Delaware
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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
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☒
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Accelerated filer
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☐
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||||||||
Non-accelerated filer
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☐
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Smaller reporting company
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☐
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Emerging growth company
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☐
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Item No. | Page | |||||||
PART I. FINANCIAL INFORMATION | ||||||||
1. | Financial Statements | |||||||
2. | ||||||||
3. | ||||||||
4. | ||||||||
PART II. OTHER INFORMATION | ||||||||
1. | ||||||||
1A. | ||||||||
2. | ||||||||
3. | ||||||||
4. | ||||||||
5. | ||||||||
6. | ||||||||
Mar. 31, 2021 | Dec. 31, 2020 | ||||||||||
ASSETS | |||||||||||
Current assets | |||||||||||
Cash and cash equivalents | $ | 12,853 | $ | 40,968 | |||||||
Accounts receivable, net of allowances of $7,188 and $7,035, respectively
|
613,896 | 550,755 | |||||||||
Other receivables | 11,653 | 14,031 | |||||||||
Syndicated programming rights | 32,283 | 47,331 | |||||||||
Prepaid expenses and other current assets | 22,276 | 19,509 | |||||||||
Total current assets | 692,961 | 672,594 | |||||||||
Property and equipment | |||||||||||
Cost | 1,039,632 | 1,026,459 | |||||||||
Less accumulated depreciation | (570,087) | (556,100) | |||||||||
Net property and equipment | 469,545 | 470,359 | |||||||||
Intangible and other assets | |||||||||||
Goodwill | 2,981,587 | 2,968,693 | |||||||||
Indefinite-lived and amortizable intangible assets, less accumulated amortization of $251,342 and $235,582, respectively
|
2,488,740 | 2,503,644 | |||||||||
Right-of-use assets for operating leases | 95,759 | 97,190 | |||||||||
Investments and other assets | 129,217 | 136,219 | |||||||||
Total intangible and other assets | 5,695,303 | 5,705,746 | |||||||||
Total assets | $ | 6,857,809 | $ | 6,848,699 |
Mar. 31, 2021 | Dec. 31, 2020 | ||||||||||
LIABILITIES, REDEEMABLE NONCONTROLLING INTEREST AND EQUITY | |||||||||||
Current liabilities | |||||||||||
Accounts payable | $ | 42,972 | $ | 58,049 | |||||||
Accrued liabilities | |||||||||||
Compensation | 35,153 | 46,213 | |||||||||
Interest | 15,920 | 47,249 | |||||||||
Contracts payable for programming rights | 100,442 | 130,522 | |||||||||
Other | 79,901 | 78,219 | |||||||||
Dividends payable | 21,030 | — | |||||||||
Income taxes payable | 93,823 | 63,923 | |||||||||
Total current liabilities | 389,241 | 424,175 | |||||||||
Noncurrent liabilities | |||||||||||
Income taxes | 9,109 | 7,303 | |||||||||
Deferred income tax liability | 533,280 | 530,240 | |||||||||
Long-term debt | 3,517,092 | 3,553,220 | |||||||||
Pension liabilities | 80,273 | 85,908 | |||||||||
Operating lease liabilities | 97,432 | 99,337 | |||||||||
Other noncurrent liabilities | 76,824 | 75,488 | |||||||||
Total noncurrent liabilities | 4,314,010 | 4,351,496 | |||||||||
Total liabilities | 4,703,251 | 4,775,671 | |||||||||
Commitments and contingent liabilities (see Note 9) | |||||||||||
Redeemable noncontrolling interest (see Note 1) | 15,220 | 14,933 | |||||||||
Shareholders’ equity | |||||||||||
Common stock of $1 par value per share, 800,000,000 shares authorized, 324,418,632 shares issued
|
324,419 | 324,419 | |||||||||
Additional paid-in capital | 27,596 | 113,267 | |||||||||
Retained earnings | 7,151,716 | 7,075,640 | |||||||||
