Q1 2026 Entravision Communications Corp Earnings Call

May 5, 2026

Roy Nir: Reporting and investor relations. Joining me today to discuss our results are Michael Christenson, our Chief Executive Officer, and Mark Boelke, our Chief Financial Officer and Chief Operating Officer. Before we begin, I would like to inform you that this call will contain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ. Please refer to Entravision's SEC filings for a list of risks and uncertainties that could impact actual results. The press release is available on the company's investor relations page and was filed with the SEC on Form 8-K. Additional information may also be found on our quarterly report on Form 10-Q, which was also filed today. If you would like to ask a question, please use the Q&A function on your screen, indicate your name and company, and submit your question.

Speaker #1: And investor relations. Joining me today to discuss our results are Michael Christenson, our Chief Executive Officer; and Mark Boelke, our Chief Financial Officer and Chief Operating Officer.

Speaker #1: Before we begin, I would like to inform you that this call will contain forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ.

Speaker #1: Please refer to ENTRAVISIONS SEC filings for a list of risks and uncertainties that could impact actual results. The press release is available on the company's investor relations page and was filed with the SEC on Form 8K.

Speaker #1: Additional information may also be found on our quarterly report on Form 10Q, which was also filed today. If you would like to ask a question, please use the Q&A function on your screen.

Speaker #1: Indicate your name and company, and submit your question. We will try to answer any questions that relate to the topics contained in today's call during the Q&A session.

Roy Nir: We will try to answer any questions that relate to the topics contained in today's call during the Q&A session. I will now turn the call over to Michael Christenson.

Speaker #1: I will now turn the call over to Michael Christenson.

Speaker #2: Thanks, Roy. And thank you to those of you joining this call today. We appreciate your interest in ENTRAVISION and your support. As you saw in our press release, on a consolidated basis, ENTRAVISION revenue increased $114% to $197 million.

Michael Christenson: Thanks, Roy, and thank you to those of you joining this call today. We appreciate your interest in Entravision and your support. As you saw in our press release, on a consolidated basis, Entravision revenue increased 114% to $197 million in Q1 2026 compared to Q1 2025. We had operating income of $21 million in Q1 2026 compared to an operating loss in Q1 2025. We report our results for two segments: Media and Advertising, Technology, and Services, what we call ATS. This is the Q1 of our 3rd year with this segment reporting. As you may know, we started with our Q3 2024. For our Media segment, revenue increased 4% in Q1 2026 compared to Q1 2025. This increase was primarily due to higher digital advertising revenue and retransmission fees.

Speaker #1: The report on Form 10-Q, which was also filed today. If you would like to ask a question, please use the Q&A function on your screen.

Speaker #1: In our immediate segment, first quarter revenue was $42.4 million, which was up 4% compared to the first quarter of 2025. This increase was primarily due to increases in digital advertising revenue and retransmission consent revenue, partially offset by decreases in broadcast advertising revenue and spectrum usage rights revenue.

Speaker #1: Indicate your name and company, and submit your question. We will try to answer any questions that relate to the topics contained in today's call during the Q&A session.

Speaker #1: And this time we don't have any additional questions. We'd like to thank you all for joining our call today. We welcome our investors to connect with us through the Investor Relations page on our corporate website entravision.com, where you will have access to a transcript of this call, the press release containing our first quarter financial results, and a copy of our quarterly report filed with the SEC on Form 10Q.

Speaker #1: I will now turn the call over to Michael Christenson.

Speaker #2: In one Q26, compared to one Q25. We had operating income of $21 million in one Q26, compared to an operating loss in one Q25.

Speaker #2: We report our results for two segments, media and advertising technology and services, what we call ATS. This is the first quarter of our third year with this segment reporting, as you may know, we started with our third quarter of 2024.

Speaker #2: We had operating income of $21,000,000 in one Q26 compared to an operating loss in one Q25. We report our results for two segments, media and advertising technology and services, what we call ATS.

Speaker #2: For our media segment, revenue increased 4% in one Q26, compared to one Q25. This increase was primarily due to higher digital advertising revenue and retransmission fees.

