Entravision Communications Corporation

What they do

Entravision operates two reportable segments. The media segment owns and operates Spanish-language television and radio stations in the United States, and includes television, radio and digital marketing operations; it holds network affiliation and proxy agreements with TelevisaUnivision covering Univision and UniM s programming, retransmission consent, and marketing and sales of three TelevisaUnivision-owned affiliates (Albuquerque, Boston, Denver). The advertising technology & services (ATS) segment consists of Smadex, a programmatic demand-side platform, and Adwake, a performance-based digital marketing agency, serving advertisers and mobile app developers globally.

Revenue drivers

• Advertising Technology & Services (ATS) — Smadex and Adwake generate programmatic and performance marketing revenue from advertisers and mobile app developers globally. ATS revenue was $270.9M in 2025 versus $142.9M in 2024, a 90% increase, and accounted for about 80% of Q2 2026 net revenue.
• Media segment — Television, radio and digital marketing revenue from local and national advertisers, plus retransmission consent fees and spectrum usage rights revenue. Media net revenue was $176.7M in 2025, down 20% from $222.1M in 2024, and about 20% of Q2 2026 revenue.
• Retransmission consent and TelevisaUnivision agreements — Under a proxy agreement, Entravision grants TelevisaUnivision the right to negotiate retransmission consent agreements with MVPDs for its Univision- and UniM s-affiliated station signals, and it manages marketing and sales for three TelevisaUnivision affiliates. These current agreements expire December 31, 2026, and TelevisaUnivision owns about 10% of Entravision common stock on a fully-converted basis.

Recent performance

Q2 2026 consolidated net revenue was $227.9M, up 126% from $100.7M in Q2 2025; six-month 2026 revenue was $424.9M, up 121%. ATS revenue rose 230% in Q2 2026, primarily due to a large customer in Asia acquired in the second half of 2025, along with higher monthly active advertisers and revenue per monthly active advertiser. Media net revenue decreased 1% in Q2 2026, as lower broadcast advertising and spectrum usage rights revenue was partly offset by higher digital advertising and retransmission consent revenue; local advertising rose 1% and national advertising fell 19% excluding political revenue. Segment operating profit was $36.7M in Q2 2026 versus $5.5M a year earlier, with ATS operating profit of $40.0M offsetting a media segment operating loss of $3.3M. Full-year 2025 revenue was $447.6M with a net loss of $79.0M and operating cash flow of $10.6M.

Strategy

Management is investing in the AI capabilities of the Smadex platform and expanding sales capacity, which it credits for increases in monthly active advertisers and revenue per monthly active advertiser. The company is implementing an ongoing organization design plan intended to support revenue growth and reduce expenses, primarily in media operations, and management may make further changes as it evaluates early results. Entravision amended its 2023 Credit Agreement to provide more financial flexibility and accelerate debt reduction; in 2025 it made a $10M voluntary prepayment plus $10M of scheduled amortization, and in Q2 2026 it made a $5M scheduled amortization payment. It also pays a quarterly dividend of $0.05 per share and continues to state a commitment to reducing debt and maintaining a strong balance sheet.

Risks

• Media segment revenue decline — Media net revenue fell 20% in 2025 to $176.7M and the media segment reported an operating loss of $3.3M in Q2 2026, driven by lower broadcast advertising and spectrum usage rights revenue.
• Customer concentration in ATS — The 230% Q2 2026 ATS revenue increase was primarily due to a large customer in Asia acquired in the second half of 2025, so ATS growth is exposed to that customer's retention and spend.
• TelevisaUnivision agreement expirations — The network affiliation, proxy and marketing and sales agreements with TelevisaUnivision all expire December 31, 2026, and TelevisaUnivision holds about 10% of Entravision common stock.
• No long-term advertiser commitments — The company discloses that it has no long-term agreements with advertisers and that insertion orders may be cancelled before campaign completion without penalty, and it operates in highly competitive television, radio and digital media markets.

Outlook

The company reports second quarter 2026 results and states it remains committed to reducing debt and maintaining a strong balance sheet, after making a $5.0M scheduled debt payment in the quarter. Management attributes ATS growth to continued investment in Smadex AI capabilities and expanded sales capacity, and says it will evaluate early results of the organization design plan and may make further changes. Disclosed agreements with TelevisaUnivision covering network affiliation, retransmission consent negotiation and three market sales operations expire December 31, 2026.