Accumulated other comprehensive loss | (119,798) | (121,076) | |||||||||
Less treasury stock at cost, 103,728,046 shares and 104,918,360 shares, respectively
|
(5,244,595) | (5,334,155) | |||||||||
Total equity | 2,139,338 | 2,058,095 | |||||||||
Total liabilities, redeemable noncontrolling interest and equity | $ | 6,857,809 | $ | 6,848,699 |
Quarter ended Mar. 31, | |||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||
Revenues | $ | 727,051 | $ | 684,189 | |||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||
Cost of revenues1
|
394,692 | 369,368 | |||||||||||||||||||||
Business units - Selling, general and administrative expenses
|
89,326 | 92,968 | |||||||||||||||||||||
Corporate - General and administrative expenses
|
16,870 | 21,714 | |||||||||||||||||||||
Depreciation
|
15,896 | 16,900 | |||||||||||||||||||||
Amortization of intangible assets
|
15,760 | 16,216 | |||||||||||||||||||||
Spectrum repacking reimbursements and other, net
|
(1,423) | (7,515) | |||||||||||||||||||||
Total | 531,121 | 509,651 | |||||||||||||||||||||
Operating income | 195,930 | 174,538 | |||||||||||||||||||||
Non-operating income (expense): | |||||||||||||||||||||||
Equity (loss) income in unconsolidated investments, net | (1,329) | 9,015 | |||||||||||||||||||||
Interest expense
|
(46,485) | (56,960) | |||||||||||||||||||||
Other non-operating items, net | 330 | (19,270) | |||||||||||||||||||||
Total | (47,484) | (67,215) | |||||||||||||||||||||
Income before income taxes | 148,446 | 107,323 | |||||||||||||||||||||
Provision for income taxes | 35,614 | 21,125 | |||||||||||||||||||||
Net Income
|
112,832 | 86,198 | |||||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interest | (215) | 110 | |||||||||||||||||||||
Net income attributable to TEGNA Inc. | $ | 112,617 | $ | 86,308 | |||||||||||||||||||
Net income per share: | |||||||||||||||||||||||
Basic | $ | 0.51 | $ | 0.40 | |||||||||||||||||||
Diluted | $ | 0.51 | $ | 0.39 | |||||||||||||||||||
Weighted average number of common shares outstanding: | |||||||||||||||||||||||
Basic shares | 220,602 | 218,277 | |||||||||||||||||||||
Diluted shares | 221,198 | 218,863 | |||||||||||||||||||||
1 Cost of revenues exclude charges for depreciation and amortization expense, which are shown separately above.
|
Quarter ended Mar. 31, | |||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||
Net income | $ | 112,832 | $ | 86,198 | |||||||||||||||||||
Other comprehensive income, before tax: | |||||||||||||||||||||||
Foreign currency translation adjustments | 496 | 402 | |||||||||||||||||||||
Recognition of previously deferred post-retirement benefit plan costs | 1,225 | 1,498 | |||||||||||||||||||||
Other comprehensive income, before tax | 1,721 | 1,900 | |||||||||||||||||||||
Income tax effect related to components of other comprehensive income | (443) | (478) | |||||||||||||||||||||
Other comprehensive income, net of tax | 1,278 | 1,422 | |||||||||||||||||||||
Comprehensive income | 114,110 | 87,620 | |||||||||||||||||||||
Comprehensive (income) loss attributable to redeemable noncontrolling interest | (215) | 110 | |||||||||||||||||||||
Comprehensive income attributable to TEGNA Inc. | $ | 113,895 | $ | 87,730 |
Three months ended Mar. 31, | |||||||||||
2021 | 2020 | ||||||||||
Cash flows from operating activities: | |||||||||||
Net income | $ | 112,832 | $ | 86,198 | |||||||
Adjustments to reconcile net income to net cash flow from operating activities: | |||||||||||
Depreciation and amortization | 31,656 | 33,116 | |||||||||
Stock-based compensation | 8,761 | (757) | |||||||||
Company stock 401(k) contribution | 5,304 | 5,138 | |||||||||
Equity loss (income) from unconsolidated investments, net | 1,329 | (9,015) | |||||||||