Speaker #2: This is the first quarter of our third year with this segment reporting, as you may know, we started with our third quarter of 2024.

Speaker #2: This was partially offset by lower broadcast advertising revenue and lower revenue from spectrum usage rights. Our one Q26 results included a 6% increase in local advertising revenue, and an 18% decrease in national advertising revenue.

Michael Christenson: This was partially offset by lower broadcast advertising revenue and lower revenue from spectrum usage rights. Our Q1 2026 results included a 6% increase in local advertising revenue and an 18% decrease in national advertising revenue. These numbers exclude political revenue. Local advertising revenue is from our sellers working with local advertisers. They sell broadcast and digital marketing solutions. National advertising revenue is from our partners, primarily TelevisaUnivision, selling our broadcast to national advertisers and agencies. Our local advertising operations had 4% higher monthly active advertisers in Q1 2025 compared to Q1 2025, and a 2% increase in revenue per monthly active advertiser. Our operational priorities are to grow monthly active advertisers and revenue per monthly active advertiser.

Speaker #2: For our media segment, revenue increased 4% in one Q26 compared to one Q25. This increase was primarily due to higher digital advertising revenue and retransmission fees.

Speaker #2: These numbers exclude political revenue. Local advertising revenue is from our sellers working with local advertisers. They sell broadcast and digital marketing solutions. National advertising revenue is from our partners, primarily Televisa Univision, selling our broadcast to national advertisers and agencies.

Speaker #2: These numbers exclude political revenue. Local advertising revenue is from our sellers working with local advertisers. They sell broadcast and digital marketing solutions. National advertising revenue is from our partners, primarily TelevisaUnivision, selling our broadcast to national advertisers and agencies.

Speaker #2: Our local advertising operations had 4% higher monthly active advertisers in one Q26, compared to one Q25, and a 2% increase in revenue per monthly active advertiser.

Speaker #2: Our operational priorities are to grow monthly active advertisers and revenue per monthly active advertiser. In terms of operating expenses and profitability, as we've discussed in the past, we've made a number of important investments in our media business in 2025 that we continued into one Q26.

Speaker #2: Our local advertising operations had 4% higher monthly active advertisers in one Q26 compared to one Q25, and a 2% increase in revenue per monthly active advertiser, our operational priorities are to grow monthly active advertisers and revenue per monthly active advertiser.

Michael Christenson: In terms of operating expenses and profitability, as we've discussed in the past, we've made a number of important investments in our media business in 2025 that we continued into Q1 2026. We added capacity to our local sales teams, more sellers, and we added digital sales specialists and digital sales operations capabilities, more digital. When we analyzed our local markets and our local advertiser base, we saw an opportunity to increase revenue by adding sales capacity. All of our local advertising customers are advertising in digital channels: search, social, streaming video, and streaming audio. We believe we can serve their needs in those digital channels as well as our traditional broadcast video and audio channels. As we discussed in our Q4 report, we have two other important initiatives underway to generate incremental revenue.

Speaker #2: We added capacity to our local sales teams, more sellers, and we added digital sales specialists and digital sales operations capabilities, more digital. When we analyzed our local markets and our local advertiser base, we saw an opportunity to increase revenue by adding sales capacity.

Speaker #2: In terms of operating expenses and profitability, as we've discussed in the past, we've made a number of important investments in our media business in 2025 that we continue to 1Q26.

Speaker #2: All of our local advertising customers are advertising in digital channels, search, social, streaming video, and streaming audio, and we believe we can serve their needs in those digital channels as well as our traditional broadcast video and audio channels.

Speaker #2: We added capacity to our local sales teams more sellers and we added digital sales specialists and digital sales operations capabilities more digital. When we analyzed our local markets and our local advertiser base, we saw an opportunity to increase revenue by adding sales capacity.

Speaker #2: As we discussed in our fourth quarter report, we have two other important initiatives underway to generate incremental revenue. We are broadcasting a new network on our multicast capacity called AltaVision, across all of our markets.

