Executive Summary

Q2 2025 revenue was $46.44M, up 18.4% YoY and above S&P Global consensus of $44.90M; however, diluted EPS was -$0.59, missing the -$0.02 consensus. Bold: revenue beat, EPS miss . Estimates retrieved from S&P Global.
Broadcast segment strength (+28.5% YoY revenue to $38.03M) and linear ad rate improvements powered topline, while Digital revenue declined 12.6% YoY, weighing on segment profitability .
A $67M Dominion settlement was recognized in Q2 (other corporate matters), driving the quarter’s large net loss but expected to significantly reduce future legal expense; settlement schedule: $27M paid Aug 15, 2025, $20M due Jan 15, 2026 and Jan 15, 2027 .
Guidance: company reiterated FY 2025 revenue of $180–$190M (maintained), citing diversified revenue streams and strong balance sheet (cash $33.84M; investments $164.05M) .
Potential stock-reaction catalysts: litigation overhang removed (Dominion resolution), index inclusion (Russell 2000/3000) and distribution/technology updates (Hulu+, Comcast devices, AI live dubbing for Newsmax en Español) .

What Went Well and What Went Wrong

What Went Well

Broadcast outperformance: Broadcast revenue rose to $38.03M (+28.5% YoY), driven by ad revenue (+36.4% YoY) and affiliate fees (+7.3% YoY) .
Pricing power from ratings: Advertising revenue increased 26.2% YoY to $29.87M, supported by higher Nielsen ratings translating to better rates .
Strategic distribution and tech expansion: “We are excited to report another strong quarter… power of our growing cable and FAST channels,” and AI-powered live Spanish dubbing via Fubo’s Latino plan enhance reach and monetization . CFO: diversified revenue growth and strong balance sheet position Newsmax to execute long-term priorities .

What Went Wrong

EPS and profitability impacted by litigation: Net loss of $(75.18)M vs $(4.83)M YoY, primarily due to Dominion settlement recognized in Q2; Adjusted EBITDA fell to $(3.82)M vs $1.91M YoY .
Margin compression: Gross margin fell to 38.0% from 42.6% YoY, reflecting higher headcount, programming/production costs, stock comp, remote news coverage, and increased messaging costs .
Digital softness: Digital revenue declined 12.6% YoY to $8.41M on lower digital advertising and subscription marketing headwinds; Digital segment Adjusted EBITDA deteriorated meaningfully .

Financial Results

Metric	Q2 2024	Q1 2025	Q2 2025
Revenue ($USD Millions)	$39.23	$45.30	$46.44
Diluted EPS ($)	-$0.15	-$0.49	-$0.59
Gross Profit Margin %	42.63%*	47.83%*	38.0%
Net Income Margin %	-12.31%*	-38.04%*	-161.88%*
Adjusted EBITDA ($USD Millions)	$1.91	-$1.17	-$3.82

Values marked with * retrieved from S&P Global.

Segment breakdown

Segment Metric	Q2 2024	Q2 2025
Broadcasting Revenue ($USD Millions)	$29.60	$38.03
• Advertising ($USD Millions)	$19.23	$26.23
• Affiliate Fee ($USD Millions)	$6.84	$7.34
• Subscription ($USD Millions)	$2.92	$3.77
• Other ($USD Millions)	$0.61	$0.69
Digital Revenue ($USD Millions)	$9.63	$8.41
• Advertising ($USD Millions)	$4.42	$3.64
• Subscription ($USD Millions)	$3.72	$3.21
• Product Sales ($USD Millions)	$1.48	$1.56
• Other ($USD Millions)	$0.14	$0.08

KPIs

KPI	Q1 2025	Q2 2025
Quarterly viewers	33.6M	26M+
Social media followers	20M	20M
Newsmax App downloads	n/a	16M

Note on prior quarters and materials: We read Q1 2025 8-K; no Q4 2024 8-K 2.02 was found in our catalog for trend analysis beyond Q1. We also read the full Q2 2025 10-Q for additional detail -.

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Revenue ($USD Millions)	FY 2025	$180–$190	$180–$190	Maintained
Legal expenses (qualitative)	FY 2025+	n/a numeric	Expected to significantly reduce following Dominion resolution	Lowered (qualitative)

No other quantitative guidance (OpEx, margins, OI&E, tax rate, segment-specific, dividends) was provided in Q2 materials .

Earnings Call Themes & Trends

We searched for a Q2 2025 earnings call transcript but did not find one in our document catalog. We synthesized themes from the Q2 press release and Q2 10-Q.