Pension contributions, net of income | (4,410) | (3,642) | |||||||||
Change in other assets and liabilities, net of acquisitions: | |||||||||||
(Increase) decrease in trade receivables | (63,120) | 38,131 | |||||||||
(Decrease) increase in accounts payable | (15,077) | 3,633 | |||||||||
Increase in interest and taxes payable | 4,320 | 8,775 | |||||||||
Increase in deferred revenue | 923 | 270 | |||||||||
Change in other assets and liabilities, net | (24,447) | 15,517 | |||||||||
Net cash flow from operating activities | 58,071 | 177,364 | |||||||||
Cash flows from investing activities: | |||||||||||
Purchase of property and equipment | (13,185) | (13,264) | |||||||||
Reimbursements from spectrum repacking | 1,423 | 7,515 | |||||||||
Payments for acquisitions of businesses and other assets, net of cash acquired | (13,341) | (15,000) | |||||||||
Purchases of investments | (157) | (509) | |||||||||
Proceeds from investments | 2,022 | 695 | |||||||||
Proceeds from sale of assets and businesses | 7 | 5,000 | |||||||||
Net cash flow used for investing activities | (23,231) | (15,563) | |||||||||
Cash flows from financing activities: | |||||||||||
Payments under revolving credit facilities, net | (37,000) | (118,000) | |||||||||
Proceeds from borrowings | — | 1,000,000 | |||||||||
Debt repayments | — | (985,000) | |||||||||
Payments for debt issuance costs and early redemption fee | — | (27,603) | |||||||||
Proceeds from sale of minority ownership interest in Premion | — | 14,000 | |||||||||
Dividends paid | (15,439) | (30,470) | |||||||||
Other, net
|
(10,516) | (9,073) | |||||||||
Net cash flow used for financing activities | (62,955) | (156,146) | |||||||||
(Decrease) increase in cash | (28,115) | 5,655 | |||||||||
Balance of cash, beginning of period | 40,968 | 29,404 | |||||||||
Balance of cash, end of period | $ | 12,853 | $ | 35,059 | |||||||
Supplemental cash flow information: | |||||||||||
Cash (received) paid for income taxes, net of refunds | $ | (33) | $ | 793 | |||||||
Cash paid for interest | $ | 76,045 | $ | 66,240 |
Quarters Ended: | Redeemable noncontrolling interest |
Common
stock |
Additional
paid-in capital |
Retained
earnings |
Accumulated
other comprehensive loss |
Treasury
stock |
Total Equity | ||||||||||||||||||||||
Balance at Dec 31, 2020 | $ | 14,933 | $ | 324,419 | $ | 113,267 | $ | 7,075,640 | $ | (121,076) | $ | (5,334,155) | $ | 2,058,095 | |||||||||||||||
Net income | 215 | — | — | 112,617 | — | — | 112,617 | ||||||||||||||||||||||
Other comprehensive income, net of tax | — | — | — | — | 1,278 | — | 1,278 | ||||||||||||||||||||||
Total comprehensive income | 113,895 | ||||||||||||||||||||||||||||
Dividends declared: $0.165 per share
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— | — | — | (36,469) | — | — | (36,469) | ||||||||||||||||||||||
Company stock 401(k) contribution | — | — | (16,254) | — | — | 21,558 | 5,304 | ||||||||||||||||||||||
Stock-based awards activity | — | — | (78,518) | — | — | 68,002 | (10,516) | ||||||||||||||||||||||
Stock-based compensation | — | — | 8,761 | — | — | — | 8,761 | ||||||||||||||||||||||
Adjustment of redeemable noncontrolling interest to redemption value | 72 | — | — | (72) | — | — | (72) | ||||||||||||||||||||||
Other activity | — | — | 340 | — | — | — | 340 | ||||||||||||||||||||||
Balance at Mar. 31, 2021 | $ | 15,220 | $ | 324,419 | $ | 27,596 | $ | 7,151,716 | $ | (119,798) | $ | (5,244,595) | $ | 2,139,338 | |||||||||||||||
Redeemable noncontrolling interest |
Common
stock |
Additional
paid-in capital |
Retained
earnings |
Accumulated
other comprehensive loss |
Treasury
stock |
Total | |||||||||||||||||||||||
