E W Scripps Co (SSP) 2025 Q1 法說會逐字稿

Good day and thank you for standing by. Welcome to the first quarter 2025 E W Scripps Company earnings conference call. (Operator Instructions) Please be advised, today's conference is being recorded.

您好，感謝您的支持。歡迎參加 E W Scripps 公司 2025 年第一季財報電話會議。（操作員指示）請注意，今天的會議正在錄音。

I would now like to hand the conference over to your speaker today, Carolyn Micheli, Head of Investor Relations. Please go ahead.

現在，我想將會議交給今天的發言人、投資者關係主管 Carolyn Micheli。請繼續。

Thank you, Edie. Good morning, everyone, and thank you for joining us for a discussion of the E W Scripps Company's financial results and business strategies. You can visit scripps.com for more information and a link to the replay of this call.

謝謝你，伊迪。大家早安，感謝大家參加關於 E W Scripps 公司的財務表現和業務策略的討論。您可以造訪 scripps.com 以獲取更多資訊以及此通話重播的連結。

A reminder that, our conference call and webcast include forward-looking statements based on management's current outlook, and actual results may differ materially. Factors that may cause them to differ are outlined in our SEC filings. We do not intend to update any forward-looking statements we make today.

提醒一下，我們的電話會議和網路廣播包括基於管理層當前展望的前瞻性陳述，實際結果可能存在重大差異。我們在提交給美國證券交易委員會的文件中概述了可能導致它們出現差異的因素。我們不打算更新今天所做的任何前瞻性陳述。

Included on this call will be a discussion of certain non-GAAP financial measures that are provided as supplements to assist management and the public in their analysis and evaluation of the company. These metrics are not formulated in accordance with GAAP and are not meant to replace GAAP financial measures and may differ from other companies' uses or formulations. Included in our earnings release are the reconciliations of non-GAAP financial measures to the GAAP measures reported in our financial statements.

本次電話會議將討論某些非公認會計準則財務指標，這些指標作為補充資料提供，旨在幫助管理層和公眾對公司進行分析和評估。這些指標並非根據 GAAP 制定，並非旨在取代 GAAP 財務指標，並且可能與其他公司的使用或製定方式不同。我們的收益報告中包含了非公認會計準則 (GAAP) 財務指標與財務報表中報告的公認會計準則 (GAAP) 指標的對帳。

We'll hear this morning from Chief Financial Officer, Jason Combs; and then Scripps's President and CEO, Adam Symson. Here's Jason.

今天早上我們將聽取財務長 Jason Combs 和 Scripps 總裁兼執行長 Adam Symson 的演講。這是傑森。

Good morning, everyone, and thanks for joining us. We're reporting first quarter results today that outperformed financial expectations despite the headwinds of uncertainty in the US economy about tariffs, inflation and recession. In fact, we've had a very good start to the year. We have successfully completed retransmission negotiations covering 25% of our legacy Pay TV households. We continue to reduce expenses.

大家早安，感謝大家的參與。我們今天報告的第一季業績超出了財務預期，儘管美國經濟面臨關稅、通膨和經濟衰退等不確定性因素的阻力。事實上，我們今年的開局非常好。我們已成功完成涵蓋 25% 傳統付費電視家庭的重播談判。我們繼續削減開支。

We exceeded our expectations on Scripps Networks margin improvement delivering 870 basis points of improvement for the quarter, well ahead of the 400 basis points to 600 basis points we had promised for this year, and we closed on our previously announced refinancing transactions. Every one of these moves in service to our commitment to improving operating performance and our balance sheet.

我們對 Scripps Networks 利潤率改善的預期超出了本季的預期，實現了 870 個基點的改善，遠遠超出了我們今年承諾的 400 個基點至 600 個基點，並且我們完成了先前宣布的再融資交易。所有這些措施都是為了履行我們改善經營績效和資產負債表的承諾。

Let's start this morning with financial highlights for our Local Media and Scripps Networks divisions from the first quarter, then I will give some Q2 guidance and discuss our refinancing details and upcoming priorities. In the first quarter, Local Media division revenue was down 7.8% from the year ago period. Core advertising revenue was down 3%, as we experienced hesitancy in advertising spending due to economic uncertainty.

今天上午，我們先來介紹第一季度本地媒體和 Scripps Networks 部門的財務亮點，然後我將給出一些第二季度的指導，並討論我們的再融資細節和接下來的優先事項。第一季度，本地媒體部門營收較去年同期下降7.8%。由於經濟不確定性導致我們在廣告支出方面猶豫不決，核心廣告收入下降了 3%。

Local distribution revenue was down 5% year-over-year. Our contract renewals for 2025 took effect at the end of the first quarter and we'll see their benefits starting in Q2. Local Media expenses increased only 1% from the prior year quarter, which is on the better end of our guidance of up low single-digits due to lower than expected employee costs.

本地分銷收入較去年同期下降5%。我們的 2025 年合約續約已於第一季末生效，我們將從第二季開始看到其效益。本地媒體費用較去年同期僅成長 1%，由於員工成本低於預期，這一成長幅度高於我們預期的低個位數成長。

Local Media segment profit was $35 million compared to $66 million in Q1 of 2024, an election year. For the second quarter, we expect Local Media division revenue to be down in the high single-digits range with core revenue down in the low single-digits range stemming from the continued uncertainty related to tariffs. We expect Q2 local media expenses to be up in the low single-digits percent range.

本地媒體部門的利潤為 3,500 萬美元，而選舉年 2024 年第一季的利潤為 6,600 萬美元。對於第二季度，我們預計本地媒體部門的收入將下降至高個位數，核心收入將下降至低個位數，原因是與關稅相關的不確定性持續存在。我們預計第二季本地媒體費用將成長個位數百分比。

Now I'd like to review the Scripps Networks division first quarter results and guidance for the second quarter of 2025. In the first quarter, Scripps Networks revenue was $198 million down about 5% from the year ago quarter. Connected TV revenue was up a very strong 42% in the quarter. We credit this growth to effective sales strategies and execution for our national networks, which are established on the major streaming services.

現在，我想回顧一下 Scripps Networks 部門第一季的業績以及 2025 年第二季的指引。第一季度，Scripps Networks 營收為 1.98 億美元，較去年同期下降約 5%。本季連網電視營收強勁成長 42%。我們將這一增長歸功於建立在主要串流媒體服務上的全國網路的有效銷售策略和執行。

ION is the largest contributor to our CTV revenue and we've been pleased to see strong advertiser support on CTV for the National Women's Soccer League since it started its new season in mid-March. We expect the NWSL and the WNBA to help drive revenue performance for the division in the second and third quarters.

ION 是我們 CTV 收入的最大貢獻者，自 3 月中旬新賽季開始以來，我們很高興看到 CTV 對國家女子足球聯賽提供了強大的廣告支援。我們預計 NWSL 和 WNBA 將幫助推動該部門在第二季和第三季的營收表現。

Another good Q1 results story for the Scripps Networks division is the 16% decrease in expenses. This significant decline came from tight cost controls and the reductions in Scripps News operations we announced in November. Disciplined expense management combined with effective advertising sales execution led to our highest margins in the division since the fourth quarter of 2022 at 32%.

Scripps Networks 部門第一季業績的另一個好消息是支出減少了 16%。這一大幅下降是由於嚴格的成本控制以及我們在 11 月宣布的 Scripps News 業務的削減。嚴格的費用管理加上有效的廣告銷售執行，使得該部門的利潤率達到了 2022 年第四季以來的最高水平，達到 32%。

Network segment profit was $64 million, compared to $49.7 million in the year ago quarter. For the second quarter, we expect Scripps Networks division revenue to be about flat and for the Networks expenses to be down in the low double-digits range due to the aggressive expense management across a variety of functions in the segment.

網路部門利潤為 6,400 萬美元，而去年同期為 4,970 萬美元。對於第二季度，我們預計 Scripps Networks 部門的收入將基本持平，而由於該部門對各個職能部門進行了積極的費用管理，網路部門的支出將下降至兩位數的低點。

Turning to the segment labeled other. In the first quarter, we reported a loss of $6.4 million, the same as the year ago period. Shared services and corporate expenses were $22.6 million. For the second quarter, we expect that line to be about $22 million. Our EPS for the quarter was a $0.22 loss. That compares very favorably to the consensus EPS estimate even with the impact of the preferred stock dividend, which has a negative impact on earnings per share even when we don't pay it. This quarter, it reduced EPS by $0.18.