Topic	Previous Mentions (Q1 2025)	Current Period (Q2 2025)	Trend
AI/technology initiatives	Focus on audience growth across linear/digital; no AI mention	AI live dubbing for Newsmax en Español via Fubo’s Latino plan	Emerging positive
Distribution partnerships	Hulu + Live TV, Cellcom Israel, Telecom Armenia, Supercanal DR	Extended Fubo partnership; expanded to Comcast devices (X1, Flex, Xumo)	Broadening reach
Tariffs/macro	Not highlighted	Not highlighted	Neutral
Product performance	Ratings strength; viewers up; ad partnerships	Broadcast ad rates higher; Digital ad softness vs election year comps	Mixed
Regional trends	International distribution partnerships	Additional partnerships (Israel, Armenia, DR); en Español launch	Expanding international
Regulatory/legal	Smartmatic settlement in prior period context	Dominion settlement ($67M) finalized; future legal expenses expected lower	Overhang reduced
R&D/tech execution	Not highlighted	AI dubbing rollout; platform/device expansion	Executing
Corporate governance/indexes	n/a	Added to Russell 2000/3000; new director David Gandler	Visibility up

Management Commentary

CEO: “We are excited to report another strong quarter with impressive financial and operational results that demonstrate the power of our growing cable and FAST channels… We are building for sustainable, long-term growth while expanding our reach across multiple distribution channels and platforms.”
CEO on litigation: “We are pleased to have reached a resolution with Dominion… This settlement enables us to move forward from the litigation… strategic business decision… committed to a free and vibrant press.”
CFO: “Our second quarter results demonstrate the strength and resilience of our diversified revenue model… strong balance sheet and access to capital markets positions us well to execute on our long-term strategic vision…”

Q&A Highlights

We did not locate a Q2 2025 earnings call transcript; therefore, no Q&A highlights or clarifications were available to extract. Context and clarifications on results, segment drivers, and legal settlements were drawn from the Q2 10-Q and 8-Ks .

Estimates Context

Metric	Q2 2025 Consensus	Q2 2025 Actual
Revenue ($USD Millions)	44.90	46.44
Primary EPS ($)	-0.02	-0.59

Values retrieved from S&P Global. Bold: revenue beat, EPS miss.

Implications:

Revenue beat reflects broadcast ad rate improvements and affiliate/subscription growth; EPS miss driven by Dominion settlement recognized in “other corporate matters” within G&A .

Key Takeaways for Investors

Revenue quality: Broadcast ad revenue and affiliate fees drove a clear topline beat vs consensus, while Digital remains cyclical post-election; expect continued mix shift favoring broadcast monetization . Estimates retrieved from S&P Global.
EPS miss is litigation-driven, not operational: The large net loss reflects recognition of the $67M Dominion settlement; with payments scheduled through 2027, forward legal expenses should fall, improving run-rate profitability optics .
Guidance intact: FY25 revenue guidance reaffirmed at $180–$190M; no quantitative margin/OpEx guidance, but management signaled confidence in diversified streams and balance sheet strength (cash $33.84M; investments $164.05M) .
Margins compressed: Gross margin fell to 38.0% (from 42.6% YoY) due to higher headcount, programming/production costs, stock comp, and coverage expenses; monitor expense normalization as legal costs subside .
Distribution and technology catalysts: Expanded device support (Comcast) and AI live dubbing for en Español broaden audience and ad inventory; international partnerships add optionality .
Governance/index inclusion: Russell 2000/3000 inclusion and addition of David Gandler (Fubo CEO) to the Board enhance visibility and streaming expertise; potential medium-term strategic value .
Risk watch: Material weaknesses in internal control over financial reporting remain; remediation efforts ongoing—investors should monitor progress given recent public company transition -.

Document Discovery Notes

Read in full: Q2 2025 8-K (Item 2.02 and press release), Q2 2025 10-Q, Q1 2025 8-K, Q2 2025 8-K (Item 8.01 Dominion), and Board appointment 8-K (with press release) - - - - -.
Prior quarter coverage: Q1 2025 earnings press release and financials were found and read in full; Q4 2024 earnings materials were not found in our catalog. We used Q2 2024 comparisons from the Q2 2025 10-Q for YoY trend analysis .
Q2 2025 earnings call transcript was not found in the catalog; we leveraged the 10-Q and 8-Ks for qualitative synthesis.

Newsmax Inc. (NMAX)·Q2 2025 Earnings Summary