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GH GRAHAM HOLDINGS Contact : Wallace R. Cooney ( 703 ) 345-6470 GRAHAM HOLDINGS COMPANY REPORTS FIRST QUARTER EARNINGS For Immediate Release May 5 , 2021 ARLINGTON , VA - Graham Holdings Company ( NYSE : GHC ) today reported net income attributable to common shares of $ 112.5 million ( $ 22.44 per share ) for the first quarter of 2021 , compared to a loss of $ 33.2 million ( $ 6.32 per share ) for the first quarter of 2020 . The COVID - 19 pandemic and measures taken to prevent its spread , such as travel restrictions , shelter in place orders and mandatory closures , significantly impacted the Company's results for 2020 and the first three months of 2021 , largely from reduced demand for the Company's products and services . This significant adverse impact is expected to continue for several of the Company's businesses for the remainder of 2021. The Company's management has taken a variety of measures to reduce costs and implement changes to business operations . The Company cannot predict the severity or duration of the pandemic , the extent to which demand for the Company's products and services will be adversely affected or the degree to which financial and operating results will be negatively impacted . The results for the first quarter of 2021 and 2020 were also affected by a number of items as described in the following paragraphs . Including these items , income before income taxes was $ 154.0 million for the first quarter of 2021 , compared to a loss of $ 79.3 million for the first quarter of 2020. Excluding these items , income before income taxes was $ 62.2 million for the first quarter of 2021 , compared to $ 39.6 million for the first quarter of 2020. ( Refer to the Non - GAAP Financial Information schedule at the end of this release for additional details . ) Items included in the Company's income before income taxes for the first quarter of 2021 : • a $ 0.6 million reduction to operating expenses from property , plant and equipment gains in connection with the spectrum repacking mandate of the FCC ; • $ 79.2 million in net gains on marketable equity securities ; • $ 10.3 million in net earnings of affiliates whose operations are not managed by the Company ; • a non - operating gain of $ 2.7 million from the write - up of a cost method investment ; and • $ 1.1 million in interest expense to adjust the fair value of the mandatorily redeemable noncontrolling interest . Items included in the Company's loss before income taxes for the first quarter of 2020 : • $ 16.4 million in goodwill and intangible asset impairment charges ; • a $ 0.3 million reduction to operating expenses from property , plant and equipment gains in connection with the spectrum repacking mandate of the FCC ; • $ 100.4 million in net losses on marketable equity securities ; • $ 0.6 million in net losses of affiliates whose operations are not managed by the Company ; • non - operating losses of $ 6.1 million from impairments of cost method and equity method investments ; and • $ 4.3 million in non - operating foreign currency gains . Revenue for the first quarter of 2021 was $ 712.5 million , down 3 % from $ 732.3 million in the first quarter of 2020 . Revenues declined at education and television broadcasting , partially offset by increases at manufacturing , healthcare and other businesses . The Company reported operating income of $ 33.8 million for the first quarter of 2021 , compared to $ 8.1 million for the first quarter of 2020. The operating income increase is driven by improved results in education , manufacturing , healthcare and other businesses , partially offset by declines in television broadcasting . -more- 1300 North 17th Street , Suite 1700 , Arlington , VA 22209 | 703 345 6300 | www.ghco.com