轉到標有“其他”的部分。第一季度，我們報告虧損 640 萬美元，與去年同期相同。共享服務和公司費用為 2,260 萬美元。對於第二季度，我們預計該額度約為 2200 萬美元。本季我們的每股盈餘虧損 0.22 美元。即使考慮到優先股股息的影響，這與每股盈餘普遍預期相比仍然非常有利，因為即使我們不支付優先股股息，它也會對每股盈餘產生負面影響。本季度，其每股收益減少了 0.18 美元。

First quarter results also included a $4 million restructuring charge that increased the loss to shareholders by $0.04 per share. Regarding our real estate asset sales, from late last year to today, we have completed transactions totaling $63 million. That includes the sale of five transmission towers and our West Palm Beach station building. At March 31, cash and cash equivalents totaled $24 million and our total debt at quarter end was $2.6 billion. Net leverage at the end of Q1 was 4.9 times and we expect to continue to reduce our leverage ratio this year.

第一季業績還包括 400 萬美元的重組費用，導致股東每股損失增加 0.04 美元。關於我們的房地產資產銷售，從去年年底到今天，我們已經完成總額為 6,300 萬美元的交易。其中包括出售五座輸電塔和我們的西棕櫚灘車站大樓。截至 3 月 31 日，現金及現金等價物總額為 2,400 萬美元，季末的總負債為 26 億美元。第一季末的淨槓桿率為4.9倍，我們預期今年的槓桿率將持續降低。

On April 10th, we completed our refinancing transactions. No amounts remain outstanding on our term loans that had been due in 2026 and 2028 and for our old revolving credit facility. You can find the details on our new term loans due in 2028 and 2029 in yesterday's earnings press release as well as the details of our new revolving credit and AR securitization facilities.

4月10日，我們完成了再融資交易。我們的 2026 年和 2028 年到期的定期貸款以及舊的循環信貸額度均已無未償還金額。您可以在昨天的收益新聞稿中找到我們 2028 年和 2029 年到期的新定期貸款的詳細信息，以及我們新的循環信貸和應收帳款證券化工具的詳細信息。

Just a reminder that, despite the current elevated rate environment, these transactions only increased our blended cost of debt by less than 1%. And we have now retired or extended the maturity of up to $1.5 billion of debt. We believe the completed refinancing transactions have positioned us well for the near-term with a clear runway through mid-2027.

需要提醒的是，儘管當前利率環境較高，但這些交易僅使我們的混合債務成本增加不到 1%。現在我們已經償還或延長了高達 15 億美元的債務期限。我們相信，已完成的再融資交易為我們在短期內做好了準備，並為我們在 2027 年中期的發展奠定了清晰的基調。

We remain focused on using free cash flow to reduce the amount of our debt with debt and leverage reduction as our highest capital allocation priority. Furthermore, we continue to evaluate our remaining debt maturities as part of our efforts to further optimize the balance sheet. Here's Adam.

我們仍然專注於利用自由現金流來減少債務，並將減少債務和槓桿作為我們的最高資本配置優先事項。此外，作為進一步優化資產負債表的努力的一部分，我們將繼續評估剩餘債務到期日。這是亞當。

Good morning, everybody, and thanks for joining us.

大家早安，感謝大家的收看。

I'd like to start this morning's discussion by going back to our company priorities that I laid out a year ago. I spoke then about the season our business was in. Our team was focused on executing a plan to pay down debt, improve the balance sheet, capture the presidential election year opportunity in the Local Media division and restore high margins to the Scripps Networks division.

今天早上的討論開始，我想回顧一下我一年前製定的公司優先事項。當時我談到了我們業務所處的季節。我們的團隊專注於執行一項計劃，以償還債務、改善資產負債表、抓住地方媒體部門的總統選舉年機會並恢復 Scripps Networks 部門的高利潤率。

I'm very pleased with the tremendous progress we've made in executing this plan. In one year, we have paid down debt and reduced our leverage ratio by nearly a full turn and are improving our balance sheet. This quarter, we delivered our highest Scripps Networks margins in more than two years at 32%. We captured record political advertising revenue to end 2024. We have deepened existing Scripps Sports partnerships and created meaningful new ones.

我對我們在執行該計劃方面取得的巨大進展感到非常高興。一年之內，我們償還了債務，並將槓桿率降低了近一倍，並且正在改善我們的資產負債表。本季度，我們的 Scripps Networks 利潤率達到了兩年多來的最高水平，達到 32%。截至 2024 年底，我們的政治廣告收入創下了歷史新高。我們深化了與史克里普斯體育現有的合作關係，並建立了有意義的新合作關係。

And to start this year, our first quarter results beat expectations across the board due to strength in Networks revenue, especially for Connected TV and due to strong expense control across the enterprise. The priorities I described last year remain very important for us today and now investors should see the track record of significant progress against each of them.

今年伊始，由於網路收入（尤其是連網電視）的強勁成長以及整個企業強有力的費用控制，我們的第一季業績全面超出預期。我去年描述的優先事項對於我們今天來說仍然非常重要，現在投資者應該看到我們在實現每個優先事項方面取得的重大進展的記錄。

Most importantly, what we have accomplished over the last year has set us up well to move successfully through the company's next season. Not far ahead, we see the prospect of local broadcast industry consolidation that will drive growth by finally allowing us to deepen our presence in our local markets, building upon the strong relationships we already have with viewers and advertisers to create even greater shareholder value with significant efficiency.

最重要的是，我們在過去一年中所取得的成就為我們順利度過公司下一個季度奠定了良好的基礎。在不久的將來，我們看到了本地廣播行業整合的前景，這將最終使我們能夠深化在本地市場的存在，並在我們與觀眾和廣告商之間已經建立的牢固關係的基礎上，以顯著的效率創造更大的股東價值，從而推動增長。

We believe, financial growth through our existing businesses is just around the corner. The basis for this opportunity is the deep local and national connections we have across this country, specifically created through our local news, live sports and audience and advertiser relationships.

我們相信，透過現有業務實現財務成長指日可待。這個機會的基礎是我們在全國各地建立的深厚的本地和全國聯繫，具體是透過我們的本地新聞、現場體育賽事以及觀眾和廣告商關係建立起來的。

We produce the news and information that connects people to their communities, that they depend upon and that audiences seek out across multiple platforms to help them make sense of the world. And of course, equally critical, businesses from Wall Street to Main Street rely on our programming as a trustworthy vehicle for their messaging.

我們製作的新聞和資訊將人們與他們的社區聯繫起來，他們所依賴的新聞和資訊以及觀眾在多個平台上尋找的新聞和訊息，以幫助他們了解世界。當然，同樣重要的是，從華爾街到大街上的企業都依賴我們的節目作為他們傳遞訊息的可靠載體。

At Scripps specifically, I'm very proud that our news teams have recently been recognized with a wide range of prestigious journalism awards for reporting that serves our communities and our country. Our Scripps News Network, which is carried within our local news as well as on most streaming platforms, has received awards this spring for its investigative work from the duPont, the Gracies, IRE, National Headliners and the Deadline Club.

特別是在斯克里普斯，我非常自豪我們的新聞團隊最近因服務我們的社區和國家的報導而獲得了一系列享有盛譽的新聞獎項。我們的斯克里普斯新聞網 (Scripps News Network) 在我們的本地新聞以及大多數串流媒體平台上播出，今年春天因其調查工作而獲得了杜邦獎、格雷西獎、IRE、國家頭條新聞獎和 Deadline Club 的獎項。

Scripps News also was just nominated for an amazing eight national Emmy Awards. On the local news side, our investigative teams in Phoenix and Nashville have recently won duPont's National Headliners and just announced last week Prestigious Peabody Awards, one for each of those stations. The National Association of Broadcasters awarded Scripps itself with its 2025 Service to America Award for our company's comprehensive coverage and disaster relief efforts in Florida following Hurricanes Helene and Milton last year.

《史克里普斯新聞》也剛獲得了令人驚嘆的八項全國艾美獎提名。在地方新聞方面，我們在鳳凰城和納許維爾的調查團隊最近贏得了杜邦全國頭條新聞獎，並且上週剛剛宣布了享有盛譽的皮博迪獎，這兩個電台各獲得一個獎項。美國全國廣播協會向斯克里普斯公司頒發了“2025年度服務美國獎”，以表彰我們公司在去年颶風海倫和米爾頓過後在佛羅裡達州所做的全面報道和救災工作。

These awards recognize work that represents the very best of what journalism can be, whether it is topics such as fentanyl abuse, mass shootings, hate groups, policing, natural disasters and severe weather or the war in Ukraine, our news programs are providing lifesaving and life-changing information to our audiences. They look to us to make their lives better and their communities richer. In turn, their connection to us is an asset we can and will actively strengthen to grow.