Michael Christenson: We are broadcasting a new network on our multicast capacity called Altavision across all of our markets. We produce the local news for Altavision, and we provide the sales and the broadcasting infrastructure. The balance of the programming is currently provided by Grupo Multimedios from Monterrey, Mexico, and we share the revenue. It's still early in the development of Altavision, so we have operating expenses but no significant incremental revenue. In addition, at the beginning of this year, we launched new programming on our full power Orlando television station, WOTF-TV, in partnership with Hemisphere Media. Hemisphere owns WAPA TV, the number one television station in Puerto Rico. We launched WAPA Orlando channel 26 to serve the large and growing Puerto Rican, Caribbean, Central, and South American Spanish-speaking communities in Central Florida.

Speaker #2: We produce the local news for AltaVision, and we provide the sales. And the broadcasting infrastructure. The balance of the programming is currently provided by Grupo Multimedios from Monterrey, Mexico.

Speaker #2: As we discussed in our fourth quarter report, we have two other important initiatives underway to generate incremental revenue. We are broadcasting a new network on our multi-cast capacity called AltaVision, across all of our markets.

Speaker #2: And we share the revenue. It's still early in the development of AltaVision, so we have operating expenses but no significant incremental revenue. In addition, at the beginning of this year, we launched new programming on our full power Orlando Television Station WOTF TV in partnership with Hemisphere Media.

Speaker #2: We produce the local news for AltaVision and we provide the sales. And the broadcasting infrastructure. The balance of the programming is currently provided by Grupo Multimedios from Monterrey, Mexico.

Speaker #2: Hemisphere owns WAPA TV, the number one television station in Puerto Rico. We launched WAPA Orlando Channel 26 to serve the large and growing Puerto Rican Caribbean Central and South American Spanish-speaking communities in Central Florida.

Speaker #2: More than 500,000 Puerto Ricans live in the Orlando market, and we're very excited about this new revenue opportunity. Again, since it's early in the development of WAPA Orlando, we have operating expenses but no significant incremental revenue.

Michael Christenson: More than 500,000 Puerto Ricans live in the Orlando market, and we're very excited about this new revenue opportunity. Again, since it's early in the development of WAPA Orlando, we have operating expenses but no significant incremental revenue. Pulling this all together in our media segment, operating expenses increased $2 million in Q1 2026 compared to Q1 2025. We had an operating loss of $5 million in Q1 2026 compared to an operating loss of $3 million in Q1 2025. As we discussed on prior calls, we're committed to growing our business and earning a profit, so we acknowledge that we have more work to do to improve our operating performance and profitability in our media business. The new leadership team that we announced in March is evidence of this commitment.

Speaker #2: Hemisphere owns WAPA TV, the number one television station in Puerto Rico. We launched WAPA Orlando Channel 26 to serve the large and growing Puerto Rican, Caribbean, Central, and South American Spanish-speaking communities in Central Florida.

Speaker #2: Pulling this all together in our media segment, operating expenses increased $2 million in one Q26, compared to one Q25. So we had an operating loss of $5 million in one Q26, compared to an operating loss of $3 million in one Q25.

Speaker #2: More than 500,000 Puerto Ricans live in the Orlando market. And we're very excited about this new revenue opportunity. Again, since it's early in the development of WAPA Orlando, we have operating expenses but no significant incremental revenue.

Speaker #2: As we discussed on prior calls, we're committed to growing our business and earning a profit. So we acknowledge that we have more work to do to improve our operating performance and profitability in our media business.

Speaker #2: Pulling this all together in our media segment, operating expenses increased $2 million in Q1 2026 compared to Q1 2025. So we had an operating loss of $5 million in Q1 2026 compared to an operating loss of $3 million in Q1 2025.

Speaker #2: The new leadership team that we announced in March is evidence of this commitment. Maria Martinez Guzmán President of Entravision Media; Eduardo Maytorena President of Entravision Audio; and Winter Horton our new Chief Revenue Officer.

