Gray Media, Inc reports results on Friday 6 November, before the market opens. Today's growth rate sits near the bottom of the company's own record. Revenue over the twelve months to Q2 2026 was $3.1 billion, which fell 11.3% on the year before.
What analysts expect
Analysts have been cutting their forecasts going into the report. For the quarter, the analysts' average EPS estimate is $0.97, in a range from $0.97 to $0.97. The average revenue estimate for the quarter is $962.0 million. Alongside that, the analysts' average estimate for full-year EPS is $2.65, which would be up 358.6% on last year (based on 5 analysts). That estimate has fallen 20.7% over the past 90 days. Of the analysts' recommendations, 3 are positive, 1 neutral and 1 negative.
Track record against estimates
The company reported EPS above the analysts' average estimate in 2 of the last 4 quarters. Last quarter, EPS of $0.26 compared with an estimate of $0.25, above it by 5.0%.
The trends going in
That growth rate was up 3.2 percentage points on the rate a quarter earlier. The trailing operating margin was 13.8%, down 7.3 percentage points from a year earlier. Alongside that, the trailing net margin was negative, at −0.8%. The company made a net loss of $26.0 million over the twelve months.
Cash flow
Spending is outrunning the cash the business brings in, so less is left over. Operating cash flow over the twelve months was $250.0 million, down 69.8% on the year before. Capital spending was $104.0 million, or 3.3% of revenue. Free cash flow, operating cash flow less capital spending, was $146.0 million, down 79.4% on the year before. Free cash flow was 4.6% of revenue (the free-cash-flow margin), down 15.3 percentage points from a year earlier. The average diluted share count rose 1.6% over the year.
In context
Measured against its own history: today's free-cash-flow margin of 4.6% is higher than 12% of the company's own past quarterly readings, which have ranged from 1.0% to 23.9%. Today's operating margin of 13.8% is higher than 10% of past readings (9.1% to 37.9%). Today's twelve-month revenue growth rate of −11.3% is higher than 5% of past readings (−15.1% to 95.8%).
Questions this report will answer
Whether the pick-up in revenue growth continues. Whether results land above or below the analysts' expectations set out above. Meanwhile, Whether margins hold at the trailing levels above. The next filing will show whether the trends above continue, slow or reverse.
What it means for value
For valuation, the figures matter through our model. In our model, growth 5 percentage points lower would lower the value by 74.5%, and growth 5 percentage points higher would raise it by 98.0%. A free-cash-flow margin 1 percentage point lower would lower it by 17.9%.
