Entravision Communications (NYSE:EVC – Get Free Report) announced its quarterly earnings results on Thursday. The company reported ($0.18) EPS for the quarter, missing the consensus estimate of $0.07 by ($0.25), Zacks reports. The business had revenue of $226.31 million for the quarter, compared to analyst estimates of $162.16 million. Entravision Communications had a return on equity of 6.98% and a net margin of 0.62%.
Here are the key takeaways from Entravision Communications’ conference call:
- Entravision reported third-quarter revenue of $226.3 million, up 88% year over year, and operating income of $28.3 million versus an operating loss of $9.1 million. The improvement was driven primarily by its advertising technology and services (ATS) segment.
- ATS revenue rose 133% to $177.2 million and operating profit increased 261% to $35.2 million, supported by more active advertisers and higher revenue per account. Management expects fourth-quarter ATS revenue growth above 100% year over year, while noting results can vary with large customers’ spending.
- Media political revenue is expected to be about $25 million for 2026, at the low end of management’s target range and below the $32 million and $34 million recorded in the prior midterm and presidential election years. Executives cited weaker-than-expected spending in several races, particularly limited Spanish-language spending in the Texas Senate race.
- The company is exploring strategic alternatives for its TV business without a Univision affiliation; its current affiliation extension runs through March 31, 2027. It also agreed to sell its Tampa-area TV stations for $30 million and expects to realign media expenses with revenue to target profitability in 2027.
- Entravision ended the quarter with $90 million in cash and marketable securities, repaid $5 million of debt during the quarter, and paid a $0.05-per-share dividend. Management plans to review capital allocation priorities in early 2027, while maintaining debt reduction and shareholder returns as current priorities through year-end.
Entravision Communications Trading Up 7.9%
Shares of EVC stock opened at $8.09 on Friday. Entravision Communications has a 1 year low of $2.56 and a 1 year high of $13.74. The firm’s fifty day simple moving average is $7.29 and its 200 day simple moving average is $6.86. The firm has a market capitalization of $746.89 million, a P/E ratio of 768.07 and a beta of 1.75. The company has a current ratio of 1.48, a quick ratio of 1.48 and a debt-to-equity ratio of 1.64.
Entravision Communications Announces Dividend
The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 31st. Shareholders of record on Thursday, December 17th will be issued a $0.05 dividend. The ex-dividend date of this dividend is Thursday, December 17th. This represents a $0.20 dividend on an annualized basis and a yield of 2.5%. Entravision Communications’s dividend payout ratio (DPR) is 2,000.00%.
Analysts Set New Price Targets
Separately, Weiss Ratings cut shares of Entravision Communications from a “hold (c)” rating to a “hold (c-)” rating in a report on Monday, October 19th. One analyst has rated the stock with a Hold rating. Based on data from MarketBeat, the stock presently has an average rating of “Hold”.
Get Our Latest Report on Entravision Communications
Insider Activity at Entravision Communications
In other news, Director Paul Zevnik sold 35,000 shares of Entravision Communications stock in a transaction dated Friday, September 4th. The shares were sold at an average price of $8.40, for a total transaction of $294,000.00. Following the sale, the director directly owned 36,100 shares in the company, valued at approximately $303,240. The trade was a 49.23% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 9.12% of the company’s stock.
Key Entravision Communications News
Here are the key news stories impacting Entravision Communications this week:
- Positive Sentiment: Third-quarter revenue rose 88% year over year to $226.3 million, exceeding the $162.16 million analyst estimate. Revenue for the first nine months increased 108% to $651.2 million. Entravision Reports Third Quarter 2026 Results
- Positive Sentiment: The company declared a quarterly dividend of $0.05 per share, or $0.20 annualized, representing a reported yield of 2.7%.
- Neutral Sentiment: Political advertising helped boost quarterly revenue. That tailwind shows strength in the period, though political ad spending can be cyclical and may not persist at the same level. Political Ads Boost Entravision Q3 Revenue
- Negative Sentiment: Entravision posted a loss of $0.18 per share, missing the consensus estimate of $0.07 earnings per share by $0.25. The company’s reported net margin was also thin at 0.62%, highlighting that strong revenue growth did not translate into comparable profitability.
About Entravision Communications
Entravision Communications Corporation (NYSE:EVC) is a global advertising, media and technology company. The company provides digital advertising solutions through programmatic buying, mobile and connected television advertising, audio, and other digital media channels. Its technology and services help brands reach and engage audiences across multiple platforms.
Entravision also operates and represents media properties, including television and radio assets, with a historical focus on Spanish-language audiences in the United States.
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