Gray Media, Inc
Gray Media, Inc. is a U.S. multimedia company built around local television stations, digital advertising, and related production assets. It owns and operates stations in 114 full-power TV markets, including the largest Telemundo affiliate group, and supplements broadcast revenue with Gray Digital Media, sports and studio production, and tower and management services.
Fiscal year 2025 · change from previous year
Development 2020–2025
Business
Share of revenueOwned local TV stations and affiliated channels that sell advertising and retransmission rights.
Gray Digital Media and related online advertising and marketing services for local and national clients.
Fees paid by cable, satellite, and streaming distributors for carriage of Gray's stations.
Sports, entertainment, commercial, and studio production through owned production businesses and facilities.
Tower rentals, management fees, and other smaller revenue sources tied to the media footprint.
Products
Reported · share of revenue- Core Advertising46.9 %
- Retransmission Consent46.2 %
- Production Companies3.5 %
- Services and other2.1 %
- Political Advertising1.4 %
Source: 10-K FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.
Customers
Gray sells primarily to advertisers that want local and regional reach, with demand concentrated in services, automotive, and other local consumer categories. It also serves multichannel video distributors that pay retransmission consent fees, plus digital clients that buy targeted marketing and campaign execution. The company’s audience reach and station ratings matter because they directly affect ad pricing and carriage leverage.
Buy broadcast and digital inventory to reach viewers in specific markets and drive local demand.
Financial, legal, and medical advertisers that are a major source of non-political ad revenue.
Dealers and auto brands that use local TV and digital campaigns to drive showroom traffic and sales.
Cable, satellite, and other distributors that pay retransmission consent fees for station carriage.
National and local businesses buying Gray Digital Media's campaign strategy and execution services.
Strategy
Gray’s strategy centers on maintaining scale in local broadcast markets while monetizing that footprint through advertising, retransmission fees, and digital products. It is also investing in digital agency capabilities and production assets to diversify beyond traditional TV advertising and to better serve national and local clients. Cost control and portfolio quality matter because much of the broadcast cost base is fixed, so ratings strength and revenue mix drive operating leverage.
Station ratings and market share support ad pricing and retransmission leverage.
Digital products reduce reliance on linear TV advertising and improve client retention.
Sports, studio, and event production can add non-advertising revenue and reuse content capabilities.
Geography
Gray is overwhelmingly a U.S. business, headquartered in Atlanta and operating local stations across 114 full-power television markets. Its footprint reaches about 37% of U.S. television households, so performance depends heavily on U.S. local advertising conditions, distributor relationships, and regional market health. The company also has Hispanic audience exposure through its large Telemundo affiliate group and serves markets where local ratings and carriage coverage are critical.
Risks
Gray is exposed to cyclical advertising demand, especially because local TV ad sales depend on economic conditions, audience ratings, and election-cycle timing. It also faces structural competition from streaming, digital platforms, and other media, while retransmission negotiations and cybersecurity risks can affect revenue and operations. Because the business has a large fixed-cost base, any revenue softness can pressure margins quickly.
- Competition from streaming and digital platformsImpact: HighLikelihood: High
Viewers and advertisers can shift away from linear TV to online video and social platforms.
Exposure: Audience share and ad pricing
- Advertising revenue cyclicalityImpact: HighLikelihood: Medium
Broadcast advertising is the main revenue source and fluctuates with local economies and ad budgets.
Exposure: Core broadcast advertising
- Cybersecurity and technology disruptionImpact: HighLikelihood: Medium
Digital operations rely on third-party systems, data, and ad technology that can be attacked.
Exposure: Broadcast and digital infrastructure
- Election-cycle revenue volatilityImpact: MediumLikelihood: High
Political advertising can materially lift revenue in odd-numbered years and fall in even-numbered years.
Exposure: Political ad inventory
- Retransmission consent negotiation riskImpact: MediumLikelihood: Medium
Distributor fees depend on renewal terms and carriage relationships.
Exposure: MVPD and video distributor contracts
Accounting
Judgemental itemsRevenue is recorded when the advertisement airs, so timing of inventory delivery affects quarterly results.
Impact: Quarterly revenue volatility
The company records both revenue and expense at fair value when goods or services are exchanged.
Impact: Can affect reported revenue and operating expenses
Large intangible assets require annual impairment testing and can be written down if market conditions weaken.
Impact: Potential non-cash charges
Management judgment on tax positions and deferred taxes can materially affect net income.
Impact: Effective tax rate and earnings
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Last updated: 24/09/2026