Nexstar, the parent company of cable news channel NewsNation, last week announced a new round of layoffs.
The company, led by CEO Perry Sook, is taking the move as part of a corporate initiative to cut costs and said the layoffs "will allow us to focus on areas of growth for our viewers, partners, and customers."
With the new cuts, 2% of its workforce, the company has trimmed more than 500 jobs in the past 18 months.
"Our broadcasting and sales divisions are streamlining their organizations to reduce our operating expenses and accelerate collaboration across the company," Nexstar said, reported The Hollywood Reporter.
The company said it was acting preemptively because of transformations in the broadcasting industry.
In its recent third-quarter earnings release, Nexstar said it has been affected by a soft television ad market, along with political advertising that dropped from last year.
Further, the company's "core" advertising revenue dropped by 2.3%.
The company, which derives significant revenues from cable licensing fees, faces continuous pressure by operators to lower payments, especially as key channels underperform in ratings.
In 2021 Nexstar launched news channel NewsNation, replacing the company’s WGN America, which had been a ratings winner with scripted shows and sitcoms from past decades.
But despite hundreds of millions in investment in NewsNation, its ratings have barely registered.
Nielsen reported that postelection, the network has pulled an anemic 47,000 daytime viewers. The network remains the lowest-rated cable news channel, as its prime-time lineup saw a postelection drop of 29% in audience.