AMC Global Media Inc. — Third Quarter 2026 Earnings Summary

Financial Performance:

• Consolidated net revenues for the three months ended September 30, 2026, were $566.1 million, a 0.8% increase from $561.7 million in the prior year period; for the nine months ended September 30, 2026, revenues were $1.66 billion, a 3.6% decrease from $1.72 billion in the prior year period.
• Domestic Operations revenue increased 2% year-over-year to $495 million for the quarter; total Domestic Operations revenue for the nine months decreased 4.2% to $1.44 billion.
• International revenue decreased 5% year-over-year to $73 million for the quarter; total International revenue for the nine months increased 0.7% to $224 million.
• Operating loss was $41.6 million for the quarter compared to operating income of $55.5 million in the prior year period; for the nine months, operating income was $5.5 million compared to $184.2 million in the prior year period.
• Adjusted Operating Income was $70.4 million for the quarter, down 25.4% from $94.4 million in the prior year period; for the nine months, it was $185.5 million, down 39.8% from $308.3 million.
• Diluted EPS was $(1.13) for the quarter compared to $1.38 in the prior year period; for the nine months, diluted EPS was $(2.06) compared to $2.63.
• Adjusted EPS was $0.44 for the quarter, an increase from $0.18 in the prior year period; for the nine months, Adjusted EPS was $0.33, down 76.3% from $1.39.
• Net cash used in operating activities was $41.8 million for the quarter compared to $44.8 million provided in the prior year period; for the nine months, net cash provided was $82.8 million, down 67.7% from $256.4 million.
• Free Cash Flow was $(52.4) million for the quarter compared to $42.0 million in the prior year period; for the nine months, Free Cash Flow was $55.6 million, down 76.0% from $231.9 million.
• Free Cash Flow excluding the impact of a one-time settlement payment was $33 million for the quarter.
• Total debt as of September 30, 2026, was $1.74 billion, with net debt and finance leases totaling $1.31 billion.
• The leverage ratio was 4.5x for the twelve months ended September 30, 2026.

Business Segments and Product Lines:

• Domestic Subscription revenue decreased 2.5% to $308 million, driven by an 11% decline in affiliate revenue to $127 million, partially offset by a 4% increase in streaming revenue to $181 million.
• Domestic Advertising revenue decreased 6.9% to $102 million, primarily due to lower marketplace pricing, partially offset by digital advertising growth.
• Domestic Content licensing and other revenue increased 41.7% to $84 million, driven by the timing and availability of deliveries.
• International Subscription revenue decreased 4.2% to $46 million, primarily due to the wind-down of a joint venture in Poland and Africa and foreign currency translation.
• International Advertising revenue decreased 6.3% to $24 million, primarily due to a decline in the U.K. advertising market.
• Announced that all seasons of The Walking Dead will be available on AMC+ as part of The Walking Dead Universe Collection, including all six spin-off series, beginning January 7, 2027.
• Expanded relationship with Netflix to co-produce new series; greenlit Bannerman, a spy drama.
• Partnered with Alcon Entertainment and StudioCanal to greenlight Point Break.
• Greenlit Happy Jack, a comedy starring Charlie Sheen and Martin Sheen, set to premiere on AMC and AMC+ in 2027.
• Commenced production on Thunder Road, a multi-generational racing drama produced in partnership with NASCAR and starring Dennis Quaid.
• Divested the ALLBLK streaming business on August 26, 2026, resulting in a pre-tax gain of $3.7 million; entered into a long-term content licensing agreement with the buyer.

Other Key Points:

• Entered into a settlement agreement on September 4, 2026, with plaintiffs in a breach of contract lawsuit regarding The Walking Dead and Fear the Walking Dead.
• The settlement total consideration is $120 million, consisting of an $85 million cash payment made on September 16, 2026, and $35 million to be paid by January 31, 2027, treated as an advance against Modified Adjusted Gross Receipts participation.
• Recorded an $85 million charge in Impairment and other charges for the legal settlement during the quarter.
• Restructuring and other related charges for the quarter were $2.2 million, including $2.1 million related to the ALLBLK sale and $0.1 million related to the International segment restructuring plan.
• Completed an accelerated share repurchase (ASR) agreement with Citibank in October 2026 to repurchase $30 million of Class A Common Stock, resulting in the purchase of 2,817,888 shares.
• As of September 30, 2026, $87 million of authorization remained under the Stock Repurchase Program.
• As of October 30, 2026, there were 29,674,947 shares of Class A Common Stock and 11,484,408 shares of Class B Common Stock outstanding.
• Cash and cash equivalents were $440.2 million as of September 30, 2026.
• Deferred revenue was $62.0 million as of September 30, 2026, down from $63.7 million at December 31, 2025.
• Program rights, net, decreased to $1.51 billion from $1.76 billion at December 31, 2025.
• Long-term debt, net, decreased to $1.66 billion from $1.74 billion at December 31, 2025.