Beasley Broadcast Group Reports Fourth Quarter and Year-End Results.Business Editors NAPLES Naples, city, Italy Naples, Ital. Napoli, city (1991 pop. 1,067,365), capital of Campania and of Naples prov., S central Italy, on the Bay of Naples, an arm of the Tyrrhenian Sea. , Fla.--(BUSINESS WIRE)--Feb. 11, 2002 Beasley Broadcast Group Beasley Broadcast Group, Inc. NASDAQ: BBGI, based in Naples, Florida, is an owner/operator of radio stations in the United States. As of November, 2006, the company owned 16 AM stations and 26 FM stations. , Inc. (Nasdaq:BBGI BBGI Bloc de Branche Gauche Incomplet (French) ), a large- and mid-size market radio broadcaster, today announced operating results for the three- and twelve-month periods ended December December: see month. 31, 2001. For the three months ended December 31, 2001 when compared to the same period of 2000, consolidated net revenue increased 7.8% to $30.4 million from $28.3 million. Broadcast Cash Flow (BCF BCF Billion Cubic Feet BCF Bioconcentration Factor BCF British Chess Federation BCF British Coatings Federation BCF Breast Cancer Fund BCF Bank Credit Facility BCF Bulked Continuous Filament BCF British Cycling Federation BCF Boeing Converted Freighter ) (defined as operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. or loss before corporate general and administrative expenses, equity appreciation rights, format change expenses, employee and contract termination Defense procurement: the cessation or cancellation, in whole or in part, of work under a prime contract or a subcontract thereunder for the convenience of, or at the option of, the government, or due to failure of the contractor to perform in accordance with the terms of the contract (default). expenses, depreciation and amortization, and impairment Impairment 1. A reduction in a company's stated capital. 2. The total capital that is less than the par value of the company's capital stock. Notes: 1. This is usually reduced because of poorly estimated losses or gains. 2. loss on long-lived long-lived adj. 1. Having a long life: a long-lived aunt. 2. Lasting a long time; persistent: a long-lived rumor. 3. assets) rose 4.6% to $9.8 million from $9.4 million. EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become in the fourth quarter of 2001 increased 3.4% to $8.7 million from $8.4 million. After Tax Cash Flow (ATCF ATCF After Tax Cash Flow ATCF Automated Tropical Cyclone Forecasting ATCF As The Crow Flies ATCF Automated Tropical Cyclone Forecast (meteorology) ATCF air traffic control facility ATCF Aero Touring Club de France ATCF Air Traffic Control Flight ) (defined as net income or loss plus depreciation and amortization, impairment loss on long-lived assets, deferred income tax expense - or minus deferred income tax benefit, non-recurring items, and other non-cash charges Non-Cash Charge A charge off, made by a company against earnings, that does not require an initial outlay of cash. Notes: Non-cash charges are typically against the depreciation, amortization, and depletion accounts on a company's balance sheet. ) rose 33.1% to $4.3 million, or $0.18 per diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, from $3.2 million, or $0.13 per diluted share. On a same-station basis (comparing stations operated by the Company at December 31, 2001 to those same stations operated by the Company at December 31, 2000, and excluding the October October: see month. 2001 results of WPTP-FM in Philadelphia Philadelphia, ancient cities Philadelphia, name of several ancient cities. One was in Lydia, W Asia Minor (now W Turkey). At the foot of Mt. Tmolus and near the location of modern Alaşehir, it was founded in the 2d cent. B.C. , which was reformatted in November November: see month. 2000), consolidated net revenue decreased 3.3% to $26.6 million from $27.5 million in the fourth quarter of 2000. BCF on a same-station basis decreased 4.9% to $8.7 million from $9.2 million in the same period of 2000. On a pro forma As a matter of form or for the sake of form. Used to describe accounting, financial, and other statements or conclusions based upon assumed or anticipated facts. The phrase pro forma basis (as if the sale of two New Orleans New Orleans (ôr`lēənz –lənz, ôrlēnz`), city (2006 pop. 187,525), coextensive with Orleans parish, SE La., between the Mississippi River and Lake Pontchartrain, 107 mi (172 km) by water from the river mouth; founded FM stations were completed on October 1, 2001) consolidated net revenue would have been $29.8 million and BCF would have been $9.7 million. The Company reported a net loss of $3.5 million, or $0.15 per share, for the three month period ended December 31, 2001, compared to a net loss of $2.0 million, or $0.08 per share, in the same period of 2000. The loss reflects higher depreciation, amortization and interest expenses related to station acquisitions, charges for employee and contract termination expenses, non-cash losses for the write down of retired assets, as well as an implied loss on hedging instruments relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the effect of recent interest rate declines on the Company's variable rate senior debt. New accounting standards (FASB FASB See: Financial Accounting Standards Board FASB See Financial Accounting Standards Board (FASB). 133) call for valuing collars, swaps or derivative instruments Derivative instruments Contracts such as options and futures whose price is derived from the price of an underlying financial asset. on a Company's variable rate debt as if they were undone at the end of each reporting period. The Company's weighted average number of shares outstanding were 24,273,441 for the fourth quarters of 2001 and 2000. Commenting on the results, Chairman and Chief Executive Officer George G. Beasley, stated, "Fourth quarter results benefited from solid November and December bookings, with the retail and telecommunications Communicating information, including data, text, pictures, voice and video over long distance. See communications. categories proving very resilient See resiliency. and our Philadelphia cluster turning in a very positive 14% year-over-year gain during the period. Results also benefited from strong performances at our Fayetteville cluster, as well as from company-wide cost control measures we implemented very early in the quarter. Our station personnel did a great job of operating in a difficult environment." For 2001, when compared to 2000, consolidated net revenue increased 8.5% to $115.2 million from $106.2 million. BCF declined 6.2% to $32.3 million from $34.4 million. EBITDA decreased 9.2% to $27.6 million from $30.4 million. ATCF fell 17.1% to $14.0 million, or $0.58 per diluted share, compared to $16.9 million, or $0.72 per diluted share, in the corresponding 2000 period. On a same-station basis, 2001 net revenue decreased 3.6% to $96.6 million from $100.2 million in 2000, while broadcast cash flow decreased 13.6% to $29.5 million from $34.2 million in 2000. On a pro forma basis (as if all acquisitions and divestitures during the year were completed on January 1, 2001) consolidated net revenue in 2001 would have been $112.0 million and BCF would have been $31.4 million. The Company reported a net loss of $21.8 million, or $0.90 per share, in 2001, compared to a net loss of $29.6 million, or $1.26 on a per share basis, in 2000. The 2001 net loss reflects higher depreciation, amortization and interest expenses, personnel reduction expenses, an impairment loss on long-lived assets, a loss on Internet-related investments, and an implied loss on hedging instruments. The 2000 net loss reflects a non-cash deferred income tax expense of $27.7 million related to the establishment of deferred tax assets and liabilities upon conversion from a subchapter "S" to a subchapter "C" corporation on February 11, 2000 in conjunction with the Company's initial public offering. Mr. Beasley concluded, "With an attractive portfolio of stations in good growth markets, key station turnarounds reaching critical mass in Philadelphia and Las Vegas Las Vegas (läs vā`gəs), city (1990 pop. 258,295), seat of Clark co., S Nev.; inc. 1911. It is the largest city in Nevada and the center of one of the fastest-growing urban areas in the United States. , and the expiration EXPIRATION. Cessation; end. As, the expiration of, a lease, of a contract, or statute. 2. In general, the expiration of a contract puts an end to all the engagements of the parties, except to those which arise from the non- fulfillment of obligations created or prospective re-negotiation of sports broadcast contracts pending in Miami, our company is well positioned to improve on last year's performance and return to growth in 2002." Business Outlook and Guidance -- For the first quarter ending March 31, 2002, the Company anticipates reporting actual revenue of approximately $23.0 million, BCF of approximately $5.6 million, EBITDA of approximately $4.35 million, and ATCF of approximately $0.03 per diluted share. -- On a same-station basis for the first quarter (comparing stations