Executive Summary

Q4 delivered a clean upside on profitability and cash discipline: Adjusted EBITDA of $330M beat the high end of guidance by ~$5M as distribution revenue and lower media expenses more than offset softer core ads; operating income of $266M far exceeded prior-year loss, and diluted EPS was $2.61 .
Political was a record year ($405M), but late-cycle geographic shifts trimmed ~$26M vs intra-quarter expectations; Q4 political finished at $203M (slightly below the $204M guide), while core advertising declined 8% YoY due to political crowd-out .
Strategic milestones support 2025 narrative: comprehensive refinancing extended weighted-average maturities to >6.5 years, NBC affiliate renewals improved retrans/reverse visibility, and EdgeBeam Wireless JV expands ATSC 3.0 monetization potential; Tennis Channel launched DTC in November, broadening reach and product flexibility .
Near-term guide embeds off-cycle headwinds and one-time financing fees: Q1’25 Adjusted EBITDA guided to $90–$102M with net cash interest including ~$75M non-recurring fees; FY’25 expense/capex/tax frameworks provided, with cash taxes elevated by Diamond emergence payments .

What Went Well and What Went Wrong

What Went Well
- Beat on profitability vs guidance: Q4 Adjusted EBITDA came in $330M (+83% YoY), ~$5M above the high end, driven by stronger distribution revenue and lower media expenses .
- Balance sheet de-risked: refinancing substantially completed in early 2025, extending maturities to >6.5 years; first-out first lien net leverage below 2x; “industry’s longest” maturity profile per management .
- Strategic progress: NBC affiliation renewals (21 affiliates) lock visibility; EdgeBeam JV launched with major broadcasters to monetize ATSC 3.0 data services; Tennis Channel DTC launched Nov 12, enhancing product/monetization options .
- Quote: “Our consolidated Adjusted EBITDA for the fourth quarter exceeded our guidance range… This performance underscores the continued dominance of broadcast TV…” — CEO Chris Ripley .
What Went Wrong
- Core ad softness from crowd-out and late macro: Core ads fell to $311M in Q4 (-8% YoY) as political crowded out normal demand and specific categories softened late in quarter .
- Political cancellations: ~$21M in Q4 cancellations and ~$26M FY shortfall vs intra-quarter expectations due to geographic shifts (e.g., Nevada, Pennsylvania) .
- Off-cycle headwind and fees ahead: Q1’25 guide embeds lower political (off-year) and ~$75M non-recurring financing fees in net cash interest; Adjusted EBITDA guide $90–$102M vs $139M prior-year .

Financial Results

Metric	Q2 2024	Q3 2024	Q4 2024
Total Revenues ($M)	$829	$917	$1,004
Diluted EPS ($)	$0.27	$1.43	$2.61
Operating Income ($M)	$64	$179	$266
Adjusted EBITDA ($M)	$158	$249	$330
EBITDA Margin (%)	19.1%	27.2%	32.9%
Distribution Revenue ($M)	$435	$434	$441
Total Advertising ($M)	$343	$433	$514
Core Advertising ($M)	$303	$295	$311
Political Advertising ($M)	$40	$138	$203

Segment performance (Q4 2024 vs Q4 2023)

Segment	Revenues Q4’23 ($M)	Revenues Q4’24 ($M)	Adj. EBITDA Q4’23 ($M)	Adj. EBITDA Q4’24 ($M)
Local Media	$765	$932	$178	$321
Tennis	$54	$57	$22	$19
Other	$14	$22	$(3)	$3
Consolidated	$826	$1,004	$180	$330

KPI highlights (Q4 2024 YoY)

Total revenues +22% YoY to $1,004M; media revenues +21% to $992M .
Core advertising down 8% YoY to $311M; political up to $203M; distribution revenue up to $441M .
Adjusted EBITDA +83% YoY to $330M; diluted EPS to $2.61 from $(5.35) .