Michael Christenson: Maria Martinez-Guzman, President of Entravision Media, Eduardo Maytorena, President of Entravision Audio, and Winter Horton, our new Chief Revenue Officer. These new leaders are aligned on our core objectives: serve our audience as a trusted source of news, information, and entertainment, and serve our advertisers by connecting them with our audience. This team is committed to growing revenue and earning a profit. Now for our A-Advertising and Technology Services segment. ATS revenue was $155 million in Q1 2026 compared to $51 million in Q1 2025. We had more monthly active customers and more revenue per monthly active customer. We continued to invest in our ATS segment in Q1 2026 to grow revenue and operating profits. We invested in our engineering team to continue to improve our technology and build more powerful AI capabilities into our platform.

Speaker #2: These new leaders are aligned on our core objectives, serve our audience as a trusted source of news, information, and entertainment, and serve our advertisers by connecting them with our audience.

Speaker #2: The new leadership team that we announced in March is evidence of this commitment. Maria Martinez Guzmán President of Entravision Media Eduardo Matorena President of Entravision Audio and Winter Horton our new Chief Revenue Officer.

Speaker #2: This team is committed to growing revenue and earning a profit. Now for our advertising and technology services segment. ATS Revenue was $155 million in one Q26.

Speaker #2: Compared to $51 million in one Q25. We had more monthly active customers and more revenue per monthly active customer. We continued to invest in our ATS segment in one Q26 to grow revenue and operating profits.

Speaker #2: This team is committed to growing revenue and earning a profit. Now for our Advertising and Technology Services segment. ATS revenue was $155 million in Q1 2026.

Speaker #2: We invested in our engineering team to continue to improve our technology and build more powerful AI capabilities into our platform. And we invested to increase the capacity of our sales and customer service organizations.

Speaker #2: Compared to $51 million in Q1 2025, we had more monthly active customers and more revenue per monthly active customer. We continued to invest in our ATS segment in Q1 2026 to grow revenue and operating profits.

Michael Christenson: We invested to increase the capacity of our sales and customer service organizations. In addition, our infrastructure costs continue to grow as our revenue grows. We're beginning to see operating leverage with infrastructure costs growing at a slower pace than revenue. The combination of these investments in ATS increased operating expenses by $10 million in Q1 2026 compared to Q1 2025 or $40 million on an annualized basis. Operating profit for ATS was $34 million in Q1 2026 compared to $7 million in Q1 2025. To summarize, in media, we are investing to increase our local sales capacity and to expand our digital sales and digital sales operations capabilities, more sellers and more digital. In ATS, we are investing to add more engineers to advance our technology and to increase our sales and customer service capacity.

Speaker #2: In addition, our infrastructure costs continue to grow as our revenue grows. But we're beginning to see operating leverage, with infrastructure costs growing at a slower pace than revenue.

Speaker #2: The combination of these investments in ATS increased operating expenses by $10 million in one Q26, compared to one Q25, or $40 million on an annualized basis.

Speaker #2: In addition, our infrastructure costs continue to grow as our revenue grows. But we're beginning to see operating leverage with infrastructure costs growing at a slower pace than revenue.

Speaker #2: Operating profit for ATS was $34 million in one Q26, compared to $7 million in one Q25. So to summarize, in media, we are investing to increase our local sales capacity and to expand our digital sales and digital sales operations capabilities.

Speaker #2: The combination of these investments in ATS increased operating expenses by $10,000,000 in one Q26 compared to one Q25 or $40,000,000 on an annualized basis.

Speaker #2: More sellers and more digital. In ATS, we are investing to add more engineers to advance our technology and to increase our sales and customer service capacity, more technology, better technology, more selling.

Speaker #2: Operating profit for ATS was $34,000,000 in one Q26 compared to $7,000,000 in one Q25. So to summarize, in media, we are investing to increase our local sales capacity and to expand our digital sales and.

Michael Christenson: More technology, better technology, more selling. We believe these investments will help us build a stronger company. Now I'll ask Mark to share with you more details of our financial results for Q1 2026. Mark.

Speaker #2: We believe these investments will help us build a stronger company. So now I'll ask Mark to share with you more details of our financial results for one Q26.

Speaker #2: Mark?

