Gannett Reports $635.8 Million Revenue in Q1 2025, Net Loss Improves to $7.3 Million

Gannett Co., Inc. reported a total revenue of $635.8 million for the first quarter of 2025, reflecting a decrease of 10% compared to $571.6 million in the same period of 2024. The decline was primarily driven by a drop in both digital and print revenues, with digital revenues falling to $250.4 million from $267.5 million, and print and commercial revenues decreasing from $368.3 million to $321.2 million. The company recorded an operating loss of $49.9 million, a significant shift from an operating income of $9.8 million in the prior year, largely due to increased operating expenses, which rose to $685.6 million from $561.8 million.

In terms of profitability, Gannett's net loss attributable to the company was $84.8 million, or $0.60 per share, in the first quarter of 2024, which improved to a net loss of $7.3 million, or $0.05 per share, in the first quarter of 2025. This improvement in net loss was attributed to a reduction in integration and reorganization costs, which decreased from $17.9 million to $9.5 million, and a gain of approximately $20.8 million from the sale of the Austin American-Statesman, which was completed on February 28, 2025.

Operationally, Gannett's digital marketing solutions segment saw revenues decline by 7% to $108.7 million, primarily due to a decrease in customer count. The company reported approximately 195 million unique monthly visitors across its digital platforms, indicating a stable audience base despite the revenue challenges. The Domestic Gannett Media segment's revenues fell by 11% to $440.1 million, with digital revenues down 7% and print revenues down 13%. The Newsquest segment also experienced a 7% decline in total revenues, reflecting broader trends in the media industry.

Gannett's total operating expenses increased significantly, driven by higher costs associated with integration and reorganization efforts, as well as asset impairments. The company reported an impairment charge of $1.9 million for the first quarter of 2025, compared to a much larger charge of $46 million in the same quarter of 2024. The company continues to focus on optimizing its operations and reducing costs in response to ongoing challenges in the media landscape, including declining print revenues and macroeconomic pressures.

Looking ahead, Gannett remains committed to its digital-first strategy, aiming to expand its audience and diversify revenue streams. The company anticipates continued challenges in the print segment but is focused on leveraging its digital platforms to drive growth. Gannett's management expressed optimism about future performance, citing ongoing efforts to enhance operational efficiency and adapt to changing market conditions.