Entravision CommunicationEVC
Recorded

Entravision Communication 2026 Q2 Earnings Call

Review the key takeaways and the transcript of this earnings call.

PeriodQ2 2026Duration23 minParticipants3

Transcript

Preview the first five paragraphs, organized by speaker.

Roy NirVP of Financial Reporting and Investor Relations

Good afternoon, everyone. I am Roy Nir, Vice President of Financial Reporting and Investor Relations. Joining me today to discuss our results are Michael Christenson, our Chief Executive Officer and Chair of the Board, and Mark Boelke, our Chief Financial Officer and Chief Operating Officer. Before we begin, I would like to inform you that this call will contain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ. Please refer to Entravision's SEC filings for a list of risks and uncertainties that could impact actual results. The press release is available on the company's investor relations page and was filed with the SEC on Form 8-K. Additional information may also be found on our quarterly report on Form 10-Q, which was also filed today.

Roy NirVP of Financial Reporting and Investor Relations

If you would like to ask a question, please use the Q&A function on your screen, indicate your name and company, and submit your question. We will try to answer any questions that relate to the topics contained in today's call. I will now turn the call over to Michael Christenson.

Michael ChristensonCEO and Chair of the Board

Thank you, Roy, and thank you for joining this call today. We appreciate your interest in Entravision and your support. As you saw in our press release, on a consolidated basis, Entravision revenue increased 126% to $228 million in 2Q26 compared to 2Q25. We produced operating income of $37 million in 2Q26 compared to operating income of $6 million in 2Q25. We report our results for two segments: Media and Advertising Technology and Services. For those of you new to Entravision, this is our third year with this segment reporting. We started with the third quarter of 2024. Now for our Media segment. Our revenue decreased 1% to $45 million in 2Q26 compared to 2Q25. Our Media segment incurred an operating loss of $3 million in 2Q26 compared to a break-even result in 2Q25.

Michael ChristensonCEO and Chair of the Board

Our 2Q26 results included a 1% increase in local advertising revenue and a 19% decrease in national advertising revenue. These numbers exclude political revenue. Local advertising revenue is from our sellers working with local advertisers selling broadcast and digital marketing solutions. National advertising revenue is produced by our partners, primarily TelevisaUnivision, selling our broadcast to national advertisers and agencies. Our local advertising operations had 3% higher monthly active advertisers in 2Q26 compared to 2Q25, but a 1% decrease in revenue per monthly active advertiser. Our operational priorities for our Media segment are to grow monthly active advertisers and revenue per monthly active advertiser. Let me provide some additional context for these Media results. We've been executing several important revenue-focused operational initiatives during 2025, and that have continued through the first half of 2026, and will continue through the second half of 2026.

Michael ChristensonCEO and Chair of the Board

First, we increased the size of our local sales team. Our analysis convinced us that we could increase revenue with a larger team on the field. Second, we developed the capability of our local sales team to sell digital marketing solutions to local advertisers: search, social, streaming video, streaming audio, and our own digital properties. This required extensive training and the addition of digital product specialists. Third, we expanded the amount of local news programming that we produce. This is the most important way we can serve our local audience. Finally, fourth, we developed a direct sales capability for political campaign advertising. In addition, as we discussed on prior calls, we had two additional new business projects underway in 2Q26: our LATV multicast television network and our partnership with Hemisphere Media Group for our WAPA Orlando station. All of these initiatives require investments.

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