Shares fell 14.3% as investors were likely disappointed by cautious forward commentary and signs of margin pressure despite solid subscriber and revenue growth.
- Added 280,000 net new digital subscribers, bringing the total to 13.4 million, with digital-only subscription revenue up 16.4% year-over-year.
- Digital advertising revenue grew 21%, boosting total advertising results beyond expectations.
- Consolidated revenues increased 11% year-over-year, supported by growth in affiliate, licensing, and other revenue streams.
- Adjusted operating profit (AOP) rose 16%, reflecting disciplined cost management amid investments in video and product innovation.
- Management acknowledged headwinds from big tech platforms reducing traffic, indicating ongoing challenges to audience growth and potential margin compression.
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