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GH GRAHAM HOLDINGS Contact : Wallace R. Cooney ( 703 ) 345-6470 For Immediate Release November 3 , 2021 GRAHAM HOLDINGS COMPANY REPORTS THIRD QUARTER EARNINGS ARLINGTON , VA - Graham Holdings Company ( NYSE : GHC ) today reported net income attributable to common shares of $ 39.6 million ( $ 7.90 per share ) for the third quarter of 2021 , compared to $ 77.6 million ( $ 15.22 per share ) for the third 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 nine 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 third 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 $ 33.8 million for the third quarter of 2021 , compared to $ 108.1 million for the third quarter of 2020. Excluding these items , income before income taxes was $ 37.0 million for the third quarter of 2021 , compared to $ 61.1 million for the third 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 third quarter of 2021 : • a $ 1.7 million net credit related to a fair value change in contingent consideration from a prior acquisition ; • a $ 0.1 million reduction to operating expenses from property , plant and equipment gains in connection with the spectrum repacking mandate of the FCC ; • $ 26.8 million in goodwill and other long - lived asset impairment charges ; • • $ 14.1 million in net gains on marketable equity securities ; • $ 16.7 million in net earnings of affiliates whose operations are not managed by the Company ; • a net non - operating loss of $ 6.4 million from the write - down of an equity method investment ; and • • • • • $ 2.6 million in net interest expense to adjust the fair value of the mandatorily redeemable noncontrolling interest . Items included in the Company's income before income taxes for the third quarter of 2020 : • $ 1.9 million in long - lived asset impairment charges at the education division ; • $ 1.9 million in restructuring charges at the education division ; $ 2.8 million in accelerated depreciation at other businesses ; a $ 1.2 million reduction to operating expenses from property , plant and equipment gains in connection with the spectrum repacking mandate of the FCC ; • $ 7.0 million in expenses related to non - operating Separation Incentive Programs at the education division ; • $ 59.4 million in net gains on marketable equity securities ; • $ 0.8 million in net earnings of affiliates whose operations are not managed by the Company ; • a non - operating gain of $ 1.6 million from write - up of a cost method investment ; and • • $ 2.3 million in non - operating foreign currency losses . -more- 1300 North 17th Street , Suite 1700 , Arlington , VA 22209 | 703 345 6300 | www.ghco.com