這些獎項旨在表彰代表新聞業最高水準的工作，無論是芬太尼濫用、大規模槍擊、仇恨團體、警務、自然災害和惡劣天氣或烏克蘭戰爭等主題，我們的新聞節目都在為觀眾提供拯救生命和改變生活的資訊。他們期望我們能讓他們的生活變得更美好、社區更富裕。反過來，他們與我們的聯繫是一種資產，我們可以而且會積極加強這種聯繫，以實現成長。

In addition to our news programming, our Scripps Sports growth strategy is building real value in our existing local station and national network assets through live sports. Our local stations strengthen the connections we have with audiences and advertisers, tapping into the passion sports fans have for their local teams with our full season team partnerships.

除了新聞節目外，我們的斯克里普斯體育發展策略是透過體育直播為我們現有的本地電台和國家網路資產創造真正的價值。我們的本地電台加強了我們與觀眾和廣告商的聯繫，透過與全賽季球隊的合作，激發了體育迷對當地球隊的熱情。

Right now, our viewers are rooting on the Florida Panthers and the Vegas Golden Knights in the final eight of the National Hockey League playoffs. It's not only fans who are taking notice of the way we're bringing local sports to broadcast TV. This week, Nevada's US Senator, Jacky Rosen, highlighted the Scripps Sports and Vegas Golden Knights partnership, describing the benefit of our free over the air broadcast and other approaches to serving the local fan base.

現在，我們的觀眾正在為國家冰球聯盟季後賽八強中的佛羅裡達黑豹隊和維加斯金騎士隊加油。不僅球迷注意到了我們將本地體育賽事引入電視廣播的方式。本週，內華達州美國參議員傑基·羅森 (Jacky Rosen) 重點介紹了斯克里普斯體育和維加斯金騎士隊的合作關係，介紹了我們免費無線廣播的好處以及為當地球迷提供服務的其他方式。

We have with NHL teams, we've recently announced the new broadcast partnership with the WNBA's very popular Las Vegas Aces beginning this month, and it's possible we'll have additional announcements to come. Each new relationship is a core revenue growth opportunity for the local market.

我們與 NHL 球隊合作，最近又宣布從本月開始與 WNBA 非常受歡迎的拉斯維加斯王牌隊建立新的廣播合作夥伴關係，我們可能還會發布更多公告。每個新的關係都是當地市場的核心收入成長機會。

At our recent Scripps Networks Upfront event at Barclays Center in Brooklyn, the home of the WNBA's New York Liberty, we emphasize the strong cultural connection our nation has with women's sports and how Scripps is not just participating, we're leading this movement with our WNBA and NWSL franchise nights. The event was also an opportunity for us to unveil our two newest women's sports properties for ION.

在我們最近於布魯克林巴克萊中心（WNBA 紐約自由人的主場）舉行的 Scripps Networks Upfront 活動中，我們強調了我們國家與女子體育之間的強大文化聯繫，以及 Scripps 不僅參與其中，還通過我們的 WNBA 和 NWSL 特許經營之夜引領這一運動。這次活動也為我們提供了一個機會，讓我們能夠為 ION 推出兩個最新的女子運動產品。

The SI Women's Games, our partnership with Sports Illustrated, will entertain audiences with six nights of tournament play in an Americas versus the World format. The competition will take place this fall and is attracting the very best athletes to compete live in basketball, volleyball, flag football, tennis, gymnastics and combat sports. A few weeks later, we'll broadcast the Fort Myers Tip-off Women's College Basketball Tournament.

我們與《體育畫報》合作舉辦的國際體育畫報女子運動會將以美洲對抗世界的形式為觀眾帶來六晚的錦標賽。比賽將於今年秋季舉行，並將吸引籃球、排球、腰旗橄欖球、網球、體操和格鬥運動等項目的最優秀運動員現場參賽。幾週後，我們將轉播邁爾斯堡女子大學籃球錦標賽。

To help us take even greater advantage of the advertising demand we are experiencing for women's sports inventory, we targeted these events in the fourth quarter after the WNBA and NWSL seasons have ended. Live news and sports aren't our only programming genres, but they are certainly the foundation for the connection we have with Americans nationally and in our local markets.

為了幫助我們更好地利用對女子運動用品的廣告需求，我們將這些賽事定位在 WNBA 和 NWSL 賽季結束後的第四季。現場新聞和體育節目並不是我們唯一的節目類型，但它們無疑是我們與全國和當地市場的美國人建立聯繫的基礎。

There is no question that, our service to community and Main Street has been threatened by outdated government regulations that have made it nearly impossible for us to compete on a level playing field with the big diversified media companies and big tech.

毫無疑問，我們為社區和主要街道提供的服務受到了過時的政府法規的威脅，這些法規使我們幾乎不可能與大型多元化媒體公司和大型科技公司在公平的競爭環境中競爭。

It feels like we finally have the support of a Federal Communications Commission that understands the valuable role we play in local markets and the credibility we have, that is un-replicated by any other source of local news and information. We welcome the opportunity to rebalance the business through regulatory relief, which will give us more operating leverage. With that, we will better serve our local audiences and advertisers as well as the shareholders who benefit from those deep connections.

感覺我們終於得到了聯邦通信委員會的支持，該委員會了解我們在當地市場發揮的寶貴作用以及我們所擁有的信譽，這是任何其他當地新聞和資訊來源都無法複製的。我們歡迎透過監管放鬆來重新平衡業務的機會，這將為我們提供更多的經營槓桿。這樣，我們將更好地服務於本地觀眾和廣告商以及受益於這些深厚聯繫的股東。

Operator, we are now ready for questions.

接線員，我們現在可以回答問題了。

(Operator Instructions)

（操作員指示）

Dan Kurnos, The Benchmark Company.

Dan Kurnos，基準公司。

Yes, great. Thanks. Let me start quickly with regulatory. Adam, obviously, the rest of the space has had their moment to talk about what it means for them. There's a huge groundswell from the SEC. You just talked about it in your opening remarks. Given where you stand the balance sheet and everything, how is Scripps best positioned to take advantage of some of the changes that might occur here?

是的，太棒了。謝謝。讓我快速從監管開始。亞當，顯然，空間裡的其他人也都花了一些時間來談論這對他們意味著什麼。美國證券交易委員會 (SEC) 的呼聲十分高漲。您剛才在開場白中談到了這一點。考慮到您的資產負債表和所有情況，史克里普斯如何最好地利用這裡可能發生的一些變化？

I mean, you referenced the regulatory environment. I think it's fair to say that, the commission recognizes that, local news, local sports, local programming entirely depends on the durability of local television. Standing in the way of that durability, we think are the rules that prevent consolidation both in market and national consolidation that's necessary for us to compete on that level playing field with the national media companies, the networks that are right now already using their leverage to essentially impair our abilities to serve local communities.

我的意思是，你提到了監管環境。我認為可以公平地說，委員會意識到，地方新聞、地方體育、地方節目完全取決於地方電視的持久性。我們認為，阻礙這種持久性的是那些阻止市場整合和國家整合的規則，而這些規則對於我們在公平的競爭環境中與國家媒體公司競爭是必要的，而這些網絡現在已經利用其影響力從根本上削弱了我們為當地社區服務的能力。

So for us, we believe greater scale nationally and greater depth in market are necessary for our assets to perform their best for shareholders and continue in service to the communities where we operate. So I expect we'll do everything in our power to take advantage of this moment. I expect off the bat given our balance sheet, our greatest opportunities would be both in swaps and in select asset sales.

因此，對我們來說，我們相信，在全國範圍內擴大規模和在市場上加大深度對於我們的資產為股東帶來最佳效益以及繼續為我們經營所在的社區提供服務是必要的。因此我希望我們能盡一切努力利用這一時機。我預計，根據我們的資產負債表，我們最大的機會在於掉期和精選資產銷售。

Got it. Perfect. And then, look, you deserve a lot of credit on ION. I mean, the margins were tremendous in Q1. The guide to flat revenue in Q2, it's a little bit of an easier comp, but still in this uncertain environment that's pretty impressive. So maybe I guess a two part question.

