Scripps Posts $1.15B Q2 Loss on $1.14B Goodwill Impairment; Equity Nears Zero
SSP sits 65% above its 52-week low of $2.02 on elevated volume (2.1× avg).
Summary
Scripps reported a $1.15B Q2 loss after a $1.14B non-cash goodwill impairment in its Scripps Networks unit. Equity collapsed to $101M, revenue fell 9.2%, and cash dwindled to $13M. The results cast doubt on the company's financial viability.
Key Events · Earnings and Guidance · SSP
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$1.14B Goodwill Impairment
Reflecting a weak national advertising market, ratings challenges, and reduced cash flow expectations, Scripps took a $967M goodwill impairment and $169M intangible asset impairment in its Scripps Networks unit.
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Equity Collapses to $101M
Driven by the impairment and accumulated losses, total equity fell from $1.25B at year-end 2025 to $101M at June 30, 2026. The company now has a razor-thin equity cushion against $2.5B in debt.
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Revenue Declines Across the Board
Q2 revenue fell 9.2% YoY to $490M. Core advertising dropped 13.9%, distribution revenue fell 16.1% due to blackouts with Comcast and DirecTV, and Scripps Networks segment profit plunged 54.4%.
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Cash Dwindles to $13M
Unrestricted cash fell to $13M from $28M at year-end. The company has $221M in available borrowing capacity but is burning cash from operations and relying on asset sale proceeds.
Analysis · SSP · Technology
A devastating second quarter saw Scripps report a $1.15 billion net loss, driven by a $1.14 billion non-cash impairment charge against its Scripps Networks unit. The writedown reflects a collapsing national advertising market, ratings declines, and a dimming outlook for the segment's cash flows. Total equity has shrunk to just $101 million from $1.25 billion at year-end, leaving the company dangerously leveraged with $2.5 billion in debt. Revenue fell 9.2% year-over-year, and the Scripps Networks segment profit plunged 54%. The company is burning through cash—unrestricted cash is down to $13 million—and is relying on asset sales and borrowing capacity to stay afloat. This is a thesis-altering quarter that raises serious questions about the company's ability to service its debt and avoid a restructuring.
At the time of this filing, SSP was trading at $3.34 on NASDAQ in the Technology sector, with a market capitalization of approximately $305.3M. The 52-week trading range was $2.02 to $5.39. This filing was assessed with negative market sentiment and an importance score of 9 out of 10.