Saga Reports Lower Q2 2025 Revenue and Net Income

RADIO ONLINE | Thursday, August 7, 2025 | 4:23pm CT

Saga Communications

Saga Communications reported a 5% decline in second quarter net revenue, falling to $28.2 million from $29.7 million a year ago. Net income for the quarter dropped to $1.1 million, or $0.18 per diluted share, compared to $2.5 million, or $0.40 per share, in Q2 2024.

Operating income for the quarter was $1.4 million, down from $2.1 million year-over-year. Station operating income, a non-GAAP metric, fell 6.4% to $6.0 million. Station operating expenses also declined, down 4.6% to $22.2 million.

On a same-station basis, net revenue declined 6.4% to $27.6 million, while station operating expenses were also down 6.4% to $21.7 million.

For the first half of 2025, Saga posted a net loss of $447,000, compared to a net profit of $924,000 in the same period last year. Net revenue for the six-month period declined 4.7% to $52.4 million. Station operating income dropped 10.8% to $8.2 million. Capital expenditures for the period totaled $2.0 million, down from $2.6 million a year ago.

Saga attributed the revenue declines in part to a drop in political advertising, which totaled $321,000 for the six-month period, compared to $598,000 in the first half of 2024.

The company continues to prioritize shareholder returns, paying a $0.25 per share dividend in June, totaling approximately $1.6 million. Since 2012, Saga has distributed over $138 million in dividends and repurchased more than $58 million in stock.

As part of its capital allocation strategy for 2025, Saga is engaged in non-binding negotiations to sell some of its tower sites. Proceeds are expected to be in the high seven-figure to low eight-figure range. The company is also exploring the sale of other non-core assets, with the intention of using proceeds for additional stock buybacks.

As of June 30, 2025, Saga reported $24.9 million in cash and short-term investments, increasing to $27.3 million by August 4. The company expects full-year capital expenditures to be between $3.0 million and $3.5 million.