知道了。完美的。那麼，你看，你在 ION 上值得獲得很多讚譽。我的意思是，第一季的利潤率非常高。第二季營收持平的指南，這是一個比較容易的比較，但在這種不確定的環境中仍然令人印象深刻。所以也許我猜這是一個由兩個部分組成的問題。

One, you referenced sports helping drive performance in the back half of the year. CTV has been great. So how much visibility do you have? You just went to the up fronts. How do we think about kind of performance the back half of the year? And is the margin level should we be thinking above and beyond your 400 basis points to 600 basis points of improvement at this point, or this is just a first step showing how much leverage there is in the model? Thank you.

首先，您提到體育有助於提高下半年的業績。CTV 非常棒。那麼你的知名度有多高呢？您剛剛到達前線。我們如何看待下半年的表現？我們是否應該考慮超出您目前提出的 400 個基點至 600 個基點的改善幅度的保證金水平，或者這只是第一步，顯示模型中有多少槓桿？謝謝。

So a couple of things to unpack there. First of all, I think on the upfront, I think what we can say is, Adam talked about the events we had and a lot of, I would say, positivity coming out of that. But frankly, it's really early. We are in the process of conducting hundreds of meetings and probably won't have a lot of concrete things to say specific to the up fronts until we get to the next earnings call.

因此，有幾件事情需要解決。首先，我認為從一開始，我們可以說，亞當談到了我們經歷過的事件，我想說，其中有很多積極因素。但坦白說，現在還為時過早。我們目前正在召開數百次會議，在下一次財報電話會議之前，可能不會有很多具體的事情可以透露。

But certainly, a lot of excitement around the women's sports strategy there, the new assets we've added with the SI women's game in Fort Myers. So driving a tremendous amount of media coverage and interest. So more to come on the up fronts, I would say, during the next meeting.

但可以肯定的是，那裡的女子運動策略引起了很多興奮，我們在邁爾斯堡舉辦的 SI 女子比賽也為我們增添了新的資產。因此引起了媒體的大量報導和關注。所以我想說，下次會議期間我們會討論更多有關前線的問題。

Specific to the network's margins and so great results in Q1, the 30%. I would point you back to look at 32% more than 30%. I would point you back to look historically that, the network's margin for a variety of factors does bounce around some from quarter-to-quarter. So I don't think you can take that 30% and assume that's the margin every quarter as we go forward. I think there is a lot of positive things happening right now. But I also would point back to there's also a lot of uncertainty in the marketplace.

具體到網路利潤率，第一季的業績非常出色，達到了 30%。我想提醒大家回頭看看 32% 而不是 30%。我想提醒大家回顧一下歷史，由於各種因素的影響，網路利潤率在每季之間都會有所波動。因此，我認為你不能拿著這 30% 假設這是我們未來每季的利潤率。我認為現在發生了很多積極的事情。但我還要指出的是，市場上也存在著許多不確定性。

So we're not changing that guide. I would also point to when you think of the 400 to 600 basis point improvement, some of the levers we pulled to drive that were pulled in the middle of last year. So I would fully expect that, we are above that 400 basis points to 600 basis points in the first half of the year, because we are cycling past a time where we didn't have those embedded within our run rate. But in the back half of the year, we're going to cycle past some of those expense items that were actually already realized in Q3 and Q4. And so, I think you need to kind of think of the progression through that lens.

所以我們不會改變該指南。我還要指出的是，當你想到 400 到 600 個基點的改善時，我們採取的一些推動措施是在去年年中採取的。因此，我完全可以預期，今年上半年我們的利率將超過 400 個基點至 600 個基點，因為我們已經度過了一個沒有將這些因素納入運行率的時期。但在下半年，我們將循環處理一些實際上已在第三季和第四季實現的費用項目。所以，我認為你需要從這個角度來思考進展。

Hi, Dan. It's Adam. Just relative to Networks revenue, I think what you're seeing is the manifestation of our live sports strategy, a disciplined approach to acquiring sports rights, sports rights that have generated significant demand in the market. Obviously, this season NWSL and WNBA were sold out in last year's upfront. And at this point, we're now still extracting, I would say, fairly premium pricing for the scatter inventory that's left, though the demand has been very, very strong and our visibility is clear. There's not much left.

你好，丹。是亞當。僅相對於網路收入，我認為您所看到的是我們現場體育賽事策略的體現，即一種獲取體育賽事版權的嚴謹方法，這些體育賽事版權在市場上產生了巨大的需求。顯然，本季 NWSL 和 WNBA 的門票在去年就已經銷售一空。目前，我想說，我們仍在為剩餘的散落庫存提取相當高的價格，儘管需求非常強勁，而且我們的可見性很清晰。剩下的不多了。

And that's why you're seeing I think performance that pretty solidly beats our general entertainment networks peers in linear advertising. That and really outstanding performance by the team focused on Connected TV.

這就是為什麼你會看到，我認為其表現相當穩固地擊敗了我們的一般娛樂網路線性廣告同行。這也是專注於連網電視的團隊的出色表現。

Got it. And that's very helpful color. Jason, just to be clear, I didn't run out the 32%, but don't sell yourself short. I mean that was a very strong quarter.

知道了。這是非常有用的顏色。傑森，需要說明的是，我沒有用完那 32%，但不要低估自己。我的意思是那是一個非常強勁的季度。

Craig Huber, Huber Research Partners.

Craig Huber，Huber 研究夥伴。

Great. Thank you. I guess, let me start with just a numbers question here. Your employee compensation benefit line in Scripps Networks was down 30%, 31% year-over-year to roughly $21 million. How much volatility should we expect in the dollar amount of that, as we play out the rest of the year here? I mean, can you actually hold employee costs in Scripps Networks into low $20 million, $21 million range for the rest of the year? My first question please.

偉大的。謝謝。我想，讓我先從一個數字問題開始。Scripps Networks 的員工薪資福利線年減了 30%（31%），降至約 2,100 萬美元。隨著今年剩餘時間的到來，我們預期美元金額的波動幅度應該有多大？我的意思是，你真的能將 Scripps Networks 的員工成本控制在今年剩餘時間內保持在 2,000 萬美元至 2,100 萬美元的範圍內嗎？我的第一個問題。

Yes. I mean, as I said earlier, there's always a little bit of variability from quarter-to-quarter. But yes, I would say in general that, we reset things through the actions we've taken to a much lower employee cost base in that segment. And I would expect that to continue as we progress through the year.

是的。我的意思是，正如我之前所說，每個季度之間總是會存在一些變化。但是的，我想說，總的來說，我們透過採取的行動重新設定了該領域的員工成本基礎。我希望這一趨勢能夠持續下去。

Okay, great. And then on the advertising front, maybe a little more detail about some of the advertising categories out there, maybe on the TV station side, for example. I'd love to hear how auto did in the quarter, what your outlook is for the new quarter here, maybe touch on maybe retail and services as well, if you could please, for the TV stations?

好的，太好了。然後在廣告方面，也許可以更詳細地介紹一些廣告類別，例如電視台方面的廣告。我很想聽聽汽車產業在本季的表現如何，您對新季度的展望是什麼，如果可以的話，也許可以談談零售和服務業，對於電視台來說呢？

Yes. So I can start with -- I'll first start with Q1 and I can talk a little bit about our Q2 guide. So as we said, core revenue was down about 3% from the prior year, really driven by a variety of factors, kind of from a line of revenue perspective. Local was -- the local piece of core was more stable than the national piece where we saw sort of the largest decline. The US is a little bit about categories. I would say looking back, automotive and retail were the worst performers in the quarter. And I think you can certainly point that back to the macroeconomic environment right now.

是的。所以我可以從——先從 Q1 開始，然後我可以稍微談談我們的 Q2 指南。正如我們所說，核心收入比前一年下降了約 3％，從收入角度來看，這實際上是受到多種因素的影響。本地是——本地核心部分比全國部分更穩定，我們看到全國部分出現了最大的下降。美國有點注重分類。我想說，回顧過去，汽車和零售業是本季表現最差的產業。我認為你當然可以將其歸結為當前的宏觀經濟環境。

Services and home improvement were down a little bit, but I would say generally stable in the quarter. And actually for us, one of our top five categories gambling was actually up in the quarter tied mostly to the local sports deals that we have. From a Q2 perspective, we gave a guide of low single-digits. That was actually, I think, slightly better than some of our peers who are kind of more in that low to mid. The down is driven again by auto and retail.