Guidance Changes

Q4 2024: Actuals vs prior guidance (issued Nov 6, 2024)

Metric	Period	Previous Guidance	Actual	Change
Total Revenues ($M)	Q4 2024	$1,004–$1,014	$1,004	In-line (low end)
Advertising Revenue ($M)	Q4 2024	$519–$527	$514	Miss
Core Advertising ($M)	Q4 2024	$315–$323	$311	Miss
Political Advertising ($M)	Q4 2024	$204	$203	Slight miss
Distribution Revenue ($M)	Q4 2024	$436–$438	$441	Beat
Operating Income ($M)	Q4 2024	$236–$247	$266	Beat
Adjusted EBITDA ($M)	Q4 2024	$314–$325	$330	Beat
Capital Expenditures ($M)	Q4 2024	$32	$23	Better (lower spend)
Dividend	Q4 2024	—	$0.25 per share paid in Dec	Paid

New guidance introduced

Metric	Period	Previous Guidance	Current Guidance	Change
Core Advertising ($M)	Q1 2025	N/A	$283–$294 consolidated	New
Political Advertising ($M)	Q1 2025	N/A	$2–$3	New
Distribution Revenue ($M)	Q1 2025	N/A	$453–$455	New
Total Revenues ($M)	Q1 2025	N/A	$765–$779	New
Operating Income ($M)	Q1 2025	N/A	$2–$14	New
Adjusted EBITDA ($M)	Q1 2025	N/A	$90–$102	New
Net Cash Interest ($M)	Q1 2025	N/A	~$143 incl. ~$75M non-recurring fees	New
Capex ($M)	Q1 2025	N/A	$20–$22	New
Media expenses (programming+SG&A) ($M)	FY 2025	N/A	$2,498–$2,513	New
Interest expense (net) ($M)	FY 2025	N/A	$369 (excludes non-recurring $75M)	New
Capex ($M)	FY 2025	N/A	$83–$86	New
Cash distributions from equity investments ($M)	FY 2025	N/A	$19	New
Net cash tax payments ($M)	FY 2025	N/A	$211–$220 (incl. ~$170M Diamond-related)	New

Earnings Call Themes & Trends

Topic	Q2 2024 (Q-2)	Q3 2024 (Q-1)	Q4 2024 (Current)	Trend
ATSC 3.0 / EdgeBeam	Launched in 45 markets; strategic focus on NextGen benefits	Momentum; sports/viewership data supportive of broadcast value -	EdgeBeam JV with Scripps/Gray/Nexstar; NAB petition to sunset ATSC 1.0; 3.0 revenue small in 2025, scaling into 2028	Improving monetization line-of-sight
Pay-TV “rebundling”	Highlighted bundle value across MVPDs -	Charter bundle adds streaming; broadcast share stable to rising; renewals progressing -	Strong confidence in churn improvements and net retrans growth outlook	More constructive
Political advertising	Raised FY guide to $385–$410M	Record Q3 political, late cancellations noted; FY ~406M ex-cancels would have hit higher -	Record $405M FY; cancellations impacted Q4/FY mix	Structurally strong into 2026/2028
Distribution/retrans	60% renewals pending; mid-single-digit 2-yr CAGR target	>78% of Big 4 subs renewed; mid-single-digit 2-yr CAGR reiterated	Visibility improved with NBC affiliate renewals; positive churn signals; reiterates growth -	Positive
Cost controls / cloud	OpEx savings and capex avoidance from cloud; 2H guide trimmed expenses -	Media expenses favorable vs guidance	Media expenses again favorable; capex below plan	Continued execution
Tennis Channel DTC	Coming launch investment; growth initiatives -	DTC announced Nov 12	Live; 2025 investment year; expect incremental contribution	Building
M&A / regulatory	Flexibility discussed; maturities 2026 noted -	Optimism for deregulation; active industry M&A dialog	Three M&A buckets (cleanup/swaps/large-scale); buyer/seller flexible	Optionality rising

