Fri, May 9, 6:15 PM (2 days ago)
**Lee Enterprises, Incorporated (LEE) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** Total operating revenue decreased by 6.3% to $137.4 million in Q1 2025, with digital revenue representing 52.8% of total revenue. - **Profit Margins:** Operating loss narrowed slightly to $4.5 million, while net loss increased to $12.0 million due to higher non-operating expenses. - **Cash Flow:** Net cash used in operating activities was $8.1 million, a decrease of $11.4 million compared to Q1 2024, primarily due to lower operating results and the impact of the Cyber Incident. - **Earnings Changes:** Diluted loss per share was $2.07, a slight increase from $2.06 in Q1 2024. **Trends & Uncertainties:** - **Digital Growth:** Digital subscription revenue grew by 17.4%, with digital-only subscribers totaling 728,000. - **Print Decline:** Print advertising and subscription revenues continued to decline due to secular trends and the Cyber Incident. - **Cyber Incident:** The Company incurred $1.9 million in expenses related to the Cyber Incident, with ongoing legal and forensic investigations. - **Liquidity:** The Company has implemented plans to maintain liquidity, including reducing operating and capital spending, and has received waivers of interest and rent payments. **Future Operations Impact:** - **Cost Reduction:** The Company aims to achieve planned expense reductions and realize the expected benefits of acquisitions. - **Digital Focus:** Lee Enterprises continues to invest in talent and technology to improve user experience, content, and marketing to align with the shift in spending habits toward digital products. - **Debt Management:** The Company has a single 25-year term loan with BH Finance LLC, with future payments contingent on generating excess cash flow. **Ticker:** LEE **Note:** Amounts are in thousands, 000s.