服務業和家居裝修業略有下降，但我認為本季整體保持穩定。實際上，對於我們來說，本季度我們五大類別之一的賭博業務實際上有所增長，這主要與我們簽訂的本地體育交易有關。從第二季的角度來看，我們給了低個位數的指引。事實上，我認為這比我們一些處於中低水平的同行要好一些。汽車和零售業再次推動了這一下降。

Actually in April four of our top five categories were up, largely driven by the benefit of sports, specifically the NHL playoff series in Las Vegas and in South Florida and then also, I would say, a favorable NBA footprint for us on our ABC stations. But many of those categories, once those things sort of played out in April, flip back to down in May. So, it's largely again auto and retail that are driving things. We're certainly navigating a lot of uncertainty right now, but I will point back to I think that our guide is a little bit better and it's really tied back to some of the positive things we saw in April on our sports properties.

實際上，四月份我們的五大類別中有四個類別都出現了上漲，這主要得益於體育賽事的推動，特別是在拉斯維加斯和南佛羅裡達舉行的 NHL 季後賽系列賽，此外，我想說，NBA 在我們的 ABC 電視台的播出也為我們帶來了良好的影響。但其中許多類別，一旦這些情況在四月顯現出來，在五月就會回落。因此，在很大程度上，汽車和零售業再次推動著事態發展。我們現在確實面臨很多不確定性，但我要指出的是，我認為我們的指南要好一些，這確實與我們在四月份在體育資產上看到的一些積極因素有關。

I appreciate that. And could you maybe quantify how auto and retail did in the first quarter? And is that percent change dramatically different how it's looking so far in this quarter?

我很感激。您能否量化一下第一季汽車和零售業的表現？這個百分比變化與本季迄今的情況有顯著不同嗎？

I would say that, in general, it is probably fairly consistent as you move from Q1 to Q2. I know a couple of other peers were also asked kind of Q1 to Q2 comparison. I would say, generally, Q1 to Q2, if it weren't for sports, Q2 might be slightly worse than Q1 in terms of pacings, but the sports has helped us sort of offset that. Auto was down kind of in the low double-digits range in Q1, retail more in kind of the mid-single-digits range.

我想說，總的來說，從 Q1 到 Q2，它可能是相當一致的。我知道其他一些同行也被問到 Q1 與 Q2 的比較。我想說，一般來說，從第一季到第二季度，如果沒有運動，第二季度的節奏可能會比第一季略差一些，但體育運動幫助我們抵消了這一點。第一季度，汽車銷售量下降了約兩位數，零售銷售量下降了約個位數。

Okay. Appreciate that. Is there any more real estate asset sales you're expecting any significance for the rest of the year?

好的。非常感謝。您預計今年剩餘時間內還會出現更多具有重大意義的房地產資產銷售嗎？

There's nothing we're expecting right now. It doesn't mean that something couldn't pop up. We are continually looking at our footprint, looking if there is demand in a certain market for the locations what we have. But right now, we've delivered $63 million in asset sales from a real estate perspective and don't have anything else in the queue right now.

我們現在還沒有任何期待。這並不意味著某些東西不會出現。我們不斷關注我們的足跡，看看某個市場是否對我們所在的位置有需求。但目前，從房地產角度來看，我們已經完成了 6,300 萬美元的資產出售，目前沒有其他交易。

Okay. Thank you for that. Back on advertising again for Scripps Networks, looking for it to be flattish in the new quarter year-over-year. Can you talk about some of the categories are doing better and worse than that? I mean, I'd particularly love to hear how direct response is doing. Anything in there?

好的。謝謝你。再次回顧 Scripps Networks 的廣告業務，預計新季度的廣告業務將與去年同期持平。能談談哪些類別的表現比較好，哪些比較差嗎？我的意思是，我特別想聽聽直接回應的效果如何。裡面有什麼東西嗎？

All right. So I'll start here and then Adam can add in potentially a little bit of additional color. So from a Q2 perspective, yes, we said flat. I think that when you're looking at Q2, we expect to see continued strong Connected TV growth, a little bit of a stronger scatter market than we saw in Q1 and I would say a modestly improved -- marketplace, largely tied back to having a full slate of sports that we're wearing on ION in the second quarter with both the WNBA and NWSL.

好的。所以我將從這裡開始，然後亞當可以添加一些額外的顏色。因此從第二季的角度來看，是的，我們說的是持平。我認為，當您展望第二季度時，我們預計聯網電視將繼續保持強勁增長，分散市場將比第一季略強一些，而且我認為市場將略有改善，這主要與我們在第二季度在 ION 上觀看 WNBA 和 NWSL 等一系列體育賽事有關。

And I'll just kind of point back to Adam's point he made a couple of minutes ago. Our Q1 performance and our Q2 guide both, I would say, materially better than our peers. A lot of them in Q1 were down 10% to 15% versus are down 5%. And I do think that is tied back specifically to our sports strategy that we're deploying.

我只是想回顧一下亞當幾分鐘前提出的觀點。我想說，我們的第一季業績和第二季業績都比同業好得多。其中許多在第一季下降了 10% 至 15%，而下降幅度僅為 5%。我確實認為這與我們正在部署的體育策略密切相關。

Yes. I would point out to the fact that, Craig, during last year's upfront, we saw significant demand for these sports assets that bridge second and third quarter. And while tariffs and uncertainty in the economy, I think has a big impact on advertising in general, this is going to -- we're going to see a period where advertisers will flock to the most valuable and most premium inventory available. And it's another validation I think of our investment in women's sports and our deepening of our commitment to bringing premium inventory opportunity to ION.

是的。克雷格，我想指出的是，在去年的預付款期間，我們看到了連接第二季和第三季的這些體育資產的巨大需求。雖然我認為關稅和經濟的不確定性對整個廣告業有很大影響，但我們即將看到一個時期，廣告商將湧向最有價值、最優質的廣告資源。我認為這是對我們對女子運動的投資以及我們為 ION 帶來優質庫存機會的深化承諾的另一種證明。

Okay. Last question, I promise. You guys talked about in your press release, retrans revenues expected to be flat year-over-year in the second quarter and the same for the full year. I'm curious, your retrans subs, what percent were they down year-over-year in the first quarter? I think recent quarters, as you guys have said publicly, it's down about 5%. Did that trend continue in the first quarter? And what's embedded in the remainder part of the year more of the same down roughly 5% or so?

好的。最後一個問題，我保證。你們在新聞稿中談到，預計第二季轉播營收將與去年同期持平，全年也將如此。我很好奇，您的轉播訂閱量在第一季同比下降了百分之多少？我認為最近幾個季度，正如你們公開表示的那樣，它下降了約 5%。這一趨勢在第一季是否持續了下去？那麼今年剩餘時間的支出是否會持續下降約 5% 左右？

You're correct. Yes, we were down mid-single-digits for the most recent twelve month reporting period. That's in line with our trends. That's also in line with what we assume in our forward-looking modeling. Certainly, recent earnings reports from some of our distribution partners have shown, I would say, some marginal impact in their sub-churn and we continue to monitor that and hopeful that that does over time play its way into our numbers as well. But at this point to be conservative, we've continued to assume the down mid-single-digits.

你是對的。是的，在最近的十二個月報告期間內，我們的收入下降了中等個位數。這符合我們的趨勢。這也符合我們在前瞻性模型中的假設。當然，我想說，我們一些分銷合作夥伴最近的收益報告顯示，他們的客戶流失率受到了一定的影響，我們將繼續監控這一點，並希望隨著時間的推移，這也將對我們的業績產生影響。但目前，為了保守起見，我們繼續假設下降幅度在個位數左右。

Okay great. Thank you both.

好的，太好了。謝謝你們兩位。

Avi Steiner, JPMorgan.

摩根大通的 Avi Steiner。

Hi, thanks for taking the questions. Two broad categories as I can. First, on the cost save side, the company has done a great job on the Scripps network side of the business. And I'm just wondering if you could transfer that disciplined expense management and find opportunities perhaps on the local media side of the house to help offset some of this top line on your political absence? And then I've got one more. Thank you.

你好，謝謝你回答這個問題。我盡可能將其分為兩大類。首先，在成本節約方面，該公司在史克里普斯網路業務方面做得很好。我只是想知道您是否可以轉移這種嚴格的費用管理並在當地媒體方面尋找機會來幫助抵消您缺席政治所帶來的部分收入損失？然後我又得到一個。謝謝。

Sure, Avi. Actually, over the last couple of years, if you were to take a look at our expense run rate, you would recognize that we've actually pulled a number of levers that have saved significant spending -- significant expenses in the Local Media division. I would say, certainly, we're looking at the opportunity for local market consolidation to be a tailwind for expense savings as well and for accretion.