Speaker #1: Thank you, Mike. I'll start by reviewing the performance of each of our two reporting segments. Again, media, and advertising technology and services. In our media segment, first quarter revenue was $42.4 million which was up 4% compared to first quarter 2025.

Mark Boelke: Thank you, Mike. I'll start by reviewing the performance of each of our two reporting segments, again, Media and Advertising Technology and Services. In our Media segment, Q1 revenue was $42.4 million, which was up 4% compared to Q1 2025. This increase was primarily due to increases in digital advertising revenue and retransmission consent revenue, partially offset by decreases in broadcast advertising revenue and spectrum usage rights revenue. We have undertaken initiatives focused on increasing our media advertising revenue, we are seeing momentum and progress in the execution of these initiatives, particularly in local ad sales and digital ad sales. Let's look at total operating expense for the media business. That is the sum of direct operating expenses plus selling, general, and administrative expenses as those two line items are reported in our segment results.

Speaker #1: This increase was primarily due to increases in digital advertising revenue and retransmission consent revenue partially offset by decreases in broadcast advertising revenue and spectrum usage rights revenue.

Speaker #1: We have undertaken initiatives focused on increasing our media advertising revenue and we are seeing momentum and progress in the execution of these initiatives. Particularly in local ad sales and digital ad sales.

Speaker #1: Let's look at total operating expense for the media business. That is the sum of direct operating expenses plus selling general and administrative expenses as those two line items are reported in our segment results.

Speaker #1: Media segment total operating expense in the first quarter increased $2.1 million compared to first quarter 25, an increase of 6%. One of our goals in the media segment is to optimize our organizational structure and expenses to be aligned with revenue and to generate profit.

Mark Boelke: Media segment total operating expense in Q1 increased $2.1 million compared to Q1 2025, an increase of 6%. One of our goals in the media segment is to optimize our organizational structure and expenses to be aligned with revenue and to generate profit, as Mike noted. We continue to work on achieving this goal, we've taken steps under an ongoing organizational design plan begun in Q3 2025 intended to support revenue growth and reduce expenses in our media segment. Key components of this plan have included a reduction in our media business workforce, reduction in professional expenses, and the abandonment of several leased facilities.

We have undertaken initiatives focused on increasing our media and advertising revenue, and we are seeing momentum and progress in the execution of these initiatives.

Particularly in local ad sales and digital ad sales.

Speaker #1: As Mike noted. We continue to work on achieving this goal and we've taken steps under an ongoing organizational design plan begun in Q3 2025 intended to support revenue growth and reduce expenses in our media segment.

Let's look at total operating expense for the media business. That is the sum of direct operating expenses.

Plus selling General and administrative expenses as those 2 line. Items are reported in our segment results.

Speaker #1: Key components of this plan have included a reduction in our media business workforce, reduction in professional expenses, and the abandonment, the abandonment of several leased facilities.

Media segment total operating expense. In the first quarter, increased 2.1, million compared to first quarter 25, an increase of 6%.

Speaker #1: We recorded a charge during first quarter totaling $1 million for the expenses associated with moves under this plan. And these charges were reported as restructuring costs on our income statement.

Mark Boelke: We recorded a charge during Q1 totaling $1 million for the expenses associated with moves under this plan. These charges were reported as restructuring costs on our income statement. The Media segment had an operating loss of $5.2 million in Q1 2026, compared to an operating loss of $2.6 million in Q1 2025. The decrease was mainly due to higher cost of revenue associated with the increase in digital advertising revenue in our Media segment. We remain focused on providing compelling content, growing revenue, streamlining our organization, and reducing operating expenses during 2026 and beyond. At this time, I'll turn to our AdTech and Services segment or ATS. Q1 revenue for the ATS business was $154.6 million.

One of our goals in the media segment is to optimize our organizational structure and expenses to be aligned with revenue, and to generate profits, as Mike noted.

Speaker #1: The media segment had an operating loss of $5.2 million in Q1 26 compared to an operating loss of $2.6 million in Q1 2025. The decrease was mainly due to higher cost of revenue, associated with the increase in digital advertising revenue in our media segment.