Balance at Dec 31, 2019 | $ | — | $ | 324,419 | $ | 247,497 | $ | 6,655,088 | $ | (142,597) | $ | (5,494,030) | $ | 1,590,377 | |||||||||||||||
Net income (loss) | (110) | — | — | 86,308 | — | — | 86,308 | ||||||||||||||||||||||
Other comprehensive income, net of tax | — | — | — | — | 1,422 | — | 1,422 | ||||||||||||||||||||||
Total comprehensive income | (110) | 87,730 | |||||||||||||||||||||||||||
Dividends declared: $0.07 per share
|
— | — | — | (15,282) | — | — | (15,282) | ||||||||||||||||||||||
Company stock 401(k) contribution | — | — | (17,831) | — | — | 22,969 | 5,138 | ||||||||||||||||||||||
Stock-based awards activity | — | — | (77,129) | — | — | 68,056 | (9,073) | ||||||||||||||||||||||
Stock-based compensation | — | — | (757) | — | — | — | (757) | ||||||||||||||||||||||
Sale of minority ownership interest in Premion | 14,000 | — | — | — | — | — | — | ||||||||||||||||||||||
Adjustment of redeemable noncontrolling interest to redemption value | 203 | — | — | (203) | — | — | (203) | ||||||||||||||||||||||
Other activity | — | — | 326 | — | — | — | 326 | ||||||||||||||||||||||
Balance at Mar. 31, 2020 | $ | 14,093 | $ | 324,419 | $ | 152,106 | $ | 6,725,911 | $ | (141,175) | $ | (5,403,005) | $ | 1,658,256 | |||||||||||||||
Quarter ended Mar. 31, | |||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||
Subscription | $ | 386,737 | $ | 332,802 | |||||||||||||||||||
Advertising & Marketing Services | 322,834 | 295,153 | |||||||||||||||||||||
Political | 9,428 | 47,387 | |||||||||||||||||||||
Other | 8,052 | 8,847 | |||||||||||||||||||||
Total revenues | $ | 727,051 | $ | 684,189 |
Mar. 31, 2021 | Dec. 31, 2020 | ||||||||||||||||||||||
Gross | Accumulated Amortization | Gross | Accumulated Amortization | ||||||||||||||||||||
Goodwill | $ | 2,981,587 | $ | — | $ | 2,968,693 | $ | — | |||||||||||||||
Indefinite-lived intangibles: | |||||||||||||||||||||||
Television and radio station FCC broadcast licenses | 2,123,898 | — | 2,123,898 | — | |||||||||||||||||||
Amortizable intangible assets: | |||||||||||||||||||||||
Retransmission agreements | 235,215 | (146,306) | 235,215 | (138,928) | |||||||||||||||||||
Network affiliation agreements | 309,503 | (78,820) | 309,503 | (72,694) | |||||||||||||||||||
Other | 71,466 | (26,216) | 70,610 | (23,960) | |||||||||||||||||||
Total indefinite-lived and amortizable intangible assets | $ | 2,740,082 | $ | (251,342) | $ | 2,739,226 | $ | (235,582) |
Mar. 31, 2021 | Dec. 31, 2020 | ||||||||||
Cash value life insurance | $ | 53,143 | $ | 52,883 | |||||||
Equity method investments | 30,331 | 32,067 | |||||||||
Other equity investments | 16,729 | 20,271 | |||||||||
Deferred debt issuance costs | 8,497 | 9,378 | |||||||||
Other long-term assets | 20,517 | 21,620 | |||||||||
Total | $ | 129,217 | $ | 136,219 |
Mar. 31, 2021 | Dec. 31, 2020 | ||||||||||
Borrowings under revolving credit agreement expiring August 2024 | $ | 318,000 | $ | 355,000 | |||||||
Unsecured notes bearing fixed rate interest at 5.500% due September 2024
|
137,000 | 137,000 | |||||||||
Unsecured notes bearing fixed rate interest at 4.750% 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 principal long-term debt | 3,545,000 | 3,582,000 | |||||||||
Debt issuance costs | (35,507) | (36,595) | |||||||||
Unamortized premiums and discounts, net | 7,599 | 7,815 | |||||||||
Total long-term debt | $ | 3,517,092 | $ | 3,553,220 | |||||||
Quarter ended Mar. 31, | |||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||
Service cost-benefits earned during the period | $ | — | $ | 2 | |||||||||||||||||||
Interest cost on benefit obligation | 3,950 | 4,858 | |||||||||||||||||||||
Expected return on plan assets | (8,650) | (7,750) | |||||||||||||||||||||