當然，阿維。實際上，在過去的幾年裡，如果你看一下我們的費用運行率，你會發現我們實際上已經採取了一些措施，節省了大量的開支——本地媒體部門的大量開支。我想說，當然，我們正在尋找機會，讓本地市場整合成為節省開支和實現成長的順風。

I think we're continuing to look at new opportunities to leverage technology through transformation, particularly with AI that will make our operations more effective and more efficient, the potential for additional centralization. But for the most part, I think we've generally pulled those levers. And with the exception of increased costs associated with sports rights that were incremental for this year, our local expenses have been, I think, a pretty solid performance as well.

我認為，我們正在繼續尋找透過轉型利用技術的新機會，特別是人工智慧，這將使我們的營運更加有效、更有效率，並有可能實現進一步的集中化。但在大多數情況下，我認為我們基本上已經採取了這些措施。除了今年與體育版權相關的成本增加之外，我認為我們的本地支出也表現得相當穩健。

There's probably not the significant lever pull that you see in Local that we've been executing in networks. But I would expect that we will continue to manage expenses very, very carefully throughout the year.

我們在網路中執行的重大槓桿作用可能並不像您在本地所見的那樣。但我預計，我們全年將繼續非常謹慎地管理開支。

Appreciate that very much. And my second question and then I'll let you guys go, it's a two parter. But on the FCC regulation front, appreciate the earlier comments on swaps and sales. But maybe two, one, I'm curious if any of the prospective ownership rule changes at the SEC might impact the ION side of the business, first.

非常感謝。我的第二個問題，然後我就讓你們問了，它分成兩個部分。但在 FCC 監管方面，我很欣賞先前關於掉期和銷售的評論。但也許有兩個，第一，我很好奇美國證券交易委員會 (SEC) 未來的所有權規則變化是否會影響 ION 的業務。

And then secondly, beyond ownership rules, curious whether the FCC can deliver other benefits, including maybe how they view virtuals? And if you were able to negotiate directly with them, how might that boost your top and bottom-line? And again, thank you for the time.

其次，除了所有權規則之外，好奇 FCC 是否可以帶來其他好處，包括他們如何看待虛擬？如果您能夠直接與他們談判，這將如何提高您的營業收入和利潤？再次感謝您抽出時間。

Yes. Avi, I would say on the second question, we're certainly looking forward to the opportunity for greater operating leverage to help us improve the durability of the business, whether that's in our ability to negotiate for what I would characterize as an appropriate level of compensation for us from the networks to the potential for the FCC to change the way they think about virtual MVPDs. Just because it comes in over the Internet doesn't mean it's in any way fundamentally different than a traditional MVPD.

是的。Avi，關於第二個問題，我想說，我們當然期待有機會獲得更大的經營槓桿，以幫助我們提高業務的持久性，無論是我們有能力就我認為適當的網絡補償水平進行談判，還是 FCC 有可能改變他們對虛擬 MVPD 的看法。僅僅因為它是透過網路傳播的，並不意味著它與傳統的 MVPD 有任何根本的不同。

And I think, the NAB and local affiliates like ourselves have long been calling on a change there. Were virtual MVPDs to be treated the same as MVPDs, we think there would be a lot more upside in our opportunity for direct negotiation with those virtual MVPDs. And we think there'd be additional benefit to the people of this country, who would then have the opportunity to also watch like many of our independent stations that today carry local broadcast sports, but are not being carried right now on virtuals, because we don't have the operating leverage in order to ensure that they get carried on those virtuals. It's really just a fact of the people in these communities are missing out, if they are a virtual MVPD subscriber.

我認為，NAB 和我們這樣的當地分支機構長期以來一直在呼籲改變。如果虛擬 MVPD 與 MVPD 受到同等對待，我們認為我們與這些虛擬 MVPD 直接談判的機會將會更多。我們認為，這將為這個國家的人民帶來額外的好處，他們將有機會像我們今天播放本地體育廣播的許多獨立電台一樣觀看，但目前這些獨立電台沒有在虛擬平台上播放，因為我們沒有運營槓桿來確保它們能夠在這些虛擬平台上播放。事實上，如果這些社群的人們是虛擬 MVPD 訂閱者，他們就會錯過一些東西。

So we certainly look forward to that. I think there's also you may have read how Commissioner Simington's proposal looks to potentially cap reverse. We think, the commission recognizes that, things have gotten to the point where the networks are using their economic leverage to control the airwaves, which is essentially a de facto violation of communications regulations.

因此我們當然期待這一點。我想您可能已經讀過西明頓委員的提案如何潛在地限制逆轉。我們認為，委員會意識到，事情已經發展到網路利用其經濟影響力來控制無線電波的地步，這實際上是對通訊法規的事實違反。

So the networks ought to be taking this moment as a call to action to address the issue proactively instead of waiting for it to be regulated. And we think that's also a very good catalyst for value creation for shareholders, for the industry. And now, I've forgotten your first question, Avi. Remind me.

因此，網路應該利用這個機會採取行動，主動解決這個問題，而不是等待它被監管。我們認為這也是為股東、為產業創造價值的良好催化劑。現在，我忘記了你的第一個問題，Avi。提醒我。

The first one was just if any of these prospective ownership rule changes and other changes you just talked about might impact the ION side of this. Thank you again.

第一個問題是，您剛才談到的任何潛在所有權規則變更以及其他變更是否可能會對 ION 方面產生影響。再次感謝您。

Yes. I mean, I think, certainly ION is a broadcast network. And when we acquired ION, we were constrained with how many of the local stations, the local transmitters we could acquire, because of the impact it would have on our cap and on in market rules. We believe, there could be opportunity for changes in the regulation to open up the opportunity for us to bring in more of the ION stations, and in doing so, eliminate some of the OpEx today that is a drag on ION margins.

是的。我的意思是，我認為 ION 當然是一個廣播網絡。當我們收購 ION 時，我們受到可以收購的本地電台和本地發射機數量的限制，因為這會對我們的上限和市場規則產生影響。我們相信，法規的變化可能會為我們引入更多的 ION 站創造機會，從而消除目前拖累 ION 利潤率的一些營運支出。

One of the opportunities when we acquired ION was owning our own spectrum, with our networks, instead of leasing it. And the same continues to hold true with ION. When the rules change, the opportunity for us to own more of our own distribution will be a tailwind to networks margins.

我們收購 ION 的機會之一是擁有自己的頻譜和網絡，而不是租用。ION 也同樣如此。當規則改變時，我們擁有更多自主分銷權的機會將對網路利潤產生推動作用。

Michael Kupinski, Noble Capital Markets.

麥可‧庫賓斯基 (Michael Kupinski)，Noble Capital Markets。

Thank you and thanks for taking my questions. I was wondering if you can quantify the advertising lift that you're receiving from gambling advertising as you expand your sports on both local and network. Is that a category that is differentiation from you and your broadcast peers? Are there other categories that you see a lift related to your sports programming? I was just wondering if you can add some color on the difference that you're seeing in your pacings versus others.

謝謝您，也謝謝您回答我的問題。我想知道，當您在本地和網路上擴展體育項目時，您是否可以量化從賭博廣告中獲得的廣告提升。這是與您和您的廣播同儕不同的一個類別嗎？您是否發現與您的體育節目相關的其他類別也有所提升？我只是想知道您是否可以解釋一下您所看到的與您的其他人的步調之間的差異。

So I think that in April four of our top five categories were actually up. And so, I do think we see the benefit of those playoff series that played out on our airwaves in April across a variety of categories. Gambling has been one that's certainly in the markets where we have local sports. There's obviously a very close tie in between sports betting and the sports that we're airing. And so, we typically do see in those markets stronger gambling category growth than we do in markets where we don't have local sports.

所以我認為，四月份我們排名前五的類別中有四個實際上是上漲的。因此，我確實認為我們看到了四月份在我們的廣播中播出的涵蓋各種類別的季後賽系列賽的好處。在我們有本地體育賽事的市場中，賭博肯定是一個市場。顯然，體育博彩和我們播放的體育賽事之間存在著非常密切的聯繫。因此，我們通常會看到這些市場的賭博類別成長比沒有本地體育項目的市場更強勁。

Got you. And I was wondering if you can give us an update on EdgeBeam. Is the CEO in place there? Does it have the funding? Is there an estimate on how much revenues it may contribute this year? What is your outlook on that at this point?

