Gray Media Shatters Revenue Records with Strong Third Quarter Performance
Gray Media, a leading media company, has reported an exceptionally strong third quarter of 2026, exceeding expectations and setting new records in revenue and political advertising. The company's total revenue for the quarter reached $972 million, a 30% increase year-over-year, driven by Gray's robust political performance and contributions from recent acquisitions.
In a conference call on November 6th, Hilton Howell, Executive Chairman and CEO of Gray Media, shared the impressive results with investors. The company's political revenue for the quarter hit $198 million, surpassing its updated guidance range of $188 million-$195 million. Notably, this year's political ad revenue through Election Day has set a new record for Gray Media, exceeding even the high watermark of $600 million achieved during the 2020 presidential election year.
Gray Media's net retransmission revenue also showed significant growth, reaching $150 million for the quarter and aligning with its guidance range. The company is optimistic about approaching its 2023 high of $595 million in net retrans revenue, which would be a substantial increase over 2024 and 2025 levels despite the impact of acquisitions and a previously discussed blackout.
The broadcast expenses before depreciation, amortization, and gain or loss on disposal of assets increased to $596 million for Q3 2026, with almost all the rise attributed to recent acquisitions. However, Gray Media expects costs from these acquisitions to start decreasing modestly in the fourth quarter as integration efforts progress.
Net income attributable to common stockholders was $78 million for the quarter, while adjusted EBITDA came in at $319 million. Howell emphasized that the company's continued success in political advertising is not a biannual windfall but rather the predictable result of its intentional investment strategy.
Gray Media's journalistic professionals have consistently demonstrated excellence, with 93 regional Edward R. Murrow awards won this year alone. This remarkable achievement underscores the company's commitment to quality journalism and further highlights its impressive performance in the third quarter of 2026.
The strong third-quarter results position Gray Media well for a successful non-political year ahead, driven by its growth in recurring revenue streams like net retransmission revenue. With Election Day behind them, the company is now guiding investors on full-year 2026 political advertising revenue through Election Day in the range of $630 million-$640 million.
As Gray Media continues to push boundaries and achieve new heights in revenue and performance, its dedication to quality journalism and strategic investment remains evident. The company's impressive record-breaking third-quarter results serve as a testament to its resilience, adaptability, and commitment to excellence.
With these exceptional results, Gray Media solidifies its position as a leading media company, poised for continued success in the non-political year ahead.
The conference call highlighted the company's forward-looking statements regarding future operating results that are subject to risk and uncertainties. However, based on the provided transcript, it is clear that Gray Media has demonstrated impressive growth and resilience in the face of challenges.