We continue to work on achieving this goal, and we've taken steps under an ongoing organizational design plan, Beyond in Q3 2025 intended, to support Revenue, growth and reduce expenses in our media segment.

Key components of this plan have included a reduction in our media business, Workforce reduction, in professional expenses. In the abandonment. The abandonment of several lease facilities

Speaker #1: We remain focused on providing compelling content, growing revenue, streamlining our organization, and reducing operating expenses during 2026 and beyond. At this time, I'll turn to our ad tech and services segment or ATS.

We recorded a charge during first quarter, totaling 1 million dollars for the expenses associated with moves under this plan, and these charges were reported as restructuring costs, our income statement.

Speaker #1: First quarter revenue for the ATS business was $154.6 million. This was an increase of $204% compared to first quarter 25. And a sequential increase of $74% from fourth quarter 25.

Mark Boelke: This was an increase of 204% compared to Q1 2025. A sequential increase of 74% from Q4 2025. We had a higher number of monthly active accounts and higher revenue per monthly active account. As discussed on previous calls, and as Michael Christenson noted earlier, we have had success executing our strategies in the ATS business, including strengthening the AI capabilities that are part of our technology platform and expanding the ATS sales team and geographic sales coverage. ATS total operating expenses increased 72% in Q1 2026 compared to Q1 2025, an increase of $9.8 million. The ATS expense increase was primarily related to the increase in revenue. For example, the expense of cloud computing services has increased as a result of processing more transactions and using stronger AI capabilities in the AdTech platform.

Speaker #1: We had a higher number of monthly active accounts and higher revenue per monthly active account. As discussed on previous calls and as Mike noted earlier, we have had success executing our strategies in the ATS business, including strengthening the AI capabilities that are a part of our technology platform and expanding the ATS sales team and geographic sales coverage.

Speaker #1: ATS total operating expenses increased $72% in the first quarter 26 compared to first quarter 25, an increase of $9.8 million. The ATS expense increase was primarily related to the increase in revenue.

Speaker #1: For example, the expense of cloud computing services has increased as a result of processing more transactions and using stronger AI capabilities in the ad tech platform.

Speaker #1: There was an increase in sales commissions and the revenue increase and achievement of other performance metrics. And the ATS business has also hired additional sales engineering and ad operations staff in the recent quarters.

Mark Boelke: There was an increase in sales commissions and performance compensation as a result of the revenue increase and achievement of other performance metrics. The ATS business has also hired additional sales, engineering, and ad operations staff in the recent quarters in order to drive ATS growth and expand into new geographic territories. One of our goals for the ATS business is to continue to grow revenue and generate positive operating leverage. The ATS revenue increase exceeded the expense increase in terms of percentage and absolute dollars. Operating profit for the ATS segment was $34.3 million in Q1 2026. This was an increase of 427% versus Q1 2025. A sequential increase of 178% from the prior quarter, Q4 2025.

Speaker #1: In order to drive ATS growth and expand into new geographic territories. One of our goals for the ATS business is to continue to grow revenue and generate positive operating leverage in the ATS revenue increase exceeded the expense increase, in terms of percentage and absolute dollars.

Speaker #1: Operating profit for the ATS segment was $34.3 million, in Q1 26. This was an increase of $427% versus Q1 25. And a sequential increase of $178% from the prior quarter, Q4 25.

Speaker #1: Combining our two operating segments, on a consolidated basis, revenue for first quarter 2026 was $197.0 million. Up 114% compared to first quarter 2025. The two segments together generated a consolidated segment operating profit of $29.1 million, in Q1 26.

Mark Boelke: Combining our two operating segments on a consolidated basis, revenue for Q1 2026 was $197.0 million, up 114% compared to Q1 2025. The two segments together generated a consolidated segment operating profit of $29.1 million in Q1 2026, compared to $3.9 million in Q1 2025. The increase was a result of operating profit in the ATS segment, partially offset by a decreased operating profit in the Media segment. We had a consolidated operating income of $20.7 million in Q1 2026, compared to an operating loss of $52.8 million in Q1 2025. Corporate expenses in Q1 2026 were $7.2 million, an 8% decrease compared to Q1 2025, or about $0.6 million.

