Adjusted EBITDA -- $12 million, representing a 61% increase year over year, driven by cost management and digital growth. Adjusted EBITDA Margin -- 9.4%, up from 5.3%, highlighting improved profitability. Equity Investment -- $50 million in gross proceeds was raised via private placement at $3.25 per share, materially strengthening the balance sheet. Interest Rate Reduction -- The credit agreement was amended to lower the interest rate on $455 million of debt from 9% to 5% for five years, generating an estimated $18 million in annual interest savings and up to approximately $90 million over five years.
The news was revealed to shareholders by People Inc. CEO Neil Vogel during parent company IAC's 2025 third-quarter earnings call on Nov. 4. Vogel described the Microsoft marketplace as an "a la carte" pay-per-use model, in contrast to the "all you can eat" lump sum deal it has with AI rival OpenAI. "We are very happy with either model - both can be viable as long as our content is respected and paid for," said Vogel.
Posted total net revenue of $180.3 million, a decline of 11.5% year-over-year Generated digital revenue of $39.0 million, a decrease of 2.6% year-over-year But there is nuance in those metrics also, related to the departure of The Dan Bongino Show, an extraordinarily podcast. (Bongino discontinued the podcast when he was recruited as Director of the FBI.) Bongino's departure registers on the finance sheet as a $6.9 million negative impact.
As Google's AI Overviews threaten to chip away at publishers' search traffic, The Sun is betting big on something harder to displace: original long-form video. Over the past nine months, video's share of the publisher's digital revenue has nearly doubled, climbing from 9 percent in January to 18 percent today, as advertisers shift spend into premium formats, according to the publisher. A decent chunk of that surge comes straight from its Originals slate - The Sun's bid to turn long-form digital video formats into signature franchises that keep viewers watching for longer, and later scale globally.