Obie Media Reports Record Revenue for the First Quarter

Apr 11, 2001, 01:00 ET from Obie Media Corporation

    EUGENE, Ore., April 11 /PRNewswire/ -- Obie Media Corp. (Nasdaq: OBIE), a
 leading provider of out-of-home advertising products and services in
 North America, reported that gross revenue for the quarter ended
 February 28, 2001 increased 36.2 percent to $12,684,498 compared to
 $9,313,269 for the same period last year.  Revenue from transit advertising
 increased 39.4 percent to $10,917,225 compared to $7,831,173 in the first
 quarter of fiscal 2000.  The Company reported a net loss for the quarter of
 $800,490 ($0.14 per share) compared to a net loss of $ 92,535 ($0.02 per
 share) for the first quarter of 2000.
     Obie Media's operating results for the first quarter of 2001 align with
 the Company's previous guidance.  The first two quarters of fiscal 2001 will
 be adversely impacted by the start-up of new transit advertising operations in
 Chicago, San Antonio, Indianapolis, Tampa and Vancouver, Washington.  In
 addition, the costs associated with the opening of new national sales offices
 in San Francisco, Dallas, St. Louis and Toronto, the expansion of national
 sales staff in New York, Chicago and Los Angeles and related head office
 infrastructure support costs will affect Q1 and Q2 results.
     Chairman and Chief Executive Officer Brian B. Obie attributed the
 quarter's performance to the significant growth currently being experienced in
 the Company's transit advertising business.  "As expected, the investment in
 the Chicago start-up had an impact on first quarter results," he said.  "I am
 confident, however, it will bring long term rewards to our shareholders.  We
 exceeded our internal expectations for the first quarter and, notwithstanding
 the softening economy, we remain committed to continuing our historic pattern
 of EBITDA growth in fiscal 2001."
 
     Conference Call Information
     A conference call to review the Company's first quarter 2001 results is
 scheduled for 4:30 p.m. ET (1:30 p.m. PT), April 11, 2001.
 
     To listen to the call, dial 888-343-7268.  A transcript of the
 presentation will be posted on the Obie Media Web site at 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
     (Unaudited)
                                          Three Months Ended February
                                         2001                     2000
     REVENUES:
       Transit advertising           $10,917,225        93.1%  $7,831,173
       Outdoor advertising             1,767,273        15.1%   1,482,096
       Gross revenue                  12,684,498       108.2%   9,313,269
       Less - Agency commissions       (960,966)        -8.2%   (767,446)
         Net revenues                 11,723,532       100.0%   8,545,823
 
     OPERATING EXPENSES:
       Direct advertising expenses     9,945,242        78.4%   6,454,209
       General and administrative      2,055,276        16.2%   1,575,766
       Start-up costs                    297,136         2.3%      31,132
       Depreciation and amortization     491,963         3.9%     421,020
         Operating income            (1,066,085)        -8.4%      63,696
 
     OTHER (INCOME) EXPENSE:
       Interest expense                  283,070         2.4%     215,392
         Income before income taxes  (1,349,155)       -11.5%   (151,696)
 
     PROVISION FOR INCOME TAXES        (548,665)        -4.7%    (59,161)
     NET INCOME                       ($800,490)                ($92,535)
 
     Earnings per share:
       Basic                             ($0.14)                  ($0.02)
       Diluted                           ($0.14)                  ($0.02)
 
     Other Data:
     Net income                        (800,490)                 (92,535)
     Operating income (loss)         (1,066,085)                   63,696
     EBITDA (A)                        (574,122)                  484,716
     After-tax cash flow               (308,527)                  328,485
     Earnings per share                  ($0.14)                  ($0.02)
     Weighted average shares
      outstanding                      5,896,232                5,871,699
 
 
     (A) "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.
 
 
     OBIE MEDIA CORPORATION - Consolidated Financial Information
     (Unaudited)
                                                      YTD             %
                                                     Change         Change
 
     REVENUES:
       Transit advertising            91.6%        $3,086,052       39.4%
       Outdoor advertising            17.3%           285,177       19.2%
       Gross revenue                 109.0%         3,371,229       36.2%
       Less - Agency commissions      -9.0%         (193,520)       25.2%
         Net revenues                100.0%         3,177,709       37.2%
 
     OPERATING EXPENSES:
       Direct advertising expenses    69.3%         3,491,033       54.1%
       General and administrative     16.9%           479,510       30.4%
       Start-up costs                  0.3%           266,004      854.4%
       Depreciation and amortization   4.5%            70,943       16.9%
         Operating income              0.7%       (1,129,781)    -1773.7%
 
     OTHER (INCOME) EXPENSE:
       Interest expense                2.5%            67,678       31.4%
         Income before income taxes   -1.8%       (1,197,459)      789.4%
 
     PROVISION FOR INCOME TAXES       -0.7%         (489,504)      827.4%
     NET INCOME                                    ($707,955)      765.1%
 
 
     (A) "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:  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.
 