Speaker #1: Compared to $3.9 million, in Q1 25. The increase was a result of operating profit in the ATS segment partially offset by a decreased operating profit in the media segment.

Speaker #1: We had a consolidated operating income of $20.7 million, in Q1 26 compared to an operating loss of $52.8 million. In Q1 25. Corporate expenses in first quarter 26 were $7.2 million.

Speaker #1: An 8% decrease compared to first quarter 25, or about 0.6 million. The decrease was primarily due to expense reductions in professional services and rent.

Mark Boelke: The decrease was primarily due to expense reductions in professional services and rent. We have taken significant steps to reduce corporate expenses over the past few years and for additional context, looking back one additional year to 2024, corporate expense in Q1 2026 was 41% lower than corporate expense in Q1 2024. Entravision's balance sheet remains strong with over $71 million in cash and marketable securities at the end of Q1 2026. We're proud of our strong balance sheet, which we believe sets us apart from others in the industry. Our strategy regarding allocation of cash is first, reduce debt and maintain low leverage, and second, return capital to our shareholders primarily through dividends.

Speaker #1: We have taken significant steps to reduce corporate expenses over the past few years. And for additional context, looking back one additional year to 2024, corporate expense in the first quarter of 2026 was $41% lower than corporate expense in the first quarter of 2024.

Speaker #1: EnterVision's balance sheet remains strong with over $71 million in cash and marketable securities at the end of first quarter 2026. We're proud of our strong balance sheet, which we believe sets us apart from others in the industry.

Speaker #1: Our strategy regarding allocation of cash is, first, reduce debt and maintain low leverage. And second, return capital to our shareholders. Primarily through dividends. In first quarter 26, we made a debt payment of $5 million.

Mark Boelke: In Q1 2026, we made a debt payment of $5 million, reducing our credit facility indebtedness to about $163 million at the end of Q1 2026. We remain committed to reducing our debt and maintaining a strong balance sheet. In addition, we paid $4.6 million in dividends to stockholders in Q1, or $0.05 per share. For Q2 2026, our board of directors has approved a $0.05 dividend per share payable on 30 June 2026 to stockholders of record as of 16 June 2026, for a total payment of approximately $4.6 million. We'd like to thank you all for joining our call today. At this time, Mike and I would like to open the call for questions from the investment community. Roy, I'll turn it back over to you.

Speaker #1: Reducing our credit facility indebtedness to about $163 million, at the end of first quarter 2026. We remain committed to reducing our debt and maintaining a strong balance sheet.

Speaker #1: In addition, we paid $4.6 million in dividends to stockholders in the first quarter, or 5 cents per share. For the second quarter of 2026, our board of directors has approved a 5 cent dividend per share, payable on June 30th, 2026, to stockholders of record as of June 16th, for a total payment of approximately $4.6 million.

Speaker #1: We'd like to thank you all for joining our call today. And at this time, Mike and I would like to open the call for questions from the investment community.

Speaker #1: Roy, I'll turn it back over to you.

Speaker #2: Thank you, Mark. We'll now begin the questions and answer session. As a reminder, if you have a question, please use the Q&A function on the Zoom screen indicate your name and company and submit your question.

Roy Nir: Thank you, Mark. We'll now begin the questions and answer session. As a reminder, if you have a question, please use the Q&A function on the Zoom screen, indicate your name and company, and submit your question. Please hold as we review questions. Mike, the first question is regarding the outlook for political revenue in 2026. Any updates since the last call that you can provide?

Speaker #2: Please hold as we review questions. Mike, the first question is regarding the outlook for political revenue in 2026. Any updates since the last call that you can provide?

Roy Nir: Mike, the first question is regarding the outlook for political revenue in 2026. Any updates since the last call that you can provide?

Speaker #3: Yeah. Yes. Thanks, Roy. I guess next quarter we'll put political comments in the prepared remarks. So our $182 days away from election day, 2026.