Management Commentary

“Our consolidated Adjusted EBITDA for the fourth quarter exceeded our guidance range… As we move into 2025, we have substantially completed a comprehensive refinancing… extending our debt maturities to over six and a half years… [and] we can turn our attention to deploying the Ventures cash… as well as the potential for returning a portion of the cash to shareholders over time.” — CEO Chris Ripley .
“Adjusted EBITDA beat our guidance range by approximately $5 million… due to stronger distribution revenue on modestly lower subscriber churn as well as lower media expenses… partially offset by slightly softer core advertising.” — CFO Lucy Rutishauser .
“EdgeBeam will start with ATSC 3.0 national coverage of ~2/3 of U.S. households… Once all partners’ stations are converted, ~98%… We view this as a groundbreaking development for NEXTGEN monetization.” — CEO Chris Ripley .
“We successfully renewed retransmission consent agreements representing 80% of our traditional Big 4 subscriber base… We reiterate our previously stated net retrans guidance” — COO/Local Media President Rob Weisbord .

Q&A Highlights

M&A playbook if rules relax: three buckets (JSA buy-ins, station swaps, large-scale M&A); SBGI can be buyer or seller; Ventures cash could be returned to shareholders or used for control investments; no need to use it for M&A at STG today .
ATSC 3.0 trajectory: NAB petition to sunset 1.0 seen as “watershed”; small revenue in 2025 building into 2028 as capacity increases and use-cases scale via EdgeBeam (CDN offload, automotive, precision navigation) .
Retrans and churn: management more optimistic on pay-TV; Charter strategy and Comcast trends supportive; reiterates net retrans growth and indicates remaining MVPD accruals reflect current negotiations .
Core advertising outlook: Q1’25 guide down ~3% YoY midpoint, but firming intra-quarter; auto inventory and rate buy-downs seen as tailwind; sports catalyzing viewership .
Leverage path: total net leverage target high-3x/low-4x over time; 2025 off-cycle won’t get there, but 2026 midterms, cost actions, M&A synergies, and opportunistic debt buybacks support deleveraging .

Estimates Context

We attempted to retrieve S&P Global consensus for Q4 2024 EPS/revenue/EBITDA, but the data was unavailable at this time due to provider request limits. As a result, we cannot present definitive “vs consensus” comparisons for Q4 2024 from S&P Global in this recap. Where relevant, we compare to the company’s prior guidance instead, noting beats/misses as disclosed by management .

Key Takeaways for Investors

Profitability quality: Q4 beat at the EBITDA line with tight cost control and better distribution economics; EBITDA margin expanded to ~33% in a heavy political quarter .
2025 bridge: Expect near-term softness (off-cycle political, one-time $75M fees in Q1), but structural levers (retrans step-ups, churn moderation, NBC renewals, Tennis DTC option) underpin H2 recovery and 2026 re-acceleration .
Optionality: Extended maturities (>6.5 years) and Ventures cash widen capital allocation choices (control investments vs potential buybacks) while preserving M&A flexibility .
ATSC 3.0 commercialization: EdgeBeam and a potential ATSC 1.0 sunset roadmap increase medium-term TAM and monetization opportunities; 2025 contributions modest but directionally positive .
Political cadence: After a record 2024 ($405M), the setup into 2026 midterms and 2028 dual-open primaries is favorable; core ad resilience in political quarters is improving with better pricing systems and sports tailwinds .
Watch items: remaining MVPD negotiations (accrued), core advertising momentum into H2, execution on Tennis DTC and podcast initiatives, and concrete steps on potential shareholder returns at Ventures .

Supporting Details and Additional Notes

Full Q4’24 consolidated P&L snapshot: revenues $1,004M; operating income $266M; net income attributable $176M; diluted EPS $2.61; Adjusted EBITDA $330M .
Balance sheet/cash: total company debt $4,129M at 12/31/24; cash $697M (SBG $291M, Ventures $406M); capex $23M in Q4; quarterly dividend $0.25 paid in December .
Other developments: DISH renewal (Sinclair + Tennis Channel carriage); Tennis Channel DTC details/pricing; NBC affiliation renewals (21 affiliates) .

All figures above are sourced directly from Sinclair’s Q4 2024 8-K earnings release and related company materials and transcripts, with per-item citations provided. Where “vs consensus” would normally be shown, S&P Global estimates were unavailable at this time due to provider request limits.

Sinclair, Inc. (SBGI)·Q4 2024 Earnings Summary