Amortization of prior service cost | 25 | (42) | |||||||||||||||||||||
Amortization of actuarial loss | 1,200 | 1,600 | |||||||||||||||||||||
Income from company-sponsored retirement plans | $ | (3,475) | $ | (1,332) |
Retirement Plans | Foreign Currency Translation | Total | |||||||||||||||||||||
Quarters Ended: | |||||||||||||||||||||||
Balance at Dec. 30, 2020 | $ | (120,979) | $ | (97) | $ | (121,076) | |||||||||||||||||
Other comprehensive loss before reclassifications | — | 369 | 369 | ||||||||||||||||||||
Amounts reclassified from AOCL | 909 | — | 909 | ||||||||||||||||||||
Total other comprehensive income | 909 | 369 | 1,278 | ||||||||||||||||||||
Balance at Mar. 31, 2021 | $ | (120,070) | $ | 272 | $ | (119,798) | |||||||||||||||||
Balance at Dec. 31, 2019 | $ | (142,398) | $ | (199) | $ | (142,597) | |||||||||||||||||
Other comprehensive loss before reclassifications | — | 301 | 301 | ||||||||||||||||||||
Amounts reclassified from AOCL | 1,121 | — | 1,121 | ||||||||||||||||||||
Total other comprehensive income | 1,121 | 301 | 1,422 | ||||||||||||||||||||
Balance at Mar. 31, 2020 | $ | (141,277) | $ | 102 | $ | (141,175) | |||||||||||||||||
Quarter ended Mar. 31, | ||||||||||||||||||||||||||
2021 | 2020 | |||||||||||||||||||||||||
Amortization of prior service cost (credit), net | $ | 25 | $ | (110) | ||||||||||||||||||||||
Amortization of actuarial loss | 1,200 | 1,608 | ||||||||||||||||||||||||
Total reclassifications, before tax | 1,225 | 1,498 | ||||||||||||||||||||||||
Income tax effect | (316) | (377) | ||||||||||||||||||||||||
Total reclassifications, net of tax | $ | 909 | $ | 1,121 | ||||||||||||||||||||||
Quarter ended Mar. 31, | |||||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||
Net Income | $ | 112,832 | $ | 86,198 | |||||||||||||||||||
Net (income) loss attributable to the noncontrolling interest | (215) | 110 | |||||||||||||||||||||
Adjustment of redeemable noncontrolling interest to redemption value | (72) | (203) | |||||||||||||||||||||
Earnings available to common shareholders | $ | 112,545 | $ | 86,105 | |||||||||||||||||||
Weighted average number of common shares outstanding - basic
|
220,602 | 218,277 | |||||||||||||||||||||
Effect of dilutive securities: | |||||||||||||||||||||||
Restricted stock units | 410 | 284 | |||||||||||||||||||||
Performance shares | 182 | 298 | |||||||||||||||||||||
Stock options | 4 | 4 | |||||||||||||||||||||
Weighted average number of common shares outstanding - diluted | 221,198 | 218,863 | |||||||||||||||||||||
Net income per share - basic | $ | 0.51 | $ | 0.40 | |||||||||||||||||||
Net income per share - diluted | $ | 0.51 | $ | 0.39 |
Two Years Ending March 31, | ||||||||||||||||||||||||||||||||||||||
2021 | 2020 | |||||||||||||||||||||||||||||||||||||
Advertising & Marketing Services | 45 | % | 50 | % | ||||||||||||||||||||||||||||||||||
Subscription | 45 | % | } | 54% | 42 | % | } | 49% | ||||||||||||||||||||||||||||||
Political | 9 | % | 7 | % | ||||||||||||||||||||||||||||||||||
Other | 1 | % | 1 | % | ||||||||||||||||||||||||||||||||||
Total revenues | 100 | % | 100 | % |
Quarter ended Mar. 31, | |||||||||||||||||||||||||||||||||||||||||||||||
2021 | 2020 | Change from 2020 | 2019 | Change from 2019 | |||||||||||||||||||||||||||||||||||||||||||
Revenues | $ | 727,051 | $ | 684,189 | 6 | % | $ | 516,753 | 41 | % | |||||||||||||||||||||||||||||||||||||
Operating expenses: | |||||||||||||||||||||||||||||||||||||||||||||||
Cost of revenues | 394,692 | 369,368 | 7 | % | 281,311 | 40 | % | ||||||||||||||||||||||||||||||||||||||||
Business units - Selling, general and administrative expenses | 89,326 | 92,968 | (4 | %) | 71,465 | 25 | % | ||||||||||||||||||||||||||||||||||||||||
Corporate - General and administrative expenses | 16,870 | 21,714 | (22 | %) | 14,735 | 14 | % | ||||||||||||||||||||||||||||||||||||||||
Depreciation | 15,896 | 16,900 | (6 | %) | 14,917 | 7 | % | ||||||||||||||||||||||||||||||||||||||||
Amortization of intangible assets | 15,760 | 16,216 | (3 | %) | 8,689 | 81 | % | ||||||||||||||||||||||||||||||||||||||||
Spectrum repacking reimbursements and other, net | (1,423) | (7,515) | (81 | %) | (7,013) | (80 | %) | ||||||||||||||||||||||||||||||||||||||||
Total operating expenses | $ | 531,121 | $ | 509,651 | 4 | % | $ | 384,104 | 38 | % | |||||||||||||||||||||||||||||||||||||
Total operating income | $ | 195,930 | $ | 174,538 | 12 | % | $ | 132,649 | 48 | % | |||||||||||||||||||||||||||||||||||||
Non-operating expenses | (47,484) | (67,215) | (29 | %) | (35,896) | 32 | % | ||||||||||||||||||||||||||||||||||||||||
Provision for income taxes | 35,614 | 21,125 | 69 | % | 22,774 | 56 | % | ||||||||||||||||||||||||||||||||||||||||
Net income | 112,832 | 86,198 | 31 | % | 73,979 | 53 | % | ||||||||||||||||||||||||||||||||||||||||
Net (income) loss attributable to redeemable noncontrolling interest | (215) | 110 | *** | — | *** | ||||||||||||||||||||||||||||||||||||||||||
Net income attributable to TEGNA Inc. | $ | 112,617 | $ | 86,308 | 30 | % | $ | 73,979 | 52 | % | |||||||||||||||||||||||||||||||||||||
Net income per share - basic | $ | 0.51 | $ | 0.40 | 28 | % | $ | 0.34 | 50 | % | |||||||||||||||||||||||||||||||||||||
Net income per share - diluted | $ | 0.51 | $ | 0.39 | 31 | % | $ | 0.34 | 50 | % | |||||||||||||||||||||||||||||||||||||
*** Not meaningful |
Quarter ended Mar. 31, | |||||||||||||||||||||||||||||||||||||||||||||||
2021 | 2020 | Change from 2020 | 2019 | Change from 2019 | |||||||||||||||||||||||||||||||||||||||||||
Subscription | $ | 386,737 | $ | 332,802 | 16 | % | $ | 241,575 | 60 | % | |||||||||||||||||||||||||||||||||||||
Advertising & Marketing Services | 322,834 | 295,153 | 9 | % | 264,402 | 22 | % | ||||||||||||||||||||||||||||||||||||||||
Political | 9,428 | 47,387 | (80) | % | 2,704 | *** | |||||||||||||||||||||||||||||||||||||||||
Other | 8,052 | 8,847 | (9) | % | 8,072 | — | % | ||||||||||||||||||||||||||||||||||||||||
Total revenues | $ | 727,051 | $ | 684,189 | 6 | % | $ | 516,753 | 41 | % | |||||||||||||||||||||||||||||||||||||
*** Not meaningful |
Quarter ended Mar. 31, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | Change | |||||||||||||||||||||||||||||||||
Net income attributable to TEGNA Inc. (GAAP basis) | $ | 112,617 | $ | 86,308 | 30 | % | |||||||||||||||||||||||||||||
Plus (Less): Net income (loss) attributable to redeemable noncontrolling interest | 215 | (110) | *** | ||||||||||||||||||||||||||||||||
Plus: Provision for income taxes | 35,614 | 21,125 | 69 | % | |||||||||||||||||||||||||||||||
Plus: Interest expense | 46,485 | 56,960 | (18 | %) | |||||||||||||||||||||||||||||||
Plus (Less): Equity loss (income) in unconsolidated investments, net | 1,329 | (9,015) | *** | ||||||||||||||||||||||||||||||||
(Less) Plus: Other non-operating items, net | (330) | 19,270 | *** | ||||||||||||||||||||||||||||||||
Operating income (GAAP basis) | 195,930 | 174,538 | 12 | % | |||||||||||||||||||||||||||||||
Plus: M&A due diligence costs | — | 4,588 | *** | ||||||||||||||||||||||||||||||||
Plus: Advisory fees related to activism defense | 4,599 | 7,639 | (40 | %) | |||||||||||||||||||||||||||||||
Less: Spectrum repacking reimbursements and other, net | (1,423) | (7,515) | (81 | %) | |||||||||||||||||||||||||||||||
Adjusted operating income (non-GAAP basis) | 199,106 | 179,250 | 11 | % | |||||||||||||||||||||||||||||||
Plus: Depreciation | 15,896 | 16,900 | (6 | %) | |||||||||||||||||||||||||||||||
