Printer Friendly

Obie Media Announces Record Revenue For The Second Quarter.

EUGENE, Ore., July 10 /PRNewswire/ --

Obie Media Corp. (Nasdaq: OBIE), a leading provider of out-of-home advertising products and services in North America, reported that gross revenues in the second fiscal quarter rose 42 percent to $17,835,000 from $12,562,642 in the same period last year. Revenue from transit advertising increased 47.2 percent to $15,947,786 compared to $10,837,176 in the second quarter of fiscal 2000. The Company reported a net loss for the quarter of $248,510 ($0.04 per share) compared to net income of $403,518 ($0.07 per share) for the second quarter of 2000. EBITDA (earnings before interest, taxes, depreciation and amortization, a common measurement in out-of-home media companies) for the quarter was $482,082 compared with EBITDA of $1,387,966 for the comparable quarter in 2000.

Gross revenue for the first half of fiscal 2001 increased 39.5 percent to $30,519,498 compared to $21,875,911 for the same period last year. Revenue from transit advertising increased 43.9 percent to $26,865,011 compared to $18,668,349 in the first half of fiscal 2000. The Company reported a net loss for the six months ended May 31, 2001 of $1,049,000 ($0.18 per share) compared to net income of $310,983 ($0.05 per share) for the same fiscal period in 2000.

Obie Media's operating results for the second quarter of 2001 align with the Company's previous guidance that the first two quarters of the current fiscal year would be adversely impacted by the start-up of transit advertising operations in five new markets, as well as by the opening and expansion of national sales offices across North America. In addition, sales for the second quarter have not met the Company's expectations due to the weak media economy in the United States and Canada.

Fiscal 2001 Q3 Outlook

Obie Media is continuing to experience a sharp drop in national transit advertising revenues from fiscal 2000 levels. While local direct transit advertising and billboard revenues remain solid, based on current sales pacings for Q3 of fiscal 2001, the Company expects that EBITDA in Q3 will be lower than in Q2. The Company intends to navigate through the current economic downturn by expanding our local direct sales force, aggressively marketing innovative transit products, maximizing the revenue potential of our in-house digital production facility and through the close monitoring of expense levels.

Conference Call Information

A conference call to review the Company's second quarter 2001 results is scheduled for 4:30 p.m. ET (1:30 p.m. PT), July 10, 2001.

To listen to the call, dial 888-214-7573. A transcript of the presentation will be posted on the Obie Media Web site at http://www.obie.com for a period of two weeks following the conference call. To view the transcript, click on the Investor's Corner from the Obie Media home page and click on "Conference Call Transcript" in the upper-left-hand corner.

OBIE MEDIA CORPORATION - Consolidated Financial Information

Three Months Ended May Six Months Ended May

2001 2000 2001 2000

Statement of Income Data:

REVENUES:

Transit advertising $15,947,786 $10,837,176 $26,865,011 $18,668,349

Outdoor advertising 1,887,214 1,725,466 3,654,487 3,207,562

Gross revenue 17,835,000 12,562,642 30,519,498 21,875,911

Less - Agency

commissions (1,911,562) (1,233,911) (2,872,528) (2,001,357)

Net revenues 15,923,438 11,328,731 27,646,970 19,874,554

OPERATING EXPENSES:

Direct advertising

expenses 13,256,634 8,287,091 23,201,876 14,741,300

General and

administrative 2,156,744 1,623,706 4,212,020 3,199,472

Start-up costs 27,978 29,968 325,114 61,100

Depreciation and

amortization 505,932 434,220 997,895 855,240

Operating income

(loss) (23,850) 953,746 (1,089,935) 1,017,442

OTHER (INCOME) EXPENSE:

Interest expense 375,921 292,211 658,991 507,603

Income (loss) before

income taxes (399,771) 661,535 (1,748,926) 509,839

PROVISION FOR (BENEFIT

FROM) INCOME TAXES (151,261) 258,017 (699,926) 198,856

NET INCOME (LOSS) ($248,510) $403,518 ($1,049,000) $310,983

Earnings (loss) per share:

Basic ($0.04) $0.07 ($0.18) $0.05

Diluted ($0.04) $0.07 ($0.18) $0.05

Other Data:

EBITDA (1) 482,082 1,387,966 (92,040) 1,872,682

After-tax cash flow 257,422 837,738 (51,105) 1,166,223

Weighted average shares

outstanding (diluted) 5,896,232 5,925,217 5,896,232 5,933,829

(1) "EBITDA" (earnings before interest, taxes, depreciation and amortization) and "After-tax cash flow" are commonly used measurements by out-of-home media companies. They should not be considered in isolation or as a substitute for cash flow from operating activities or cash flow statement data prepared in accordance with generally accepted accounting principles.

About Obie Media

Obie Media Corporation is a leading full-service out-of-home advertising company based in Eugene, Oregon. The Company sells, designs, produces and installs out-of-home advertising displays which include transit posters, billboards, wallscapes, transit shelters and bus benches throughout the United States and Canada. Obie Media's common stock is traded on the Nasdaq National Market under the symbol "OBIE." For more information, please contact Obie Media Corporation, 4211 West 11th Avenue, Eugene, Oregon 97402-5435. Telephone: 800-233-6243 or 541-686-8400. Fax: 541-683-3212. Web: http://www.obie.com .

Cautionary Statement Concerning Forward-looking Statements:

This document contains both historical and forward-looking statements. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Exchange Act of 1934. These forward-looking statements are not based on historical facts, but rather reflect the Company's current expectations concerning future results and events. Similarly, statements that describe our objectives, plans or goals are or may be forward-looking statements. These forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be different from any future statements. The following important factors, among others, could affect future results, causing these results to differ materially from those expressed in our forward-looking statements: changes in advertising market conditions; failure to successfully conclude negotiations on pending transactions or to successfully assimilate expanded operations; inability to generate advertising revenues to meet contractual guarantees; cancellation or interruption of contracts with governmental agencies; and other economic, business, competitive and/or regulatory factors affecting the Company's business generally. The forward-looking statements included in this document are made only as of the date of this document and under section 27A of the Securities Act and section 21E of the Exchange Act. We do not have any obligation to publicly update any forward-looking statements to reflect subsequent events or circumstances.

MAKE YOUR OPINION COUNT - Click Here

http://tbutton.prnewswire.com/prn/11690X26829552
COPYRIGHT 2001 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 2001 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Geographic Code:1USA
Date:Jul 10, 2001
Words:1166
Previous Article:Minnesota Bankers Applaud Olson Appointment to Federal Reserve Board.
Next Article:CORE, INC. Announces Stockholder Approval of Merger With Fortis, Inc.

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters