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Segment reporting
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Segment reporting NOTE 14 — Segment reporting
We define our reportable segments based on the way the CODM, which is our Chief Executive Officer, manages the
operations for purposes of allocating resources and assessing segment performance. Our reportable segments include the
following:
•Domestic Gannett Media is comprised of our portfolio of domestic local, regional, and national newspaper publishers.
The results of this segment include Digital revenues mainly derived from digital advertising offerings such as digital
marketing services delivered by our DMS segment, digital distribution of our publications and digital content
syndication and affiliate and partnership revenues as well as classified advertisements and display advertisements run
on our platforms as well as third-party sites, and Print and commercial revenues mainly derived from the sale of local,
national, and classified print advertising products, the sale of both home delivery and single copies of our publications,
as well as commercial printing and distribution arrangements, and revenues from our events business.
•Newsquest is comprised of our portfolio of newspaper publishers in the U.K.. The results of this segment include
Digital revenues mainly derived from digital advertising offerings such as digital marketing services delivered by our
DMS segment, digital distribution of our publications and digital content syndication revenues as well as classified
advertisements and display advertisements run on our platforms and third-party sites, and Print and commercial
revenues mainly derived from the sale of local, classified, and national advertising as well as niche publications, the
sale of both home delivery and single copies of our publications, as well as commercial printing.
•Digital Marketing Solutions is comprised of our digital marketing services companies under the brand LocaliQ. The
results of this segment include Digital revenues derived from digital marketing services generated through multiple
services, including search advertising, display advertising, search optimization, social media, website development,
web presence products, customer relationship management, and software-as-a-service solutions.
In addition to the reportable segments above, we have a Corporate and other category that includes activities not directly
attributable to a specific reportable segment and includes broad corporate functions, including legal, human resources,
accounting, analytics, finance, marketing and technology, as well as other general business costs.
In the ordinary course of business, our reportable segments enter into transactions with one another. While intersegment
transactions are treated like third-party transactions to determine segment performance, the revenues and expenses recognized
by the segment that is the counterparty to the transaction are eliminated in consolidation and do not affect consolidated results.
We regularly provide management reports to the CODM that include segment revenue and Adjusted EBITDA. Significant
segment expenses regularly provided to the CODM, and included within Adjusted EBITDA include Payroll, Benefits,
Newsprint & ink, Distribution, Outside services and Digital cost of goods sold.
The CODM uses Adjusted EBITDA to evaluate the performance of the segments and allocate resources. Adjusted
EBITDA provides an assessment of controllable expenses and affords the CODM the ability to make decisions which are
expected to facilitate meeting current financial goals as well as achieve optimal financial performance. Adjusted EBITDA is a
non-GAAP financial performance measure we believe offers a useful view of the overall operation of our businesses and may
be different than similarly-titled measures used by other companies. We define Adjusted EBITDA as Net income (loss)
attributable to Gannett before (1) Income tax expense (benefit), (2) Interest expense, (3) Gains or losses on the early
extinguishment of debt, (4) Non-operating pension income, (5) Loss on convertible notes derivative, (6) Depreciation and
amortization, (7) Integration and reorganization costs, (8) Third-party debt expenses and acquisition costs, (9) Asset
impairments, (10) Goodwill and intangible impairments, (11) Gains or losses on the sale or disposal of assets, (12) Share-based
compensation, (13) Other non-operating (income) expense, net, and (14) Non-recurring items.
Management considers Adjusted EBITDA to be an important metric to evaluate and compare the ongoing operating
performance of our segments on a consistent basis across reporting periods as it eliminates the effect of items that we do not
believe are indicative of each segment's core operating performance.
Year ended December 31, 2024
In thousands
Domestic
Gannett
Media
Newsquest
Digital
Marketing
Solutions
Corporate and
other
Total
Revenue
$1,938,398
$239,273
$477,807
$5,656
$2,661,134
Elimination of intersegment revenues
—
—
—
—
(151,819)
Total revenues
1,938,398
239,273
477,807
5,656
2,509,315
Payroll
530,120
96,526
102,641
98,251
827,538
Benefits
96,329
4,075
12,752
12,831
125,987
Newsprint and ink
67,833
10,187
—
—
78,020
Distribution
276,069
12,755
—
—
288,824
Outside services
176,643
10,396
10,543
141,685
339,267
Digital cost of goods sold
176,959
9,175
295,548
2,052
483,734
Other(a)
412,024
42,750
12,645
(222,844)
244,575
Elimination of intersegment expenses
—
—
—
—
(151,819)
Adjusted EBITDA
202,421
53,409
43,678
(26,319)
273,189
Net loss attributable to noncontrolling interests
33
Interest expense
104,697
Gain on early extinguishment of debt
(55,559)
Non-operating pension income
(12,438)
Depreciation and amortization
156,287
Integration and reorganization costs(b)
66,155
Third-party debt expenses and acquisition costs(c)
10,932
Asset impairments
46,589
Loss on sale or disposal of assets, net
1,106
Share-based compensation expense
12,522
Other non-operating income, net
(1,317)
Non-recurring items
21,855
Loss before income taxes
(77,673)
Benefit for income taxes
(51,286)
Net loss
(26,387)
Net loss attributable to noncontrolling interests
(33)
Net loss attributable to Gannett
$(26,354)
(a)Other expenses include corporate allocations of shared costs and Equity loss (income) in unconsolidated investees, net, which are not separately provided to
the CODM. Corporate allocations include, but are not limited to legal, human resources, accounting, analytics, finance, marketing and technology, as well as
other general business costs.
(b)Integration and reorganization costs mainly reflect severance-related expenses and other reorganization-related costs, designed primarily to right-size the
Company's employee base, consolidate facilities and improve operations.
(c)Third-party debt expenses and acquisition costs are included in Other operating expenses on the Consolidated statements of operations and comprehensive
income (loss).
Year ended December 31, 2023
In thousands
Domestic
Gannett
Media
Newsquest
Digital
Marketing
Solutions
Corporate and
other
Total
Revenue
$2,095,853
$233,980
$477,909
$6,268
$2,814,010
Elimination of intersegment revenues
—
—
—
—
(150,460)
Total revenues
2,095,853
233,980
477,909
6,268
2,663,550
Payroll
548,253
93,492
99,942
101,925
843,612
Benefits
100,434
4,002
11,852
15,296
131,584
Newsprint and ink
99,760
13,351
—
—
113,111
Distribution
323,749
13,325
2
2
337,078
Outside services
195,937
10,046
8,319
137,380
351,682
Digital cost of goods sold
180,876
9,876
289,878
1,950
482,580
Other(a)
452,203
39,760
14,693
(219,976)
286,680
Elimination of intersegment expenses
—
—
—
—
(150,460)
Adjusted EBITDA
194,641
50,128
53,223
(30,309)
267,683
Net loss attributable to noncontrolling interests
103
Interest expense
111,776
Gain on early extinguishment of debt
(4,529)
Non-operating pension income
(9,382)
Depreciation and amortization
162,622
Integration and reorganization costs(b)
24,468
Third-party debt expenses and acquisition costs(c)
1,550
Asset impairments
1,370
Gain on sale or disposal of assets, net
(40,101)
Share-based compensation expense
16,567
Other non-operating income, net
(3,050)
Non-recurring items
12,454
Loss before income taxes
(6,165)
Provision for income taxes
21,729
Net loss
(27,894)
Net loss attributable to noncontrolling interests
(103)
Net loss attributable to Gannett
$(27,791)
(a)Other expenses include corporate allocations of shared costs and Equity loss (income) in unconsolidated investees, net, which are not separately provided to
the CODM. Corporate allocations include, but are not limited to legal, human resources, accounting, analytics, finance, marketing and technology, as well as
other general business costs.
(b)Integration and reorganization costs mainly reflect severance-related expenses and other reorganization-related costs, designed primarily to right-size the
Company's employee base, consolidate facilities and improve operations.
(c)Third-party debt expenses and acquisition costs are included in Other operating expenses on the Consolidated statements of operations and comprehensive
income (loss).
Year ended December 31, 2022
In thousands
Domestic
Gannett
Media
Newsquest
Digital
Marketing
Solutions
Corporate and
other
Total
Revenue
$2,379,806
$234,630
$468,883
$5,440
$3,088,759
Elimination of intersegment revenues
—
—
—
—
(143,456)
Total revenues
2,379,806
234,630
468,883
5,440
2,945,303
Payroll
641,747
96,853
93,802
125,478
957,880
Benefits
135,882
4,887
13,698
21,358
175,825
Newsprint and ink
129,077
15,039
—
—
144,116
Distribution
370,594
14,697
—
9
385,300
Outside services
223,365
11,061
10,016
134,271
378,713
Digital cost of goods sold
176,986
9,658
278,573
136
465,353
Other(a)
494,507
42,408
15,214
(227,840)
324,289
Elimination of intersegment expenses
—
—
—
—
(143,456)
Adjusted EBITDA
207,648
40,027
57,580
(47,972)
257,283
Net loss attributable to noncontrolling interests
253
Interest expense
108,366
Gain on early extinguishment of debt
(399)
Non-operating pension income
(58,953)
Depreciation and amortization
182,022
Integration and reorganization costs(b)
87,974
Third-party debt expenses and acquisition costs(c)
1,892
Asset impairments
1,056
Gain on sale or disposal of assets, net
(6,883)
Share-based compensation expense
16,751
Other non-operating income, net
(2,286)
Non-recurring items
4,396
Loss before income taxes
(76,906)
Provision for income taxes
1,349
Net loss
(78,255)
Net loss attributable to noncontrolling interests
(253)
Net loss attributable to Gannett
$(78,002)
(a)Other expenses include corporate allocations of shared costs and Equity loss (income) in unconsolidated investees, net, which are not separately provided to
the CODM. Corporate allocations include, but are not limited to legal, human resources, accounting, analytics, finance, marketing and technology, as well as
other general business costs.
(b)Integration and reorganization costs mainly reflect severance-related expenses and other reorganization-related costs, designed primarily to right-size the
Company's employee base, consolidate facilities and improve operations.
(c)Third-party debt expenses and acquisition costs are included in Other operating expenses on the Consolidated statements of operations and comprehensive
income (loss).
Asset and asset related information by segment are not key measures of performance used by the CODM function.
Accordingly, we have not disclosed asset and asset related information by segment. Additionally, equity income in
unconsolidated investees, net, interest expense, other non-operating items, net, and provision for income taxes, as reported in
the Consolidated financial statements, are not part of operating income and are primarily recorded at the corporate level.