision for income taxes		15,161			61,261
Net income		58,307			189,262
Net loss attributable to redeemable noncontrolling interest		364			298
Net income attributable to TEGNA Inc.	$	58,671		$	189,560

Earnings per share:
Basic	$	0.36		$	1.06
Diluted	$	0.36		$	1.06

Weighted average number of common shares outstanding:
Basic shares		160,849			177,823
Diluted shares		161,917			178,437

1 Cost of revenues exclude charges for depreciation and amortization expense, which are shown separately.

The accompanying notes are an integral part of these condensed consolidated financial statements.

TEGNA Inc.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

Unaudited, in thousands of dollars


	Quarter ended Mar. 31,
	2025			2024

Net Income	$	58,307		$	189,262
Recognition of previously deferred post-retirement benefit plan costs		1,375			1,500
Income tax effect related to components of other comprehensive income		(352	)		(389	)
Other comprehensive income, net of tax		1,023			1,111
Comprehensive income		59,330			190,373
Comprehensive loss attributable to redeemable noncontrolling interest		364			298
Comprehensive income attributable to TEGNA Inc.	$	59,694		$	190,671

The accompanying notes are an integral part of these condensed consolidated financial statements.

TEGNA Inc.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

Unaudited, in thousands of dollars


	Three months ended Mar. 31,
	2025			2024
Cash flows from operating activities:
Net income	$	58,307		$	189,262
Adjustments to reconcile net income to net cash flow from operating activities:
Depreciation and amortization		24,332			27,970
Employee stock-based compensation awards		7,096			11,132
Company stock 401(k) match contributions		4,669			5,429
Gain on investment sales		—			(152,867	)
Pension expense, net of employer contributions		1,469			742
Change in operating assets and liabilities, net of acquisitions:
Decrease in trade receivables		8,770			22,153
Increase (decrease) in accounts payable		1,489			(34,950	)
(Decrease) increase in interest and taxes payable		(61,098	)		26,958
Increase (decrease) in deferred revenue		2,921			(533	)
Changes in other assets and liabilities, net		11,674			5,084
Net cash flow from operating activities		59,629			100,380
Cash flows from investing activities:
Purchase of property and equipment		(4,946	)		(4,911	)
Payments for acquisitions of businesses and assets, net of cash acquired		—			(52,799	)
Payments for investments		(2,435	)		(8,985	)
Proceeds from investments		992			152,867
Proceeds from sale of assets		21			52
Net cash flow (used for) provided by investing activities		(6,368	)		86,224
Cash flows from financing activities:
Repurchase of common stock		—			(82,394	)
Dividends paid		(20,089	)		(19,898	)
Payments for debt issuance costs		—			(6,448	)
Payments for tax withholding related to vested stock-based compensation awards		(9,739	)		(8,136	)
Net cash flow used for financing activities		(29,828	)		(116,876	)
Increase in cash and cash equivalents		23,433			69,728
Balance of cash and cash equivalents at beginning of period		693,214			361,036
Balance of cash and cash equivalents at end of period	$	716,647		$	430,764


Supplemental cash flow information:
Cash paid for income taxes, net of refunds(1)	$	43,704		$	1,044
Cash paid for interest	$	73,080		$	74,240

(1) Includes $44,72 of payments for clean energy tax credits in 2025.

The accompanying notes are an integral part of these condensed consolidated financial statements.

TEGNA Inc.

CONSOLIDATED STATEMENTS OF EQUITY AND REDEEMABLE NONCONTROLLING INTEREST

Unaudited, in thousands of dollars, except per share data



Quarter ended:	Redeemable noncontrolling interest			Common stock		Additional paid-in capital			Retained earnings			Accumulated other comprehensive loss			Treasury stock			Total Equity
Balance as of Dec. 31, 2024	$	20,317		$	324,419	$	27,941		$	8,549,717		$	(106,644	)	$	(5,790,719	)	$	3,004,714
Net (loss) income		(364	)		—		—			58,671			—			—			58,671
Other comprehensive income, net of tax		—			—		—			—			1,023			—			1,023
Total comprehensive income																			59,694
Dividends declared: $0.125 per share		—			—		—			(20,089	)		—			—			(20,089	)
Stock-based awards activity		—			—		(7,471	)		(55,664	)		—			53,396			(9,739	)
Employee awards stock-based compensation		—			—		7,096			—			—			—			7,096
Adjustment of redeemable noncontrolling interest to redemption value		755			—		—			(755	)		—			—			(755	)
Other activity		—			—		375			—			—			(2,426	)		(2,051	)
Balance as of Mar. 31, 2025	$	20,708		$	324,419	$	27,941		$	8,531,880		$	(105,621	)	$	(5,739,749	)	$	3,038,870



	Redeemable noncontrolling interest			Common stock		Additional paid-in capital			Retained earnings			Accumulated other comprehensive loss			Treasury stock			Total Equity
Balance as of Dec 31, 2023	$	18,812		$	324,419	$	27,941		$	8,091,245		$	(119,610	)	$	(5,619,123	)	$	2,704,872
Net (loss) income		(298	)		—		—			189,560			—			—			189,560
Other comprehensive income, net of tax		—			—		—			—			1,111			—			1,111
Total comprehensive income																			190,671
Dividends declared: $0.11375 per share		—			—		—			(19,898	)		—			—			(19,898	)
Company stock 401(k) match contributions		—			—		(15,532	)		(2,719	)		—			23,680			5,429
Stock-based awards activity		—			—		(54,029	)		(9,462	)		—			55,354			(8,137	)
Employee awards stock-based compensation		—			—		11,132			—			—			—			11,132
Repurchase of common stock		—			—		58,029			—			—			(143,949	)		(85,920	)
Adjustment of redeemable noncontrolling interest to redemption value		660			—		—			(660	)		—			—			(660	)
Other activity		—			—		400			—			—			—			400
Balance as of Mar. 31, 2024	$	19,174		$	324,419	$	27,941		$	8,248,066		$	(118,499	)	$	(5,684,038	)	$	2,797,889

The accompanying notes are an integral part of these condensed consolidated financial statements.

TEGNA Inc.

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

NOTE 1 – Basis of presentation and accounting policies

Basis of presentation: Our (or TEGNA’s) accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (GAAP) for interim financial reporting, the instructions for Form 10-Q and Article 10 of the U.S. Securities and Exchange Commission (SEC) Regulation S-X. Accordingly, they do not include all information and footnotes which are normally included in the Form 10-K and annual report to shareholders. In our opinion, the condensed consolidated financial statements reflect all adjustments of a normal recurring nature necessary for a fair statement of the results for the interim periods presented. The condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements included in our Annual Report on Form 10-K for the year ended December 31, 2024.

The preparation of these condensed consolidated financial statements requires us to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. We use the best information available in developing significant estimates inherent in our financial statements. Actual results could differ from these estimates, and these differences resulting from changes in facts and circumstances could be material. Significant estimates include, but are not limited to, evaluation of goodwill and other intangible assets for impairment, allocation of purchase price to assets and liabilities in business combinations, fair value measurements, post-retirement benefit plans, income taxes including deferred taxes, and contingencies. The condensed consolidated financial statements include the accounts of subsidiaries we control. We eliminate all intercompany balances, transactions, and profits in consolidation. Investments in entities over which we have significant influence, but do not have control, are accounted for under the equity method.

Segment presentation: We operate one operating and reportable segment, which primarily consists of our 64 television stations and two radio stations operating in 51 markets. Our reportable segment structure has been determined based on our management and internal reporting structure, the nature of products and services we offer, and the financial information that is evaluated regularly by our chief operating decision maker (CODM), who is our Chief Executive Officer. The primary measures of profit or loss that our CODM utilizes to assess performance and allocate resources are Net income and Adjusted EBITDA. Within these measures, the significant expense measures that are regularly provided to our CODM are programming and employee compensation. The tables below provide reconciliations between revenue and the primary measures of profit or loss and include our significant expense measures (in thousands).


	Quarter ended Mar. 31,
	2025			2024
Revenue	$	680,049		$	714,252
Less:
Programming		264,166			249,758
Employee compensation (a)		171,984			183,291
Other segment items (b)		107,651			107,016
Adjusted EBITDA	$	136,248		$	174,187
(Less) Plus: All other segment items (c)		(77,941	)		15,075
Net income	$	58,307		$	189,262

(a) Includes the cost associated with salaries, bonuses, stock-based compensation, benefits paid to our employees and adjusted to remove workforce restructuring and retention costs (including stock-based compensation and cash payments).

(b) Primarily includes digital ad serving fees, professional service fees and costs associated with operating our facilities.

Accounting guidance recently adopted: In November 2023, the Financial Accounting Standards Board (FASB) issued new guidance that changes required disclosures related to segment reporting. The guidance requires entities to disclose on a quarterly and annual basis the significant segment expense items that are regularly provided to the entity’s CODM. Entities are also required to disclose the title and position of their CODM. We adopted this new guidance on an annual basis in our 2024 Form 10-K and are adopting the quarterly requirements of this guidance beginning in this Form 10-Q.

New accounting guidance not yet adopted: In December 2023, the FASB issued new guidance that changes certain disclosure requirements related to income taxes. The guidance requires entities to disclose additional quantitative and qualitative information about the reconciliation between their statutory and effective tax rates. Specifically, the guidance requires disaggregation of the reconciling items using standardized categories. This guidance also requires additional disclosure of income taxes paid to now include disaggregation on a federal, state and foreign basis and to specifically include the amount of income taxes paid to individual jurisdictions when they represent five percent or more of total income tax payments. The new guidance is effective for us beginning in 2025 annual reporting and may be applied on either a prospective or retrospective basis. Early adoption of the guidance is permitted. We are currently evaluating the effect this new guidance will have on our disclosures.

In November 2024, the FASB issued new guidance related to expense disaggregation disclosures. This guidance requires additional disclosure of certain amounts included in the expense captions presented in the Statement of Income as well as disclosures about selling expenses. The new guidance is effective for us beginning in 2027 on an annual basis and in the first quarter of 2028 on a quarterly basis, and may be applied on either a prospective or retrospective basis. Early adoption of the guidance is permitted. We are currently evaluating the effect this new guidance will have on our disclosures.

Trade receivables and allowances for doubtful accounts: Trade receivables are recorded at invoiced amounts and generally do not bear interest. The allowance for doubtful accounts reflects our estimate of credit exposure, determined principally on the basis of our collection experience, aging of our receivables and any specific reserves needed for certain customers based on their credit risk. Our allowance also takes into account expected future trends that may impact our customers’ ability to pay, such as economic growth (or declines), unemployment, and demand for our products and services. We monitor the credit quality of our customers and their ability to pay through the use of analytics and communication with individual customers. As of March 31, 2025, our allowance for doubtful accounts was $3.5 million as compared to $2.8 million as of December 31, 2024.

Redeemable Noncontrolling interest: Our Premion business operates an advertising network for over-the-top (OTT) streaming and connected television platforms. In March 2020, we sold a minority interest in Premion to an affiliate of Gray Television (Gray) and entered into a commercial reselling agreement with the affiliate. Gray’s investment allows it to sell its interest to Premion if there is a change in control of TEGNA or if the commercial agreement terminates. Since redemption of the minority ownership interest is outside our control, Gray’s equity interest is presented outside of the Equity section on the Condensed Consolidated Balance Sheets in the caption “Redeemable noncontrolling interest.” When the redemption or carrying value (the acquisition date fair value adjusted for the noncontrolling interest’s share of net income (loss) and dividends) is less than the recorded redemption value, we adjust the redeemable noncontrolling interest to equal the redemption value with changes recognized as an adjustment to retained earnings. Any such adjustment, when necessary, will be performed as of the applicable balance sheet date. On April 1, 2025, Gray exercised its put right following the expiration of the commercial agreement. In connection with this, Premion redeemed Gray’s full interest in Premion for $20.8 million on April 30, 2025.

Treasury Stock: We account for treasury stock under the cost method. When treasury stock is re-issued at a price higher than its cost, the difference is recorded as a component of additional paid-in-capital (APIC) in our Condensed Consolidated Balance Sheets. When treasury stock is re-issued at a price lower than its cost, the difference is recorded as a component of APIC to the extent that there are previously recorded gains to offset the losses. If there are no accumulated gains in APIC, the losses upon re-issuance of treasury stock are recorded as a reduction of retained earnings in our Condensed Consolidated Balance Sheets.

Revenue recognition: Revenue is recognized upon the transfer of control of promised services to our customers in an amount that reflects the consideration we expect to receive in exchange for those services. Revenue is recognized net of any taxes collected from customers, which are subsequently remitted to governmental authorities. Amounts received from customers in advance of providing services to our customers are recorded as deferred revenue.

The primary sources of our revenues are: 1) distribution revenue, reflecting fees paid by satellite, cable, streaming apps and telecommunications providers to carry our television signals on their platforms. Distribution revenue also includes amounts we earn from licensing content to outside parties for re-distribution; 2) advertising & marketing services revenues, which include local and national non-political television advertising, digital marketing services (including Premion), and advertising on the stations’ websites, tablet and mobile products and streaming apps; 3) political advertising revenues, which are driven by even-year election cycles at the local and national level (e.g. 2024, 2026, etc.) and particularly in the second half of those years; and 4) other services, such as production of programming and tower rentals.

Revenue earned by these sources in the first quarter of 2025 and 2024 are shown below (amounts in thousands):


	Quarter ended Mar. 31,
	2025		2024

Distribution	$	379,556	$	380,503
Advertising & Marketing Services		286,397		296,109
Political		3,616		27,828
Other		10,480		9,812
Total revenues	$	680,049	$	714,252

Beginning in the first quarter of 2025, we renamed our subscription revenue to now be called distribution revenue and expanded it to include other distribution revenues formerly reported in Other revenues and AMS revenues. This revenue category primarily consists of fees paid by satellite, cable, streaming apps and telecommunications providers to carry our television signals on their systems. Distribution revenue also includes amounts we earn from licensing content to outside parties for re-distribution. This new presentation results in the consolidated disclosure of the amounts we earn from all sources of content and programming distribution. We have recast the prior year amounts, which were immaterial, to conform to this new presentation.