Plus: Amortization of intangible assets | 15,760 | 16,216 | (3 | %) | |||||||||||||||||||||||||||||||
Adjusted EBITDA (non-GAAP basis) | 230,762 | 212,366 | 9 | % | |||||||||||||||||||||||||||||||
Corporate - General and administrative expense (non-GAAP basis) | 12,271 | 9,487 | 29 | % | |||||||||||||||||||||||||||||||
Adjusted EBITDA, excluding Corporate (non-GAAP basis) | $ | 243,033 | $ | 221,853 | 10 | % | |||||||||||||||||||||||||||||
*** Not meaningful |
Three months ended Mar. 31, | |||||||||||||||||||||||||||||||||||
2021 | 2020 | Change | |||||||||||||||||||||||||||||||||
Net income attributable to TEGNA Inc. (GAAP basis) | $ | 112,617 | $ | 86,308 | 30 | % | |||||||||||||||||||||||||||||
Plus: Provision for income taxes | 35,614 | 21,125 | 69 | % | |||||||||||||||||||||||||||||||
Plus: Interest expense | 46,485 | 56,960 | (18 | %) | |||||||||||||||||||||||||||||||
Plus: M&A due diligence costs | — | 4,588 | *** | ||||||||||||||||||||||||||||||||
Plus: Depreciation | 15,896 | 16,900 | (6 | %) | |||||||||||||||||||||||||||||||
Plus: Amortization | 15,760 | 16,216 | (3 | %) | |||||||||||||||||||||||||||||||
Plus: Stock-based compensation | 8,761 | (757) | *** | ||||||||||||||||||||||||||||||||
Plus: Company stock 401(k) contribution | 5,304 | 5,138 | 3 | % | |||||||||||||||||||||||||||||||
Plus: Syndicated programming amortization | 16,977 | 18,175 | (7 | %) | |||||||||||||||||||||||||||||||
Plus: Advisory fees related to activism defense | 4,599 | 7,639 | (40 | %) | |||||||||||||||||||||||||||||||
Plus: Cash dividend from equity investments for return on capital | 1,357 | 208 | *** | ||||||||||||||||||||||||||||||||
Plus: Cash reimbursements from spectrum repacking | 1,423 | 7,515 | (81 | %) | |||||||||||||||||||||||||||||||
Plus: Other non-operating items, net | (330) | 19,270 | *** | ||||||||||||||||||||||||||||||||
Plus (Less): Net income (loss) attributable to redeemable noncontrolling interest | 215 | (110) | *** | ||||||||||||||||||||||||||||||||
Plus (Less): Income tax receipts (payments) | 33 | (793) | *** | ||||||||||||||||||||||||||||||||
Plus (Less): Equity loss (income) in unconsolidated investments, net | 1,329 | (9,015) | *** | ||||||||||||||||||||||||||||||||
Less: Spectrum repacking reimbursements and other, net | (1,423) | (7,515) | (81 | %) | |||||||||||||||||||||||||||||||
Less: Syndicated programming payments | (15,721) | (17,865) | (12 | %) | |||||||||||||||||||||||||||||||
Less: Pension contributions | (935) | (2,309) | (60 | %) | |||||||||||||||||||||||||||||||
Less: Interest payments | (76,045) | (66,240) | 15 | % | |||||||||||||||||||||||||||||||
Less: Purchases of property and equipment | (13,185) | (13,264) | (1 | %) | |||||||||||||||||||||||||||||||
Free cash flow (non-GAAP basis) | $ | 158,731 | $ | 142,174 | 12 | % | |||||||||||||||||||||||||||||
*** Not meaningful |
Three months ended Mar. 31, | |||||||||||
2021 | 2020 | ||||||||||
Balance of cash and cash equivalents beginning of the period | $ | 40,968 | $ | 29,404 | |||||||
Operating activities: | |||||||||||
Net income | 112,832 | 86,198 | |||||||||
Depreciation, amortization and other non-cash adjustments | 47,050 | 28,482 | |||||||||
Pension contributions, net of income | (4,410) | (3,642) | |||||||||
Decrease (increase) in trade receivables | (63,120) | 38,131 | |||||||||
Increase in interest and taxes payable | 4,320 | 8,775 | |||||||||
Other, net | (38,601) | 19,420 | |||||||||
Cash flow from operating activities | 58,071 | 177,364 | |||||||||
Investing activities: | |||||||||||
Payments for acquisitions of businesses and other assets, net of cash acquired | (13,341) | (15,000) | |||||||||