operated by the Company at March 31, 2002 to those same stations operated by the Company at March 31, 2001), the Company expects revenue and BCF to be down as much as 13% against year-ago levels. -- Effective January 1, 2002, the Company adopted SFAS No. 142. The effect will be to eliminate the amortization expense for goodwill and broadcast license assets. As of December 31, 2001, the Company had net unamortized goodwill and broadcast licenses in the amount of $12.1 million and $240.3 million, respectively. We expect depreciation and amortization expense to be approximately $3.6 million for 2002. While amortization expense related to goodwill and broadcast license assets will no longer be reflected on future financial statements, it is deductible in arriving at taxable income. As a result, our annual deferred tax expense related to property and equipment and intangibles will be approximately $5.3 million for 2002, which is calculated using our effective tax rate of 38.62%. In addition, the adoption of SFAS No. 142 will require us to complete an impairment test on the unamortized goodwill and broadcast licenses. This test will be completed by June 30, 2002 in accordance with the SFAS No. 142 transition rules and may result in potential write-downs. -- Due to continued limited visibility into advertiser buying patterns, the Company is not providing specific guidance beyond the first quarter of 2002 at this time. This news announcement contains certain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. that are based upon current expectations and involve certain risks and uncertainties within the meaning of the U.S. Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Words or expressions such as "intends," "expects," "expected," "anticipates" or variations of such words and similar expressions are intended to identify such forward-looking statements. Key risks are described in the Company's reports filed with the U.S. Securities and Exchange Commission. Readers should note that these statements may be impacted by several factors, including economic changes, unforeseen media events that would cause the Company to broadcast commercial free for any period of time, and changes in the radio broadcast industry generally and, accordingly, the Company's actual performance and results may vary from those stated herein. These statements do not include the potential impact of any acquisitions or dispositions announced or completed after February 10, 2002. The Company undertakes no obligation to update the information contained herein. Founded in 1961, Beasley Broadcast Group, Inc. is a radio broadcasting The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. company that, upon completion of pending dispositions, owns or operates 42 stations (26 FM and 16 AM) located in eleven large- and mid-size markets in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . The Company will host a conference call and simultaneous webcast this morning at 10:00 a.m. EST EST electroshock therapy. EST abbr. electroshock therapy . Both the call and webcast are open to the general public. The conference call number is 973/628-6885; please call five minutes in advance to ensure that you are connected prior to the presentation. Interested parties may also access the live call on the Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the at the Company's Web site at http://www.bbgi.com; allow 15 minutes to register and download To receive a file transmitted over a network. In any communications session, "download" means receive, and "upload" means send. The download/upload often implies a big/little scenario, in which data is being downloaded from the "big" server into the "little" user's computer. and install any necessary software. Following its completion, a replay of the call can be accessed for 5 days on the Internet from the Company's Web site or for 24 hours Adv. 1. for 24 hours - without stopping; "she worked around the clock" around the clock, round the clock via telephone at 973/341-3080 (reservation #3097455).
Selected Financial Data for the Quarter Ended December 31st:
(in thousands)
2001 2000 % Change
---- ---- --------
Same-station revenue (a) $26.6 $27.5 -3%
BCF margin 32% 33% -1%
EBITDA $8,665 $8,380 3%
ATCF # $4,281 $3,215 33%
ATCF/share $0.18 $0.13 38%
(a) Comparing stations operated by the Company at December 31, 2001
to those same stations operated by the Company at December 31,
2000, and excluding the October 2001 results of WPTP-FM in
Philadelphia, which was reformatted in November 2000.
