Saga Communications, Inc. Q1 2026 Earnings Summary, ending ended March 31, 2026. Saga reported first quarter 2026 net revenue declined 5.6% to $22.9 million, down from $24.2 million in the same period a year ago.
Financial Highlights (vs. Q1 2025)
- Net revenue: $22.9 million, down 5.6% ($1.3 million).
- Digital revenue: $4.4 million, up 25.2%.
- Station operating expenses: $22.0 million (essentially flat).
- Station operating income (non-GAAP): $0.9 million, down 62%.
- Net loss: $2.4 million ($0.38 per share), vs. $1.6 million loss ($0.25 per share) last year.
Traditional radio advertising continued to decline, partially offset by strong digital growth. Political revenue was negligible in both periods.
Balance Sheet & Capital Returns
- Cash & short-term investments: $30.4 million.
- Long-term debt: $5 million.
- Paid $0.25/share quarterly dividend (~$1.6 million); another $0.25/share declared for June 2026.
- Capital expenditures: $0.8 million (2026 full-year guidance: ~$3.5 million).
- Digital momentum remains the core focus: blended radio + digital packages grew 59%, with strong gains in search, targeted display, and social.
- Management is investing in digital talent, in-house capabilities, and AI tools, expecting digital operations to become accretive in Q3 or early Q4 2026.
- 2026 political ad bookings already at $1.4 million (vs. $0.65 million total in 2025).
- Q2 revenue pacing: overall down high-single digits; digital up ~10%.
Q1 2026 reflected the typical first-quarter seasonal softness in radio, compounded by industry-wide traditional ad challenges, resulting in a wider net loss. However, the 25%+ digital revenue growth and progress on blended offerings signal positive momentum from the company’s long-term strategic pivot. With a clean balance sheet, continued dividends, and disciplined cost management, Saga remains focused on positioning itself for improved profitability later in 2026 as digital contributions accelerate.