NOTE 2 – Goodwill and other intangible assets

The following table displays goodwill, indefinite-lived intangible assets, and amortizable intangible assets as of March 31, 2025 and December 31, 2024 (in thousands):


	Mar. 31, 2025					Dec. 31, 2024
	Gross		Accumulated Amortization			Gross		Accumulated Amortization

Goodwill	$	3,015,944	$	—		$	3,015,944	$	—

Indefinite-lived intangibles:
Television and radio station FCC broadcast licenses		2,124,731					2,124,731
Amortizable intangible assets:
Network affiliation agreements		266,018		(127,716	)		266,018		(122,539	)
Other		104,198		(66,312	)		104,198		(62,636	)
Total indefinite-lived and amortizable intangible assets	$	2,494,947	$	(194,028	)	$	2,494,947	$	(185,175	)

Our network affiliation agreement assets are amortized on a straight-line basis over their estimated useful lives. Other intangible assets primarily include acquired technology from our 2024 acquisition of Octillion Media and distribution agreements from our multicast networks acquisition, which are also amortized on a straight-line basis over their useful lives.

NOTE 3 – Investments and other assets

Our investments and other assets consisted of the following as of March 31, 2025 and December 31, 2024 (in thousands):


	Mar. 31, 2025		Dec. 31, 2024

Cash value life insurance	$	51,910	$	51,860
Equity method investments		16,295		16,280
Other equity investments		30,633		29,020
Deferred financing costs		5,765		6,137
Prepaid assets		5,034		5,960
Other long-term assets		22,593		23,280
Total	$	132,230	$	132,537

Cash value life insurance: We are the beneficiary of life insurance policies on the lives of certain employees/retirees, which are recorded at their cash surrender value as determined by the insurance carrier. These policies are utilized as a partial funding source for deferred compensation and other non-qualified employee retirement plans. Gains and losses on these investments are included in “Other non-operating items, net” within our Consolidated Statements of Income and were not material for all periods presented.

Equity method investments: These are investments in entities in which we have significant influence, but do not have a controlling financial interest. Our share of net earnings and losses from these ventures is included in “Other non-operating items, net” in the Consolidated Statements of Income.

Other equity investments: Represents investments in non-public businesses that do not have readily determinable pricing, and for which we do not have control and do not exert significant influence. These investments are recorded at cost less impairments, if any, plus or minus changes in observable prices for those investments.

Deferred financing costs: These costs consist of amounts paid to lenders related to our revolving credit facility. Financing costs paid for our unsecured notes are accounted for as a reduction in the debt obligation.

Prepaid assets: These amounts primarily consist of an asset related to a long-term services agreement for IT security.

NOTE 4 – Long-term debt

Our long-term debt is summarized below (in thousands):


	Mar. 31, 2025			Dec. 31, 2024

Unsecured notes bearing fixed rate interest at 4.75% due March 2026	$	550,000		$	550,000
Unsecured notes bearing fixed rate interest at 7.75% due June 2027		200,000			200,000
Unsecured notes bearing fixed rate interest at 7.25% due September 2027		240,000			240,000
Unsecured notes bearing fixed rate interest at 4.625% due March 2028		1,000,000			1,000,000
Unsecured notes bearing fixed rate interest at 5.00% due September 2029		1,100,000			1,100,000
Total outstanding principal		3,090,000			3,090,000
Debt issuance costs		(16,029	)		(17,285	)
Unamortized discounts		3,403			3,736
Total debt, net		3,077,374			3,076,451
Less current portion, net		548,454			—
Total long-term debt, net	$	2,528,920		$	3,076,451

As of March 31, 2025, cash and cash equivalents totaled $716.6 million and we had $11.8 million of letters of credit outstanding and unused borrowing capacity of $738.2 million under our $750 million revolving credit facility, which expires in January 2029. We were in compliance with all covenants, including the leverage ratio (our one financial covenant) contained in our debt agreements and revolving credit facility. We believe, based on our current financial forecasts and trends, that we will remain compliant with all covenants for the foreseeable future.

NOTE 5 – Retirement plans

We have various defined benefit retirement plans. Our principal defined benefit pension plan is the TEGNA Retirement Plan (TRP). The total net pension obligations, including both current and non-current liabilities, as of March 31, 2025, were $72.0 million, of which $9.7 million is recorded as a current obligation within accrued liabilities on the Condensed Consolidated Balance Sheets.

Pension costs (income), which primarily include costs for the qualified TRP and the non-qualified TEGNA Supplemental Retirement Plan (SERP), are presented in the following table (in thousands):


	Quarter ended Mar. 31,
	2025			2024

Interest cost on benefit obligation	$	5,425		$	5,675
Expected return on plan assets		(4,425	)		(5,500	)
Amortization of prior service (credit) cost		(50	)		25
Amortization of actuarial loss		1,425			1,475
Expense for company-sponsored retirement plans	$	2,375		$	1,675

Benefits no longer accrue for TRP and SERP participants as a result of amendments to the plans in past years, and as such we no longer incur a service cost component of pension expense. All other components of our pension expense presented above are included within the “Other non-operating items, net” line item of the Consolidated Statements of Income.

During the three months ended March 31, 2025 and 2024 we did not make any cash contributions to the TRP. We made benefit payments to participants of the SERP of $0.9 million during each of the three-month periods ended March 31, 2025 and 2024. We do not expect to make any contributions to the TRP in 2025. We expect to make additional cash payments of $5.0 million to our SERP participants during the remainder of 2025.

NOTE 6 – Accumulated other comprehensive loss

The following table summarizes the components of, and the changes in, Accumulated Other Comprehensive Loss (AOCL), net of tax (in thousands):


	Retirement Plans			Foreign Currency		Total
Quarter ended:
Balance as of Dec. 31, 2024	$	(107,176	)	$	532	$	(106,644	)
Amounts reclassified from AOCL		1,023			—		1,023
Total other comprehensive income		1,023			—		1,023
Balance as of Mar. 31, 2025	$	(106,153	)	$	532	$	(105,621	)

Balance as of Dec 31, 2023	$	(120,142	)	$	532	$	(119,610	)
Amounts reclassified from AOCL		1,111			—		1,111
Total other comprehensive income		1,111			—		1,111
Balance as of Mar. 31, 2024	$	(119,031	)	$	532	$	(118,499	)

Reclassifications from AOCL to the Consolidated Statements of Income are comprised of pension and other post-retirement components. Pension and other post-retirement reclassifications are related to the amortization of prior service costs (credits) and actuarial losses. Amounts reclassified out of AOCL are summarized below (in thousands):


	Quarter ended Mar. 31,
	2025			2024

Amortization of prior service (credit) cost	$	(50	)	$	25
Amortization of actuarial loss		1,425			1,475
Total reclassifications, before tax		1,375			1,500
Income tax effect		(352	)		(389	)
Total reclassifications, net of tax	$	1,023		$	1,111

NOTE 7 – Earnings per share

Our earnings per share (basic and diluted) are presented below (in thousands, except per share amounts):


	Quarter ended Mar. 31,
	2025			2024

Net income	$	58,307		$	189,262
Net loss attributable to the noncontrolling interest		364			298
Adjustment of redeemable noncontrolling interest to redemption value		(755	)		(660	)
Earnings available to common shareholders	$	57,916		$	188,900

Weighted average number of common shares outstanding - basic		160,849			177,823
Effect of dilutive securities:
Restricted stock units		783			438
Performance share awards		159			176
401(k) match shares		126			—
Weighted average number of common shares outstanding - diluted		161,917			178,437

Net income per share - basic	$	0.36		$	1.06
Net income per share - diluted	$	0.36		$	1.06

Beginning in 2025, we no longer make matching 401(k) contributions to our employees on a bi-weekly basis. Instead, we will make annual matching contributions in the first quarter of the following year, with the first such matching contributions to be made in the first quarter of 2026. We will continue to make the matching contribution in the form of TEGNA shares. We have included the dilutive impact of the 401(k) match that has been earned, but not yet contributed, in the dilutive shares calculation above.

Our calculation of diluted earnings per share includes the dilutive effects for the assumed vesting of outstanding restricted stock units and performance share awards. The diluted earnings per share amounts exclude the effects of approximately 70 thousand and 500 thousand stock awards for the three months ended March 31, 2025, and 2024, respectively, as their inclusion would be accretive to earnings per share.

NOTE 8 – Fair value measurement

We measure and record certain assets and liabilities at fair value in the accompanying condensed consolidated financial statements. U.S. GAAP establishes a hierarchy for those instruments measured at fair value that distinguishes between market data (observable inputs) and our own assumptions (unobservable inputs). The hierarchy consists of three levels:

Level 1 – Quoted market prices in active markets for identical assets or liabilities;

Level 2 – Inputs other than Level 1 inputs that are either directly or indirectly observable; and

Level 3 – Unobservable inputs developed using our own estimates and assumptions, which reflect those that a market participant would use.

We also hold other financial instruments including cash and cash equivalents, receivables, accounts payable, contingent consideration and debt. The carrying amounts for cash and cash equivalents, receivables and accounts payable approximated their fair values. The fair value of our total debt, based on the bid and ask quotes for the related debt (Level 2), totaled $2.97 billion on March 31, 2025 and $2.98 billion on December 31, 2024.

NOTE 9 – Share repurchase program

On November 9, 2023, we entered into an accelerated share repurchase (the ASR) program with JPMorgan. Under the terms of the ASR, we repurchased $325 million in TEGNA common stock from JPMorgan, with an initial delivery of approximately 17.3 million shares received on November 13, 2023, representing 80% ($260 million) of the value of the ASR contract. The ASR program was completed on February 22, 2024, shortly after which date JPMorgan delivered an additional 4.0 million shares to us. The final share settlement was based on the average daily volume-weighted average price of TEGNA shares during the term of the ASR program, less a discount, less the previously delivered 17.3 million shares.

In December 2023, our Board of Directors authorized a new share repurchase program for up to $650.0 million of our common stock, which was in addition to the ASR program. This share repurchase program expires on December 31, 2025. No repurchases were made under this program in the first quarter of 2025. In the first quarter of 2024, 5.8 million shares were repurchased under this program at an average share price of $14.50 for an aggregate cost of $84.5 million, of which $2.1 million had not yet been paid as of the end of the first quarter of 2024.

NOTE 10 – Other matters

Litigation

Antitrust matters

In the third quarter of 2018, certain national media outlets reported the existence of a confidential investigation by the United States Department of Justice Antitrust Division (DOJ) into the local television advertising sales practices of station owners. We received a Civil Investigative Demand (CID) in connection with the DOJ’s investigation. On November 13 and December 13, 2018, the DOJ and seven other broadcasters settled a DOJ complaint alleging the exchange of certain competitively sensitive information in the broadcast television industry. In June 2019, we and four other broadcasters entered into a substantially identical agreement with DOJ, which was entered by the court on December 3, 2019. The settlement contains no finding of wrongdoing or liability and carries no penalty. It prohibits us and the other settling entities from sharing certain confidential business information as alleged by the DOJ, or using such information pertaining to other broadcasters, except under limited circumstances. The settlement also requires the settling parties to make certain enhancements to their antitrust compliance programs, to continue to cooperate with the DOJ’s investigation, and to permit DOJ to verify compliance. The costs of compliance have not been material, nor do we expect future compliance costs to be material.

Since the national media reports, numerous putative class action lawsuits were filed against owners of television stations (the Advertising Cases) in different jurisdictions. Plaintiffs are a class consisting of all persons and entities in the United States who paid for all or a portion of advertisement time on local television provided by the defendants. The Advertising Cases assert antitrust and other claims and seek monetary damages, attorneys’ fees, costs and interest, as well as injunctions against the allegedly wrongful conduct.

These cases were consolidated into a single proceeding in the United States District Court for the Northern District of Illinois, captioned In re: Local TV Advertising Antitrust Litigation on October 3, 2018. At the court’s direction, plaintiffs filed an amended complaint on April 3, 2019, that superseded the original complaints. Although we were named as a defendant in sixteen of the original complaints, the amended complaint did not name TEGNA as a defendant. After TEGNA and four other broadcasters entered into the consent decrees with the DOJ in June 2019, the plaintiffs sought leave from the court to further amend the complaint to add TEGNA and the other settling broadcasters to the proceeding. The court granted the plaintiffs’ motion, and the plaintiffs filed the second amended complaint on September 9, 2019. On October 8, 2019, the defendants jointly filed a motion to dismiss the matter. On November 6, 2020, the court denied the motion to dismiss. On March 16, 2022, the plaintiffs filed a third amended complaint, which, among other things, added ShareBuilders, Inc., as a named defendant. ShareBuilders filed a motion to dismiss on April 15, 2022, which was granted by the court without prejudice on August 29, 2022. TEGNA has filed its answer to the third amended complaint denying any violation of law and asserting various affirmative defenses.

On May 26, 2023, plaintiffs moved for preliminary approval of settlements with four co-defendants – CBS Corp (n/k/a Paramount Global), Fox Corp., certain Cox entities (including Cox Media Group, LLC, Cox Enterprises, Inc., CMG Media Corporation and Cox Reps, Inc.) and ShareBuilders, Inc. Although ShareBuilders prevailed on its motion to dismiss the case, as noted above, because the court had dismissed the claims without prejudice, ShareBuilders entered into a zero-dollar settlement with the plaintiffs in order to ensure that the plaintiffs do not re-file the claims in the future. In exchange for a release of plaintiffs’ claims against them, the settling defendants, among other things, collectively agreed to pay $48 million, while expressly denying any liability or wrongdoing. The court approved the settlements in December 2023.

Discovery in the Advertising Cases is ongoing. We believe that the claims asserted in the Advertising Cases are without merit and intend to defend vigorously against them.

Other litigation matters

We, along with a number of our subsidiaries, also are defendants in other judicial and administrative proceedings involving matters incidental to our business. We do not believe that any material liability will be imposed as a result of any of the foregoing matters.

Related Party Transactions

We have an equity investment in MadHive, Inc. (MadHive) which is a related party of TEGNA. We also have a commercial agreement with MadHive, under which MadHive provides platform services to our Premion business. We previously had an additional commercial agreement with MadHive under which Premion had access to streaming inventory available in MadHive’s demand side platform. That agreement expired as of December 31, 2024. In the first three months of 2025 and 2024, we incurred expenses of $0.2 million and $14.3 million, respectively, as a result of the commercial agreements with MadHive. As of March 31, 2025 and December 31, 2024 we had accounts receivable associated with the MadHive commercial agreements of $0.5 million and $0.4 million, respectively.

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

Company Overview

We serve our local communities across the U.S. through trustworthy journalism, engaging content, and tools that help people navigate their daily lives. Through customized marketing solutions, we help businesses grow and thrive. With 64 television stations and two radio stations in 51 U.S. markets, we reach over 100 million people every month across the web, mobile apps, streaming, and linear television. We are the largest owner of top four network affiliates in the top 25 markets among independent station groups, reaching approximately 39% of U.S. television households. We are one of the nation’s largest producers of local news producing more than 1,700 hours of news per week. Additionally, through our network affiliation and local sports rights agreements, we carry popular sports content which includes professional and collegiate sports and the Olympics. We also own leading multicast networks True Crime Network and Quest. Each television station has a robust digital presence across online, mobile, connected television (CTV) and social platforms, reaching consumers on all devices and platforms they use to consume news content. Our combined local and national sales forces capitalize on the reach provided by these offerings to provide our advertising customers with an extensive customer base. We have been consistently honored with the industry’s top awards, including Edward R. Murrow, George Polk, Alfred I. DuPont and Emmy Awards. We deliver results for advertisers across television, digital, CTV and streaming app platforms, including Premion, our CTV advertising network.

We have one operating and reportable segment. The primary sources of our revenues are: 1) distribution revenues, reflecting fees paid by satellite, cable, streaming apps and telecommunications providers to carry our television signals on their platforms. Distribution revenue also includes amounts we earn from licensing content to outside parties for redistribution; 2) advertising & marketing services revenues, which include local and national non-political television advertising, digital marketing services (including Premion), and advertising on the stations’ websites, tablet and mobile products and streaming apps; 3) political advertising revenues, which are driven by even-year election cycles at the local and national level (e.g. 2024, 2026, etc.) and particularly in the second half of those years; and 4) other services, such as production of programming and tower rentals.

Consolidated Results from Operations

The following discussion is a comparison of our consolidated results on a GAAP basis. The year-to-year comparison of financial results is not necessarily indicative of future results. In addition, see the section titled “Results from Operations - Non-GAAP Information” for additional tables presenting information that supplements our financial information provided on a GAAP basis.

Our consolidated results of operations on a GAAP basis were as follows (in thousands, except per share amounts):


	Quarter ended Mar. 31,
	2025			2024		Change

Revenues	$	680,049		$	714,252	(5%)

Operating expenses:
Cost of revenues		440,991			430,567	2%
Business units - Selling, general and administrative expenses		95,547			102,260	(7%)
Corporate - General and administrative expenses		10,156			14,798	(31%)
Depreciation		15,479			14,310	8%
Amortization of intangible assets		8,853			13,660	(35%)
Asset impairment and other		—			1,097	***
Total	$	571,026		$	576,692	(1%)

Operating income	$	109,023		$	137,560	(21%)

Non-operating (expense) income		(35,555	)		112,963	***
Provision for income taxes		15,161			61,261	(75%)
Net income		58,307			189,262	(69%)
Net loss attributable to redeemable noncontrolling interest		364			298	22%
Net income attributable to TEGNA Inc.	$	58,671		$	189,560	(69%)

Net Income per share - basic	$	0.36		$	1.06	(66%)
Net Income per share - diluted	$	0.36		$	1.06	(66%)

*** Not meaningful

Revenues

Our revenues and operating results are subject to seasonal fluctuations. Generally, our second and fourth quarter advertising revenues are stronger than those we report for the first and third quarters. This is driven by the second quarter reflecting increased spring seasonal advertising, while the fourth quarter typically includes increased advertising related to the holiday season. In addition, our revenue and operating results are subject to significant fluctuations across yearly periods resulting from political advertising. In even numbered years, political spending is usually significantly higher than in odd numbered years due to advertising for the local, state and national elections. Additionally, every four years, we typically experience even greater increases in political advertising in connection with the presidential election. The strong demand for advertising from political advertisers in these even years can result in the significant use of our available inventory (leading to a “crowd out” effect), which can diminish our AMS revenue in the even year of a two-year election cycle, particularly in the fourth quarter of those years.

Beginning in the first quarter of 2025, we renamed our subscription revenue to now be called distribution revenue and expanded it to include other distribution revenues formerly reported in Other revenues and AMS revenues. This revenue category primarily consists of fees paid by satellite, cable, streaming apps and telecommunications providers to carry our television signals on their platforms. Distribution revenue also includes amounts we earn from licensing content to outside parties for re-distribution. This new presentation results in the consolidated disclosure of the amounts we earn from all sources of content and programming distribution. We have recast the prior year amounts, which were immaterial, to conform to this new presentation.

The following table summarizes the year-over-year changes in our revenue categories (in thousands):


	Quarter ended Mar. 31,
	2025		2024		Change

Distribution	$	379,556	$	380,503	(0%)
Advertising & Marketing Services		286,397		296,109	(3%)
Political		3,616		27,828	(87%)
Other		10,480		9,812	7%
Total revenues	$	680,049	$	714,252	(5%)

Total revenues decreased $34.2 million in the first quarter of 2025 compared to the same period in 2024. The net decrease was primarily driven by a $24.2 million decline in political revenue consistent with cyclical even-to-odd year comparison. AMS revenue was down $9.7 million due to continued macroeconomic headwinds and the Super Bowl airing on FOX, our smallest affiliate group, versus CBS last year. This was partially offset by growth from local sports rights. Distribution revenue was relatively flat, down $0.9 million, due to declines in subscribers, partially offset by the absence in 2025 of a temporary disruption of service with a distribution partner which was successfully resolved on January 13, 2024 and the impact of distributor renewals and contractual rate increases. Excluding the impact of this disruption, distribution revenue would have been down $14.0 million, or 3.6%, in the first quarter of 2025 compared to the same period in 2024.

Cost of revenues

Cost of revenues increased $10.4 million in the first quarter of 2025 compared to the same period in 2024. The increase was primarily driven by a $14.4 million increase in programming, mainly associated with the costs of sports rights deals. This increase was partially offset by the impact of core operational cost-cutting initiatives.

Business units - Selling, general and administrative expenses

Business unit selling, general and administrative expenses decreased $6.7 million in the first quarter of 2025 compared to the same period in 2024. The decrease was primarily due to declines in payroll-related costs of $3.4 million and professional service costs of $3.1 million as a result of cost-cutting initiatives.

Corporate - General and administrative expenses

Our corporate costs are separated from our direct business expenses and are recorded as general and administrative expenses in our Consolidated Statements of Income. This category primarily consists of corporate management and support functions including Legal, Human Resources, and Finance.

Corporate general and administrative expenses decreased $4.6 million in the first quarter of 2025 compared to the same period in 2024. The decrease was primarily due to the absence of merger and acquisition (M&A)-related costs of $2.3 million and a $0.9 million decline in stock-based compensation.

Depreciation

Depreciation expense increased by $1.2 million in the first quarter of 2025 compared to the same period in 2024 primarily due to the acceleration of depreciation on assets associated with our corporate headquarters lease, for which we exercised an early termination right during the first quarter of 2025.

Amortization of intangible assets

Intangible asset amortization expense decreased $4.8 million in the first quarter of 2025 compared to the same period in 2024. The decrease was due to certain assets reaching the end of their assumed useful lives and therefore becoming fully amortized.

Asset impairment and other

We incurred no asset impairment and other expenses in the first quarter of 2025 compared to $1.1 million in 2024. The 2024 activity was due to a contract termination fee.

Operating income

Operating income decreased $28.5 million in the first quarter of 2025 compared to the same period in 2024. This decrease was primarily driven by decreases in political and AMS revenues. Adjusted operating income, a non-GAAP measure, decreased $34.3 million in the first quarter of 2025, also primarily due to the decrease in political and AMS revenues. For information on the nature and magnitude of items excluded from non-GAAP results, and a reconciliation to the most directly comparable GAAP measure, see the “Results from Operations- Non-GAAP Information” section.

Non-operating (expense) income

Non-operating expense increased $148.5 million in the first quarter of 2025 compared to the same period in 2024. The increase was primarily due to the absence in 2025 of a $152.9 million gain recognized on the sale of our investment in Broadcast Music, Inc. (BMI) that occurred in the first quarter of 2024.

Provision for income taxes

Income tax expense decreased $46.1 million in the first quarter of 2025 compared to the same period in 2024. The decrease was primarily due to a decrease in income before taxes, driven largely by a gain recognized on the sale of our investment in BMI in the first quarter of 2024, which did not reoccur in 2025. Our effective income tax rate was 20.6% for first quarter of 2025, compared to 24.5% for the first quarter of 2024. The tax rate for the first quarter of 2025 is lower than the comparable amount in 2024 primarily due to state tax planning strategies implemented and a net excess tax benefit recognized with respect to stock-based compensation. The effective income tax rate for 2024 was also unfavorably impacted by a net excess tax expense from stock-based compensation.

Net income attributable to TEGNA Inc.

Net income attributable to TEGNA Inc. was $58.7 million, or $0.36 per diluted share, in the first quarter of 2025 compared to $189.6 million, or $1.06 per diluted share, during the same period in 2024. On a non-GAAP basis, net income attributable to TEGNA Inc. was $60.9 million, or $0.37 per diluted share, in the first quarter of 2025 compared to $80.1 million, or $0.45 per diluted share, during the same period in 2024. Both income and earnings per share, on a GAAP and non-GAAP basis, were affected by the factors discussed above. For information on the nature and magnitude of items excluded from non-GAAP results, and a reconciliation to the most directly comparable GAAP measure, see the “Results from Operations- Non-GAAP Information” section.

The weighted average number of diluted common shares outstanding during the first quarter of 2025 and 2024 were 161.9 million and 178.4 million, respectively. The decline in the number of diluted common shares outstanding was primarily due to a share delivery of 4.0 million received in the first quarter of 2024 under our ASR program, which began in the fourth quarter of 2023, and 18.6 million of share repurchases since the beginning of 2024 under our authorized repurchase program.

Results from Operations - Non-GAAP Information

Presentation of Non-GAAP information

We use non-GAAP financial performance measures to supplement the financial information presented on a GAAP basis. These non-GAAP financial measures should not be considered in isolation from, or as a substitute for, the related GAAP measures, nor should they be considered superior to the related GAAP measures and should be read together with financial information presented on a GAAP basis. Also, our non-GAAP measures may not be comparable to similarly titled measures of other companies.

Our management and our Board of Directors (the Board) regularly use Employee compensation, Corporate – General and administrative expenses, Operating expenses, Operating income, Income before income taxes, Provision for income taxes, Net income attributable to TEGNA Inc., and Diluted earnings per share, each presented on a non-GAAP basis, for purposes of evaluating Company performance. Management and the Board also use Adjusted EBITDA to evaluate our performance. The Leadership Development and Compensation Committee of our Board uses non-GAAP measures such as Adjusted EBITDA, non-GAAP net income, non-GAAP EPS to evaluate and compensate senior management. We, therefore, believe that each of the non-GAAP measures presented provides useful information to investors and other stakeholders by allowing them to view our business through the eyes of management and our Board, facilitating comparisons of results across historical periods and focus on the underlying ongoing operating performance of our business. We also believe these non-GAAP measures are frequently used by investors, securities analysts and other interested parties in their evaluation of our business and other companies in the broadcast industry.

We discuss in this Form 10-Q non-GAAP financial performance measures that exclude from our reported GAAP results the impact of “special items” which are described in detail below in the section titled “Discussion of Special Charges and Credits Affecting Reported Results.” We believe that such expenses and gains are not indicative of normal, ongoing operations. While these items should not be disregarded in evaluation of our earnings performance, it is useful to exclude such items when analyzing current results and trends compared to other periods as these items can vary significantly from period to period depending on specific underlying transactions or events that may occur. Therefore, while we may incur or recognize these types of expenses, charges, and gains in the future, we believe that removing these items for purposes of calculating the non-GAAP financial measures provides investors with a more focused presentation of our ongoing operating performance.

We also discuss Adjusted EBITDA (with and without stock-based compensation expense), a non-GAAP financial performance measure that we believe offers a useful view of the overall operation of our business. We define Adjusted EBITDA as net income attributable to TEGNA before (1) net loss attributable to redeemable noncontrolling interest, (2) income taxes, (3) interest expense, (4) interest income, (5) other non-operating items, net, (6) earnout adjustments, (7) employee retention costs, (8) M&A-related costs, (9) asset impairment and other, (10) workforce restructuring costs, (11) depreciation and (12) amortization of intangible assets. We believe these adjustments facilitate company-to-company operating performance comparisons by removing potential differences caused by variations unrelated to operating performance, such as capital structures (interest expense), income taxes, and the age and book appreciation of property and equipment (and related depreciation expense). The most directly comparable GAAP financial measure to Adjusted EBITDA is Net income attributable to TEGNA. Users should consider the limitations of using Adjusted EBITDA, including the fact that this measure does not provide a complete measure of our operating performance. Adjusted EBITDA is not intended to purport to be an alternate to net income as a measure of operating performance or to cash flows from operating activities as a measure of liquidity. In particular, Adjusted EBITDA is not intended to be a measure of cash flow available for management’s discretionary expenditures, as this measure does not consider certain cash requirements, such as working capital needs, capital expenditures, contractual commitments, interest payments, tax payments and other debt service requirements.