# After-tax cash flow consists of net income or loss plus
depreciation and amortization, impairment loss on long-lived
assets, deferred income tax expense - or minus deferred income tax
benefit, non-recurring items, and other non-cash charges.
Selected Balance Sheet Data
(in thousands)
---------------------------------------
December 31, 2001 December 31, 2000
---------------------------------------
Cash and cash equivalents $ 4,999 $ 5,743
Working capital 5,893 18,558
Total assets 318,594 218,159
Long term debt 210,489 103,487
Total stockholders' equity 57,201 78,958
BEASLEY BROADCAST GROUP, INC.
Consolidated Statements Of Operations (unaudited)
Three Months Ended Twelve Months Ended
December 31, December 31,
(un-audited) (audited)
2001 2000 2001 2000
---- ---- ---- ----
Net revenue $30,444,987 $28,253,120 $115,204,615 $106,153,640
Station operating
expenses 20,635,968 18,871,971 82,894,631 71,724,586
------------ ------------ ------------ ------------
Broadcast cash
flow (1) 9,809,019 9,381,149 32,309,984 34,429,054
Corporate general
& administrative 1,143,593 1,001,527 4,683,775 3,991,535
Equity appreciation
rights --- --- --- 1,173,759
Format change
expenses --- 1,545,547 --- 1,545,547
Employee & contract
termination
expense 1,527,764 --- 1,527,764 ---
Depreciation and
amortization 6,965,336 4,487,596 27,554,534 17,409,162
Impairment loss on
long-lived assets --- --- 7,000,000 ---
------------ ------------ ------------ ------------
Operating income
(loss) 172,326 2,346,479 (8,456,089) 10,309,051
Interest expense (4,266,041) (2,195,959) (16,652,363) (8,812,564)
Other expense,
net (2) (1,114,316) (2,243,437) (3,913,253) (2,096,174)
------------ ------------ ------------ ------------
Net loss before
income taxes (5,208,031) (2,092,917) (29,021,705) (599,687)
Current income tax
(benefit)
expense (753,000) 1,495,000 (2,470,000) 3,598,000
Deferred income tax
(benefit)
expense (3) (925,000) (1,629,000) (4,754,000) 25,400,000
Net loss applicable
to common shares $(3,530,031) $(1,958,917) $(21,756,705) $(29,597,687)
============ ============ ============ ============
Net loss per
common share $(0.15) $(0.08) $(0.90) $(1.26)
============ ============ ============ ============
Weighted average
common shares
outstanding
(basic) 24,273,441 24,273,441 24,273,441 23,506,091
============ ============ ============ ============
Weighted average
common shares
outstanding
(diluted) 24,295,000 24,274,113 23,303,019 23,519,406
============ ============ ============ ============
(1) Broadcast cash flow consists operating income or loss before
corporate general and administrative expenses, equity
appreciation rights, format change expenses, employee and
contract termination expenses, depreciation and amortization,
and impairment loss on long-lived assets.
(2) Includes a) an implied loss on hedging instruments of
approximately $0.2 million and $4.7 million for the three and
twelve month periods ended December 31, 2001, respectively,
relating to the effect of recent interest rate declines on the
Company's variable rate senior debt; b) losses on
Internet-related investments of $1.6 million and $2.4 million
for the 2001 and 2000 periods, respectively; c) non-operating
expenses of $1.0 million and $0.3 million for the 2001 and 2000
periods related to the write down of retired assets and
uncollectible trade revenue; and, d) non-operating income of
$3.0 million in the 2001 period related to a recovered
write-down of previously uncollectible related party
receivable.
(3) The Company recorded a non-recurring, non cash charge of $27.7
million during 2000 due to establishment of deferred tax assets
and liabilities upon conversion from a subchapter "S" to a
subchapter "C" corporation on February 11, 2000 in conjunction
with the Company's initial public offering.
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion