Nexstar Reports Net Loss, Tegna Deal 'On Schedule'

Nexstar Media Group Thursday reported a net loss of $170 million, or $5.63 per diluted share, in the fourth quarter of 2025, swinging from a $229 million profit (or $7.56 per share) in the same period of 2024. The loss stemmed primarily from a $381 million impairment charge on its 31.3% stake in TV Food Network, combined with sharply lower political advertising revenue in a non-election year.

Fourth-quarter net revenue fell 13.4% year-over-year to $1.29 billion. Advertising revenue dropped 27.6% to $549 million, as political ad spending plunged to $21 million from $254 million the prior year. 

“In Q4 2025, we completed all outstanding 2025 renewals with our distribution partners and achieved better-than-expected growth in non-political advertising revenues,” Sook said. “Our 2026 plan includes closing our acquisition of Tegna, capitalizing on the political advertising opportunities presented by the mid-term elections, and continuing to optimize our business operations.”

Sook is optimistic that the deal will move forward, and reassured investors Thursday that “our expectation for close is by the end of 2026 — that remains unchanged.” He noted other media players have been allowed to pursue major acquisition and consolidation plans without the threat of government interference.

However, non-political advertising rose 4.5%, aided by digital growth and the absence of political "crowd-out." Distribution revenue edged up 0.8% to $720 million, driven by higher rates and vMVPD subscriber gains.

Perry Snook

Despite the challenges, CEO Perry A. Sook highlighted solid operational execution, including completing 2025 distribution renewals and better-than-expected non-political ad growth. The CW network reduced its year-over-year losses by 32% and ranked as the 10th most-watched ad-supported network, while NewsNation posted record news viewership.

Nexstar advanced its $6.2 billion acquisition of Tegna Inc., now expected to close by the end of the second quarter of 2026 (earlier than prior second-half guidance), pending regulatory approvals. The deal positions the company to capitalize on 2026 midterm election political ad opportunities.

For 2026, Nexstar issued standalone adjusted EBITDA guidance of $1.95 billion to $2.05 billion. In 2025, the company returned $351 million to shareholders, repaid $185 million in debt, and spent $22 million acquiring CW affiliate WBNX Cleveland. Total debt stood at $6.33 billion as of Dec. 31, 2025.