明白了。我想知道您是否可以向我們提供有關 EdgeBeam 的最新進展。首席執行官在那裡嗎？它有資金嗎？能否估算今年它可以貢獻多少收入？您現在對此有何看法？

Yes, Mike. We are close on the CEO. Just as a little context, the JV brings together Nexstar, Sinclair, Gray and Scripps, really the four most powerful broadcasters into one platform to reach 97% of US households. No, I would not put anything in your models for Scripps or really the broadcast sector yet on EdgeBeam. There's two ways EdgeBeam is going to be a catalyst for value creation.

是的，麥克。我們很快就選出執行長了。簡單介紹一下，該合資公司將 Nexstar、Sinclair、Gray 和 Scripps 這四家最強大的廣播公司整合到一個平台上，覆蓋 97% 的美國家庭。不，我不會在 EdgeBeam 上的 Scripps 模型或真正的廣播領域模型中放入任何東西。EdgeBeam 將透過兩種方式成為價值創造的催化劑。

First, as an equity owner, we will create value for Scripps through this joint venture. And second, and what I would characterize as sort of the one that you ought to be most focused on, every one of the broadcasters associated with EdgeBeam also will have or has commercial agreements with EdgeBeam for the use of our spectrum for data casting.

首先，身為股權所有者，我們將透過這項合資企業為史克里普斯創造價值。第二，我認為您應該最關注的是，與 EdgeBeam 相關的每個廣播公司也將與 EdgeBeam 簽訂或已經簽訂了商業協議，以使用我們的頻譜進行資料廣播。

And bringing all of us together as a broker in the marketplace really as a catalyst to make the market, we believe, will help to create value at the broadcast company level, as we begin to bring in clients that want to lease contiguous spectrum across the nation. But I would not put anything. I do believe, we'll see revenue this year, first revenue at EdgeBeam, but I do not believe the companies will see material revenue this year.

我們相信，將我們所有人聚集在一起，作為市場上的經紀人，真正成為市場的催化劑，將有助於在廣播公司層面創造價值，因為我們開始吸引那些想要在全國範圍內租賃連續頻譜的客戶。但我不會放任何東西。我確實相信，我們今年會看到收入，首先是 EdgeBeam 的收入，但我不相信這些公司今年會看到實質的收入。

And Adam, I know that, I think that, you've met with the FCC and the administration recently. And I was just wondering there is a lot of initiatives there at the FCC in talking about deregulation and so forth. Do you have any sense of the timing or how this might move along? I mean, obviously, we've been disappointed in the past where the FCC indicated that they're willing to lift ownership restrictions and then it never happened and got bogged down in Congress or whatever. I was just wondering, what is your sense of the timing of this?

亞當，我知道，我認為，你最近已經與聯邦通訊委員會和政府會面了。我只是想知道聯邦通信委員會在討論放鬆管制等方面是否有很多舉措。您是否了解時間安排或進度？我的意思是，顯然，我們過去曾感到失望，因為聯邦通訊委員會表示他們願意取消所有權限制，但後來卻沒有發生，而是在國會或其他地方陷入了困境。我只是想知道，您對於這個時機有什麼看法？

Yes. I mean, I think you're going to start seeing announcements from the industry relatively soon. We have to be mindful of the fact that, it's still a 2-2 FCC and we're waiting on the full Senate confirmation of the last commissioner to be seated, trustee. I think once that happens, I think the commission will be in a much better position to actually make changes to the regulations under Chairman Carr's Delete, Delete, Delete initiative.

是的。我的意思是，我認為你很快就會開始看到來自該行業的公告。我們必須注意到，FCC 的票數仍然是 2-2，我們正在等待參議院對最後一位委員、受託人的全面確認。我認為，一旦發生這種情況，委員會將能夠更好地根據卡爾主席的「刪除、刪除、刪除」倡議對法規做出實際修改。

But even before that, it wouldn't surprise me, if swaps or deals were brought in front of the FCC under the assumption that it's going to take some time for them to make its way through the process and or for the process to be hastened a bit through waivers. So this is not like in the past when we were I think trying to improve our business within the constraints of very arcane rules.

但即使在此之前，如果將掉期或交易提交給聯邦通信委員會 (FCC)，並假設它們需要一些時間來完成整個流程，或者透過豁免加快整個流程，我也不會感到驚訝。因此，這不像過去那樣，當時我們試圖在非常神秘的規則限制內改善我們的業務。

This is a commission that recognizes that local news, local sports, local programming, they depend on this commission taking action in order to level the playing field. I think the Chairman rightly recognizes that, we need greater economic leverage, because otherwise we're witnessing de facto control of the airwaves by the networks. And I believe that, the commission will act in a way that, as I said in my prepared remarks, rebalance the marketplace.

該委員會認識到地方新聞、地方體育、地方節目都依賴該委員會採取行動來創造公平的競爭環境。我認為主席正確地認識到，我們需要更大的經濟槓桿，否則我們將看到網路對無線電波的實際控制。我相信，正如我在準備好的演講中所說的那樣，委員會將採取行動來重新平衡市場。

By the way, not in a way that's going to favor us, but in a way that just makes it fair to the American people that rely on local TV news, sports and programming. And of course, this will benefit our shareholders who invested in this mission.

順便說一句，這不是以對我們有利的方式，而是一種對依賴當地電視新聞、體育和節目的美國人民公平的方式。當然，這將使投資於這項使命的股東受益。

Adam, thanks for that color. I really appreciate it. That's all I have. Thanks.

亞當，謝謝你的顏色。我真的很感激。這就是我所擁有的一切。謝謝。

Thanks, Mike.

謝謝，麥克。

Shanna Qiu, Barclays.

巴克萊銀行的Shanna Qiu。

Hi, guys. Thanks for taking my questions. Congrats on extending your term limitaries in April. Appreciate you guys are focused on deleveraging. Can you provide an update on your 2027? Are you guys still actively engaged in looking at options to refinance those?

嗨，大家好。感謝您回答我的問題。恭喜您在四月延長了任期限制。感謝你們專注於去槓桿。您能提供 2027 年的最新情況嗎？你們是否仍在積極尋找再融資的選項？

Yes. So thanks for the question. As you pointed out, we were really pleased with the refinancing that we completed and that does kind of clear that runway through May 2027. Probably can't say much more than that, we continue to evaluate our existing -- our remaining debt maturities as part of our efforts to optimize our balance sheet and probably can't say much more than that at this point.

是的。感謝您的提問。正如您所指出的，我們對完成的再融資感到非常滿意，這確實為 2027 年 5 月之前的融資鋪平了道路。可能不能說更多，我們將繼續評估我們現有的 - 我們剩餘的債務到期日，作為我們優化資產負債表的努力的一部分，目前可能不能說更多。

Okay, great. Thank you. And then last one for me. I know some of your peers have reported political benefits from the Wisconsin Supreme Court race. It seems like you guys, might not have benefited as much even though you have a top station in Milwaukee. Can you just comment on the dynamics that you guys saw there and how we should think about that pulling into political going into next year?

好的，太好了。謝謝。這是我的最後一個。我知道你們的一些同行報告了他們從威斯康辛州最高法院競選中得到的政治利益。看起來，儘管你們在密爾瓦基擁有一個頂級電台，但你們可能並沒有受益太多。您能否評論一下您在那裡看到的動態以及我們應該如何看待明年的政治動態？

Yes. So I think I can speak to Q1 and then Adam probably speak to kind of the bigger picture. We did have some benefit that rolled through in the political number that we reported in Q1 tied specifically to Wisconsin. And I think that, when you look there wasn't -- beyond that there wasn't a lot of other political across our footprint. But certainly, we did see and we have two stations in Wisconsin and we saw -- we did see some dollars flow through those races as a result. Do you want to talk more broadly about that?

是的。所以我想我可以談談問題 1，然後亞當可能會談論更大的情況。我們在第一季報告的政治數據中確實獲得了一些好處，這些數據與威斯康辛州特別相關。我認為，如果你仔細觀察就會發現，除此之外，我們的足跡中並沒有太多其他的政治活動。但可以肯定的是，我們確實看到了，我們在威斯康辛州有兩個電台，我們看到——我們確實看到一些資金通過這些競選流入。您想更廣泛地談論這個問題嗎？

Yes. I mean, just to reiterate, we did see the benefit in Wisconsin. Quite frankly, I mean, given revenue in the first quarter, it wasn't hugely material for any of us, but it was nice to see, and I think a positive outcome, a reaffirmation of television's power for political that it will continue. There is, I think the potential for additional political revenue ahead with Virginia's gubernatorial race.