Discussion of Special Charges and Credits Affecting Reported Results

Our results included the following items we consider “special items” that, while at times recurring, are not normal and can vary significantly from period to period:

Quarter ended March 31, 2025:

•

Octillion acquisition earnout adjustment; and

•

Retention costs, including stock-based compensation (SBC) and cash payments to certain employees to ensure their continued service to the Company.

Quarter ended March 31, 2024:

•

Retention costs, including SBC and cash payments to certain employees to ensure their continued service to the Company following the termination of the previously proposed merger;

•

M&A-related costs;

•

Workforce restructuring expenses;

•

Asset impairment and other consisting of contract termination fee; and

•

Other non-operating item consisting of a gain recognized on the sale of our investment in Broadcast Music Inc. (BMI).

Reconciliations of certain line items impacted by special items to the most directly comparable financial measure calculated and presented in accordance with GAAP on our Consolidated Statements of Income are presented below (in thousands, except per share amounts):


			Special Items
Quarter ended Mar. 31, 2025	GAAP measure		Earnout adjustment			Retention costs - SBC			Retention costs - Cash			Non-GAAP measure

Employee compensation	$	173,180	$	—		$	(826	)	$	(370	)	$	171,984
Corporate - General and administrative expenses		10,156		—			(231	)		(171	)		9,754
Operating expenses		571,026		(1,697	)		(826	)		(370	)		568,133
Operating income		109,023		1,697			826			370			111,916
Income before income taxes		73,468		1,697			826			370			76,361
Provision for income taxes		15,161		435			149			69			15,814
Net income attributable to TEGNA Inc.		58,671		1,262			677			301			60,911
Earnings per share - diluted	$	0.36	$	0.01		$	—		$	—		$	0.37


			Special Items
Quarter ended Mar. 31, 2024	GAAP measure		Retention costs - SBC			Retention costs - Cash			M&A related costs			Workforce restructuring			Asset impairment and other			Other non-operating item			Non-GAAP measure

Employee compensation	$	188,561	$	(2,893	)	$	(570	)	$	—		$	(1,807	)	$	—		$	—		$	183,291
Corporate - General and administrative expenses		14,798		(752	)		(221	)		(2,290	)		(111	)		—			—			11,424
Operating expenses		576,692		(2,893	)		(570	)		(2,290	)		(1,807	)		(1,097	)		—			568,035
Operating income		137,560		2,893			570			2,290			1,807			1,097			—			146,217
Income before income taxes		250,523		2,893			570			2,290			1,807			1,097			(152,867	)		106,313
Provision for income taxes		61,261		431			77			593			445			284			(36,621	)		26,470
Net income attributable to TEGNA Inc.		189,560		2,462			493			1,697			1,362			813			(116,246	)		80,141
Earnings per share - diluted(a)	$	1.06	$	0.01		$	—		$	0.01		$	0.01		$	—		$	(0.65	)	$	0.45

(a) Per share amounts do not sum due to rounding.

Adjusted EBITDA - Non-GAAP

Reconciliations of Adjusted EBITDA to net income presented in accordance with GAAP on our Consolidated Statements of Income are presented below (in thousands):


	Quarter ended Mar. 31,
	2025			2024			Change

Net income attributable to TEGNA Inc. (GAAP basis)	$	58,671		$	189,560			(69	%)
Less: Net loss attributable to redeemable noncontrolling interest		(364	)		(298	)		22	%
Plus: Provision for income taxes		15,161			61,261			(75	%)
Plus: Interest expense		41,811			42,368			(1	%)
Less: Interest income		(8,073	)		(5,573	)		45	%
Plus (Less): Other non-operating items, net		1,817			(149,758	)	***
Operating income (GAAP basis)		109,023			137,560			(21	%)
Plus: Octillion earnout adjustment		1,697			—		***
Plus: Retention costs - employee awards stock-based compensation		826			2,893			(71	%)
Plus: Retention costs - cash		370			570			(35	%)
Plus: M&A-related costs		—			2,290		***
Plus: Asset impairment and other		—			1,097		***
Plus: Workforce restructuring		—			1,807		***
Adjusted operating income (non-GAAP basis)		111,916			146,217			(23	%)
Plus: Depreciation		15,479			14,310			8	%
Plus: Amortization of intangible assets		8,853			13,660			(35	%)
Adjusted EBITDA	$	136,248		$	174,187			(22	%)
Stock-based compensation expenses:
Employee awards		6,269			8,240			(24	%)
Company stock 401(k) match contributions		4,669			5,429			(14	%)
Adjusted EBITDA before stock-based compensation costs	$	147,186		$	187,856			(22	%)

*** Not meaningful

In the first quarter of 2025 Adjusted EBITDA margin was 20% with stock-based compensation expense or 22% without those expenses. Our total Adjusted EBITDA decreased $37.9 million, or 22%, in the first quarter of 2025. This decrease was primarily driven by the operational factors discussed above within the revenue and operating expense fluctuation explanation sections, most notably, the decrease in political revenue and AMS revenue.

Liquidity, Capital Resources and Cash Flows

Our operations generate positive cash flow that, along with availability under our revolving credit facility and cash and cash equivalents on hand, have been sufficient to fund our capital expenditures, interest payments, dividends, share repurchases, investments in strategic initiatives and other operating requirements.

In December 2023, our Board of Directors authorized a share repurchase program for up to $650.0 million of our common stock. As of March 31, 2025, $375.2 million of common shares may still be repurchased under this program. This share repurchase program expires on December 31, 2025.

Our comprehensive capital allocation framework supports shareholder value creation through a predictable and sustained distribution of free cash flow to shareholders. We continue to expect to return 40-60 percent of our Adjusted free cash flow generated over 2024-2025 to shareholders. Remaining Adjusted free cash flow is expected to be used for organic investments and/or bolt-on acquisitions and to prepare for future debt retirement. We will continue to analyze all uses of capital, including regular evaluation of the dividend, with a goal of maximizing long-term shareholder value creation.

Our capital allocation plan is subject to a variety of factors, including our strategic plans, market and economic conditions and the discretion of our Board of Directors.

During the first quarter of 2025, we returned $20.1 million of capital to shareholders in the form of dividends. In the first quarter of 2024, we returned $102.3 million of capital to shareholders with $82.4 million of share repurchases and paid $19.9 million in dividends.

During 2025, we deployed surplus cash in time deposit and money market investments with several financial institutions.