All other investing activities | (9,890) | (563) | |||||||||
Cash flow used for investing activities | (23,231) | (15,563) | |||||||||
Cash flow used for financing activities | (62,955) | (156,146) | |||||||||
(Decrease) increase in cash and cash equivalents | (28,115) | 5,655 | |||||||||
Balance of cash and cash equivalents end of the period | $ | 12,853 | $ | 35,059 |
Exhibit Number | Description | |||||||
3-1 | ||||||||
3-1-1 | ||||||||
3-1-2 | ||||||||
3-2 | ||||||||
10-1 | ||||||||
10-2 | ||||||||
31-1 | ||||||||
31-2 | ||||||||
32-1 | ||||||||
32-2 | ||||||||
101.INS | Inline XBRL Instance Document - the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document. | |||||||
101.SCH | Inline XBRL Taxonomy Extension Schema Document. | |||||||
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document. | |||||||
101.DEF | Inline XBRL Taxonomy Extension Definition Document. | |||||||
101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document. | |||||||
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document. | |||||||
104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101). | |||||||
Date: May 10, 2021 | 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) |
Please keep the enclosed Terms and Conditions for future reference. |
Employee: | Location: | ||||
Grant Date: | 3/1/21 | ||||
Stock Unit Commencement Date: | 3/1/21 | ||||
Stock Unit Expiration Date: | 2/28/25 | ||||
Stock Unit Vesting Schedule: | 25% of the Stock Units shall vest on 2/28/22* | ||||
25% of the Stock Units shall vest on 2/28/23* | |||||
25% of the Stock Units shall vest on 2/28/24* | |||||
25% of the Stock Units shall vest on 2/28/25* | |||||
Payment Date: | 25% of the Stock Units shall vest on 3/1/22* | ||||
25% of the Stock Units shall vest on 3/1/23* | |||||
25% of the Stock Units shall vest on 3/1/24* | |||||
25% of the Stock Units shall vest on 3/1/25* |
TEGNA Inc. | ||||||||
By: | ||||||||
Employee's Signature or Acceptance by | Jeffrey Newman | |||||||
Electronic Signature | Senior Vice President/Human Resources |
(a) Definitions.
|
||
As used in Articles 2 and 14 of the Plan and in these Terms and Conditions, a “Change in Control” shall mean the first to occur of the following:
|
Please keep the enclosed Terms and Conditions for future reference. |
Employee: | Location: | ||||
Grant Date: | March 1, 2021 | ||||
Performance Period Commencement Date: | March 1, 2021 | ||||
Performance Period End Date: | February 29, 2024 | ||||
Performance Share Payment Date: | March 1, 2024, or soon as administratively practicable thereafter but in all instances within the first two weeks of March 2024. | ||||
Target Number of Performance Shares: | ______* |
* The actual number of Performance Shares you may receive will be higher or lower depending on the Company’s actual performance versus targeted performance and your continued employment with the Company, as more fully explained in the enclosed Terms and Conditions.
|
TEGNA Inc. | ||||||||
By: | ||||||||
Employee's Signature or Acceptance by | Jeffrey Newman | |||||||
Electronic Signature | Senior Vice President / Human Resources |
(a) Definitions.
|
||
As used in Articles 2 and 14 of the Plan and in these Terms and Conditions, a “Change in Control” shall mean the first to occur of the following:
|
/s/ David T. Lougee
|
|||||
David T. Lougee
President and Chief Executive Officer (principal executive officer) |
/s/ Victoria D. Harker
|
|||||
Victoria D. Harker
Chief Financial Officer (principal financial officer) |
/s/ David T. Lougee
|
|||||
David T. Lougee
President and Chief Executive Officer (principal executive officer) |
/s/ Victoria D. Harker
|
|||||
Victoria D. Harker
Chief Financial Officer (principal financial officer) |