是的。我的意思是，重申一下，我們確實在威斯康辛州看到了好處。坦白說，考慮到第一季的收入，這對我們任何人來說都不是什麼重大的事情，但很高興看到，我認為這是一個積極的結果，重申了電視對政治的影響，並且這種影響將繼續下去。我認為維吉尼亞州州長競選有可能帶來額外的政治收入。

But overall, I mean, I think it's going to shape up to be a pretty typical off cycle year with the exception that it's always possible that, the environment we're in will spark earlier spending on the mid-terms. And I think there's a lot of money sitting on the sidelines right now waiting to determine what the strategy will be. We know when that strategy is set that money will be spent in local broadcast television.

但總的來說，我認為今年將會是一個非常典型的非週期年，但我們所處的環境總是有可能引發中期選舉的提前支出。我認為現在有很多資金在觀望，等待確定策略。我們知道，一旦制定該策略，資金將用於地方廣播電視。

Yes. And just to reiterate, I think when you're kind of talking full year, I would -- if you look back over kind of our historicals, an off year for us is typically kind of in that mid $20 million range. And so I think that is aligns with our expectations for this year.

是的。再次重申一下，我認為當你談論全年時，如果你回顧一下我們的歷史，你會發現我們的淡季收入通常在 2000 萬美元左右。所以我認為這符合我們對今年的期望。

Okay great. Thank you guys.

好的，太好了。謝謝你們。

Hal Steiner, BNP Paribas.

法國巴黎銀行的哈爾施泰納。

Hi, guys. Thank you so much for taking my question and congratulations on the solid quarter and guide. Could you just share what the pro forma cash balance was at the end of the refinancing transaction in April?

嗨，大家好。非常感謝您回答我的問題，並祝賀本季業績和指南取得良好進展。您能否分享一下四月再融資交易結束時的預計現金餘額是多少？

Yes. I will have to get that number for you. I know at the end of the quarter, we had $25 million. We did draw up on the revolver or as at the closing to help fund fees and such with the plan to pay it down throughout the quarter. And so, I will have to get the number. I don't have it in my fingertips.

是的。我必須為你拿到那個號碼。我知道在本季末，我們有 2500 萬美元。我們確實在收盤時動用了循環信貸來幫助支付費用等，併計劃在整個季度內償還。所以，我必須得到這個號碼。我手邊沒有它。

Got it. Is it right to expect that, that revolver balance would be mostly paid down by the end of the quarter? Because I guess when I like just did the walk, like I think it's like roughly $370 million of the term loans like came out and then you did a $360 million draw on the AR facility. So it seemed like that decently matched that. So I was just a little surprised that like the draw I closed was $170 million, but it seems like that's transitory and coming down.

知道了。是否可以預期，該循環信貸餘額將在本季末基本償還？因為我想當我剛剛走的時候，我想大約有 3.7 億美元的定期貸款出來了，然後你從 AR 設施中提取了 3.6 億美元。因此看起來這很符合這一點。因此，當我看到我完成的抽獎金額達到 1.7 億美元時，我感到有點驚訝，但看來這只是暫時的，而且正在下降。

Yes. I would say, yes, it will come down. I would not expect it to be paid off by the end of the quarter. I think the expectation is it's paid off by the end of the year, yes.

是的。我想說，是的，它會下降。我預計它不會在本季末付清。是的，我認為預計到今年年底就能得到回報。

Got it. Great. Okay, great, thank you guys for taking my question.

知道了。偉大的。好的，太好了，謝謝大家回答我的問題。

Steven Cahall, Wells Fargo.

富國銀行的史蒂文·卡霍爾 (Steven Cahall)。

Thank you. First, just on the solid networks guide in the second quarter. I was curious how much of that revenue is already committed. I'm guessing it's quite a bit, but we'd just love to get your thoughts on the visibility there. And sticking with Networks, I imagine programming costs are up this year as you move into more and more sports on ION. So is it correct to think about the cost action you've taken at Networks is even more aggressive than what we're seeing, because there's some underlying content cost growth within the network?

謝謝。首先，僅就第二季穩固的網路指南而言。我很好奇其中有多少收入已經被承諾。我猜是相當多的，但我們只是想聽聽您對那裡的可見性的看法。繼續關注網絡，我想隨著您在 ION 上播放越來越多的體育節目，今年的節目製作成本將會上升。那麼，您是否認為您在網路部門採取的成本行動比我們所看到的更為激進，因為網路內部存在一些潛在的內容成本成長？

No, I mean, on the second question, yes. Obviously, there are typical step-ups in sports rights programming. And I think, you're pointing out something that, we probably should have pointed out ourselves. We are making strategic changes to the programming strategy, and to fund those changes we're cutting, but we're -- what you're seeing is still essentially very significant improvement in the OpEx at the network side even with that subtle, I would say, and very disciplined growth in programming expense due to sports.

不，我的意思是，關於第二個問題，是的。顯然，體育轉播權節目製作中存在著典型的升級。我認為，您指出的是我們自己也應該指出的。我們正在對節目製作策略進行策略性調整，並削減這些調整所需的資金，但您可以看到，儘管體育節目製作費用出現了微妙且非常有規律的增長，但網絡方面的運營支出仍然得到了非常顯著的改善。

Yes. And in terms of sort of Q2 revenue guide, what I would say is, we do have a high degree of confidence. We have probably around low 80% committed at this point. We continue to close more every week as we progress through the quarter.

是的。就第二季收入指南而言，我想說的是，我們確實有很高的信心。目前我們的承諾大概已達 80% 左右。隨著本季的進展，我們每週都會繼續完成更多交易。

And then Jason, just following up on local. What's driving the low single-digits expense guide in the quarter? I would think that, as you're comping a bigger political year that reduces some costs like commissions. So just curious what that is causing that expense growth at local in Q2?

然後是傑森，只是跟進當地的情況。是什麼推動了本季低個位數的支出指南？我認為，隨著政治年越來越大，佣金等一些成本也會減少。所以很好奇是什麼原因導致第二季本地費用成長？

Yes. And so, it's really primarily been driven by the programming line and primarily by sports programming. We have some new sports assets. Those costs do bleed into the second quarter through sort of the end of the season and through the playoffs. And so, if you back out sort of the programming line, all other expenses I would say are flat.

是的。因此，它實際上主要受到節目線和體育節目的推動。我們有一些新的體育資產。這些成本確實會滲透到第二季度，直到賽季結束和季後賽。因此，如果你退出編程線，我會說所有其他費用都是持平的。

And then, the last one kind of speculative, Adam, on the deregulation front. There has been a lot of focus on virtual MVPDs and I think that's been one of the subjects of the NAB as well. If the national networks do provide that negotiating right back to local stations, but the FCC is not involved in regulating what exactly MVPD does or doesn't have to do.

然後，亞當，最後一種推測是關於放鬆管制方面的。人們對虛擬 MVPD 給予了極大的關注，我認為這也是 NAB 的主題之一。如果國家網路確實提供該服務，則直接與地方電台協商，但 FCC 並不參與監管 MVPD 到底應該做什麼或不應該做什麼。

Do you think that's still a big revenue opportunity for you all? I guess what I'm asking is, if you're kind of just negotiating for the value of your local content with the virtuals, do you think you can generate more revenue than what you get from them today?

您認為這對你們來說仍然是一個巨大的創收機會嗎？我想問的是，如果您只是就本地內容與虛擬內容的價值進行談判，您認為您可以從中獲得比現在更多的收入嗎？

Absolutely. I absolutely do. And that's from the evidence that we've had in the past. Every one of these the most successful virtual MVPDs knew they needed the local affiliates and the local streams in order to actually launch and to get to a level of scale. So I do think, we would be in a better economic position. I also think it would finally open up the opportunity for the virtuals to be in a better position to negotiate with us for the independent sports stations as well. I mean, these are things that we believe are significant catalysts.

絕對地。我絕對相信。這是我們過去所掌握的證據。這些最成功的虛擬 MVPD 中的每一個都知道，他們需要本地分支機構和本地串流媒體才能真正啟動並達到一定規模。所以我確實認為，我們的經濟狀況會更好。我還認為，這最終將為虛擬體育電台提供機會，使其能夠更好地與我們就獨立體育電台進行談判。我的意思是，我們相信這些都是重要的催化劑。

Would you care to size what that uplift could be?

您想了解這種提升到底有多大嗎？

No.

不。

Fair enough. I thought I'd try. Okay, thank you.

很公平。我想我會嘗試一下。好的，謝謝。

Thank you. This does conclude our question-and-answer session in today's conference call. Thank you for participating and you may now disconnect.

謝謝。今天電話會議的問答環節到此結束。感謝您的參與，您現在可以斷開連接。