Gannett Co., Inc.

Q2 2026 total revenue was $536.3 million, down 8.3% year over year and down 6.1% on a same-store basis. Total adjusted EBITDA was $56.9 million with a 10.6% margin. Net income was $9.1 million, and adjusted net income attributable to USA TODAY Co. was $11 million. Free cash flow was $19.6 million, up 11.2%, and cash from operations was $35.4 million, up 8.6%. Digital revenues were $254.3 million, down 4.2% year over year; digital-only subscription revenue rose 6.8% to $45.6 million and digital-only ARPU reached $10.47, up 34.4%; digital other revenue rose 20.2% to $20.4 million. LOCALiQ core platform revenue was $106.3 million, up 7%, with segment adjusted EBITDA of $13.2 million and a 12.4% margin. For the full year 2026, management reaffirmed expectations for meaningfully improved same-store revenue trends versus 2025, adjusted EBITDA growth, solid net income growth, double-digit free cash flow growth, and a fourth consecutive year of free cash flow growth. Management also said they expect revenue trends to improve in the second half and remain on track to become more than 50% digital later this year.

Mike Reed said Q2 validated the company’s long-term transformation even though quarterly results were uneven, especially in content licensing and search-driven traffic. His tone was confident and forward-looking, emphasizing direct audience relationships, AI-enabled monetization, and new licensing opportunities. He highlighted Palantir, DeeperDive, and machine-readable content as ways to convert audience signals into faster and higher-value revenue.

Trisha Gosser framed Q2 as a quarter of expected variability but solid execution: costs were held in line, operating expenses fell 7.8%, and the company produced positive net income and growing free cash flow. She cited total revenue of $536.3 million, adjusted EBITDA of $56.9 million, net income of $9.1 million, free cash flow of $19.6 million, cash on hand of $86.7 million, net debt of $883.8 million, and total debt of $970.5 million after $17.7 million of debt paydown. She also pointed to improved LOCALiQ metrics and said the company still expects full-year adjusted EBITDA growth, solid net income growth, and double-digit free cash flow growth.

Analysts focused on the Palantir partnership, social media as a potential revenue stream, AI/content licensing, search decline, and whether unique visitor weakness signaled a setback. Management said Palantir should help turn audience behavior and first-party data into actionable intelligence, but it was too early to quantify the financial upside; they expect more to say over the next couple of quarters. On search, management said they are not ready to fully block Google crawlers yet because search still matters in some categories, but they acknowledged search revenue is relatively small and said a cutoff could become feasible sooner if a fair licensing deal is not reached.