Michael Christenson: Yes, thanks, Roy. I guess next quarter we'll put political comments in the prepared remarks. We're 182 days away from election day 2026. As everyone knows, primaries are underway across the country, and we're positioning ourselves for a strong political and spending environment in 2026. For Entravision, we have big races in our markets, governor races in California, Nevada, and Texas. Those are the three biggest governor races for us, but we have some others. We have the Texas US Senate race, and we have at least 7 critical contested House races. It'll be, you know, we'll be busy this year focusing on political revenue.

Speaker #3: As everyone knows, primaries are underway across the country. And we're positioning ourselves for a strong political spending environment in 2026. For EnterVision, we have big races in our markets governor races, in California, Nevada, and Texas.

Speaker #3: Those are the three biggest governor races for us, but we have some others. Then we have the Texas-US Senate race. And we have at least seven critical contested House races.

Speaker #3: So it'll be we'll be busy this year focusing on political revenue. As everyone consequential congressional elections in our lifetime. And we believe that the Latino vote will be critical to the outcome of all these elections.

Michael Christenson: As everyone knows, this will be one of the most consequential congressional elections, in our lifetime, and we believe that the Latino vote will be critical to the outcome of all these elections. We've shared with our clients and that studies have shown that Latinos are the most persuadable segment of the electorate, and we have a powerful channel for reaching that audience. Political will be an increasing focus up for us as we go through the rest of this year.

Speaker #3: We've shared with our clients and that studies have shown that Latinos are the most persuadable segment of the electorate. And we have a powerful channel for reaching that audience.

Speaker #3: So political will be an increasing focus for us as we go through the rest of this year.

Speaker #2: Thank you, Mike. And the next question we received was related to the status of the negotiations with TU and the affiliation agreement. Can you provide any update on that?

Roy Nir: Thank you, Mike. The next question we received was related to the status of the negotiations with TelevisaUnivision and the affiliation agreement. Can you provide any update on that?

Michael Christenson: No new news on the affiliation agreement for this call. This affiliation agreement runs through 31 December 2026. We have time. We've been partners for three decades, and our plan is to renew this agreement, but there's no news on that at this time.

Speaker #3: No new news on the affiliation agreement for this call. This affiliation agreement runs through December 31, 2026. So we have time. We've been partners for three decades.

Speaker #3: And our plan is to renew this agreement. But there's no news on that at this time.

Speaker #2: Thank you, Mike. Again, please hold as we review any potential questions. At this time, we don't have any additional questions. We'd like to thank you all for joining our call today.

Roy Nir: Thank you, Mike. Again, please hold as we review any potential questions. At this time, we don't have any additional questions. We'd like to thank you all for joining our call today. We welcome our investors to connect with us through the investor relations page on our corporate website, entravision.com, where you will have access to a transcript of this call, the press release containing our Q1 financial results, and a copy of our quarterly report filed with the SEC on Form 10-Q. We look forward to speaking with you again when we report our Q2 results. Thank you very much. You may now disconnect.

Roy Nir: Thank you, Mike. Again, please hold as we review any potential questions. At this time, we don't have any additional questions. We'd like to thank you all for joining our call today.

Speaker #2: We welcome our investors to connect with us through the Investor Relations page on our corporate website entervision.com, where you will have access to a transcript of this call, the press release containing our first quarter financial results, and a copy of our quarterly report filed with the SEC on Form 10Q.

Roy Nir: We welcome our investors to connect with us through the investor relations page on our corporate website, entravision.com, where you will have access to a transcript of this call, the press release containing our Q1 financial results, and a copy of our quarterly report filed with the SEC on Form 10-Q.

Roy Nir: We look forward to speaking with you again when we report our Q2 results. Thank you very much. You may now disconnect.

[Company Representative] (Entravision Communications): At this time, we don't have any additional questions. We'd like to thank you all for joining our call today. We welcome our investors to connect with us through the investor relations page on our corporate website, entravision.com, where you will have access to a transcript of this call, the press release containing our Q1 financial results, and a copy of our quarterly report filed with the SEC on Form 10-Q. We look forward to speaking with you again when we report our Q2 results. Thank you very much. You may now disconnect.