As of March 31, 2025, we were in compliance with all covenants contained in our debt agreements and credit facility. Our leverage ratio, calculated in accordance with our revolving Credit Agreement, was 2.89x, below the maximum permitted leverage ratio of 4.50x. The leverage ratio is calculated using annualized adjusted EBITDA (as defined in the Credit Agreement) for the trailing eight quarters. We expect to remain compliant with all covenants for the foreseeable future. As of March 31, 2025, our total debt was $3.1 billion, cash and cash equivalents totaled $716.6 million, and we had unused borrowing capacity of $738.2 million under our revolving credit facility after reducing for outstanding letters of credit. Our debt consists of unsecured notes which have fixed interest rates. Our nearest debt maturity is a $550 million debt maturing in March 2026. Due to a 91-day springing maturity provision in our revolving credit facility, we currently expect to redeem at least $250 million of this maturity in the fourth quarter of 2025 using cash on hand, drawings under the revolving credit facility, or some combination of both.

Our financial and operating performance, as well as our ability to generate sufficient cash flow to maintain compliance with credit facility covenants, are subject to certain risk factors. See Item 1A. “Risk Factors,” in our 2024 Annual Report on Form 10-K for further discussion. We expect our existing cash and cash equivalents, expected future cash flow from our operations, and borrowing capacity under the revolving credit facility will be more than sufficient to satisfy our recurring contractual commitments, debt service obligations, capital expenditure requirements, and other working capital needs for the next twelve months and beyond.

Cash Flows

The following table provides a summary of our cash flow information followed by a discussion of the key elements of our cash flow (in thousands):


	Three months ended Mar. 31,
	2025			2024

Cash and cash equivalents at beginning of the period	$	693,214		$	361,036

Operating activities:
Net income		58,307			189,262
Gain on investment sales		—			(152,867	)
Depreciation, amortization and other non-cash adjustments		36,097			44,531
Pension expense, net of employer contributions		1,469			742
Decrease in trade receivables		8,770			22,153
Increase (decrease) in accounts payable		1,489			(34,950	)
(Decrease) increase in interest and taxes payable		(61,098	)		26,958
All other operating activities		14,595			4,551
Net cash flow from operating activities		59,629			100,380

Investing activities:
Purchase of property and equipment		(4,946	)		(4,911	)
Proceeds from investments		992			152,867
Payments for acquisitions of businesses and assets, net of cash acquired		—			(52,799	)
All other investing activities		(2,414	)		(8,933	)
Net cash flow (used for) provided by investing activities		(6,368	)		86,224

Financing activities:
Dividends paid		(20,089	)		(19,898	)
Payments for tax withholding related to vested stock-based compensation awards		(9,739	)		(8,136	)
Repurchase of common stock		—			(82,394	)
Payments for debt issuance cost		—			(6,448	)
Net cash flow used for financing activities		(29,828	)		(116,876	)
Net change in cash and cash equivalents		23,433			69,728
Cash and cash equivalents at end of the period	$	716,647		$	430,764

Operating activities - Cash flow from operating activities was $59.6 million for the three months ended March 31, 2025, compared to $100.4 million for the same period in 2024. The decrease in operating cash flow of $40.8 million was primarily due to an increase in cash paid for income taxes, driven by $44.8 million of payments for clean energy tax credits. Also contributing to the decrease was a decline in income before taxes, primarily driven by a decline in revenue. These declines were partially offset by changes in accounts payable due to the timing of payments.

Investing activities - Cash flow from investing activities was a net cash outflow of $6.4 million for the three months ended March 31, 2025, compared to a net cash inflow of $86.2 million for the same period in 2024. The decrease in net cash flows of $92.6 million from investing activities was primarily driven by the receipt of $152.9 million of proceeds from the sale of our investment in BMI in the first quarter of 2024 that did not recur in 2025. This decrease was partially offset by cash outflows of $52.8 million for the acquisition of Octillion Media in the first quarter of 2024.


Delaware						16-0442930
(State or other jurisdiction of incorporation or organization)						(I.R.S. Employer Identification No.)

8350 Broad Street, Suite 2000, Tysons, Virginia						22102-5151
(Address of principal executive offices)						(Zip Code)

(703) 873-6600
(Registrant’s telephone number, including area code)


Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol	Name of each exchange on which registered
Common Stock	TGNA	New York Stock Exchange


Large accelerated filer	☒	Accelerated filer	☐

Non-accelerated filer	☐	Smaller reporting company	☐

		Emerging growth company	☐


Exhibit Number		Description


3.1		Fifth Restated Certificate of Incorporation of TEGNA Inc. (incorporated by reference to Exhibit 3-1 to TEGNA Inc.’s Form 8-K filed on April 25, 2024).

3.2		By-laws, as amended through April 24, 2024 (incorporated by reference to Exhibit 3-2 to TEGNA Inc.’s Form 8-K/A filed on October 21, 2024).

10.1		Amendment No. 4 to the TEGNA Inc. 2015 Change in Control Severance Plan, as amended through May 30, 2017.*

10.2		Form of Executive Officer Restricted Stock Unit Award Agreement.*

10.3		Form of Executive Officer Performance Share Award Agreement.*

10.4		Form of Executive Officer Restricted Stock Unit Award Agreement.*

10.5		Form of Executive Officer Performance Share Award Agreement.*

31.1		Rule 13a-14(a) Certification of CEO.

31.2		Rule 13a-14(a) Certification of CFO.

32.1		Section 1350 Certification of CEO.

32.2		Section 1350 Certification of CFO.

101.INS		Inline XBRL Instance Document - the instance document does not appear in the Interactive Data File as its XBRL tags are embedded within the Inline XBRL document.

101.SCH		Inline XBRL Taxonomy Extension Schema With Embedded Linkbase Documents

104		Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101).


Date: May 8, 2025	TEGNA INC.

	/s/ Clifton A. McClelland III
	Clifton A. McClelland III
	Senior Vice President and Controller
	(on behalf of Registrant and as Principal Accounting Officer)


Item No.		Page
	PART I. FINANCIAL INFORMATION

1.	Financial Statements

	Condensed Consolidated Balance Sheets as of March 31, 2025 and December 31, 2024	3

	Consolidated Statements of Income for the Quarters ended March 31, 2025 and 2024	5

	Consolidated Statements of Comprehensive Income for the Quarters ended March 31, 2025 and 2024	6

	Condensed Consolidated Statements of Cash Flows for the three months ended March 31, 2025 and 2024	7

	Consolidated Statements of Equity and Redeemable Noncontrolling Interest for the Quarters ended March 31, 2025 and 2024	8

	Notes to Condensed Consolidated Financial Statements	9

2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	16

3.	Quantitative and Qualitative Disclosures about Market Risk	24

4.	Controls and Procedures	24

	PART II. OTHER INFORMATION

1.	Legal Proceedings	24

1A.	Risk Factors	24

2.	Unregistered Sales of Equity Securities and Use of Proceeds	24

3.	Defaults Upon Senior Securities	24

4.	Mine Safety Disclosures	24

5.	Other Information	24

6.	Exhibits	25

	SIGNATURE	26