 

SOURCE Obie Media Corporation
    EUGENE, Ore., April 11 /PRNewswire/ -- Obie Media Corp. (Nasdaq: OBIE), a
 leading provider of out-of-home advertising products and services in
 North America, reported that gross revenue for the quarter ended
 February 28, 2001 increased 36.2 percent to $12,684,498 compared to
 $9,313,269 for the same period last year.  Revenue from transit advertising
 increased 39.4 percent to $10,917,225 compared to $7,831,173 in the first
 quarter of fiscal 2000.  The Company reported a net loss for the quarter of
 $800,490 ($0.14 per share) compared to a net loss of $ 92,535 ($0.02 per
 share) for the first quarter of 2000.
     Obie Media's operating results for the first quarter of 2001 align with
 the Company's previous guidance.  The first two quarters of fiscal 2001 will
 be adversely impacted by the start-up of new transit advertising operations in
 Chicago, San Antonio, Indianapolis, Tampa and Vancouver, Washington.  In
 addition, the costs associated with the opening of new national sales offices
 in San Francisco, Dallas, St. Louis and Toronto, the expansion of national
 sales staff in New York, Chicago and Los Angeles and related head office
 infrastructure support costs will affect Q1 and Q2 results.
     Chairman and Chief Executive Officer Brian B. Obie attributed the
 quarter's performance to the significant growth currently being experienced in
 the Company's transit advertising business.  "As expected, the investment in
 the Chicago start-up had an impact on first quarter results," he said.  "I am
 confident, however, it will bring long term rewards to our shareholders.  We
 exceeded our internal expectations for the first quarter and, notwithstanding
 the softening economy, we remain committed to continuing our historic pattern
 of EBITDA growth in fiscal 2001."
 
     Conference Call Information
     A conference call to review the Company's first quarter 2001 results is
 scheduled for 4:30 p.m. ET (1:30 p.m. PT), April 11, 2001.
 
     To listen to the call, dial 888-343-7268.  A transcript of the
 presentation will be posted on the Obie Media Web site at 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
     (Unaudited)
                                          Three Months Ended February
                                         2001                     2000
     REVENUES:
       Transit advertising           $10,917,225        93.1%  $7,831,173
       Outdoor advertising             1,767,273        15.1%   1,482,096
       Gross revenue                  12,684,498       108.2%   9,313,269
       Less - Agency commissions       (960,966)        -8.2%   (767,446)
         Net revenues                 11,723,532       100.0%   8,545,823
 
     OPERATING EXPENSES:
       Direct advertising expenses     9,945,242        78.4%   6,454,209
       General and administrative      2,055,276        16.2%   1,575,766
       Start-up costs                    297,136         2.3%      31,132
       Depreciation and amortization     491,963         3.9%     421,020
         Operating income            (1,066,085)        -8.4%      63,696
 
     OTHER (INCOME) EXPENSE:
       Interest expense                  283,070         2.4%     215,392
         Income before income taxes  (1,349,155)       -11.5%   (151,696)
 
     PROVISION FOR INCOME TAXES        (548,665)        -4.7%    (59,161)
     NET INCOME                       ($800,490)                ($92,535)
 
     Earnings per share:
       Basic                             ($0.14)                  ($0.02)
       Diluted                           ($0.14)                  ($0.02)
 
     Other Data:
     Net income                        (800,490)                 (92,535)
     Operating income (loss)         (1,066,085)                   63,696
     EBITDA (A)                        (574,122)                  484,716
     After-tax cash flow               (308,527)                  328,485
     Earnings per share                  ($0.14)                  ($0.02)
     Weighted average shares
      outstanding                      5,896,232                5,871,699
 
 
     (A) "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.
 
 
     OBIE MEDIA CORPORATION - Consolidated Financial Information
     (Unaudited)
                                                      YTD             %
                                                     Change         Change
 
     REVENUES:
       Transit advertising            91.6%        $3,086,052       39.4%
       Outdoor advertising            17.3%           285,177       19.2%
       Gross revenue                 109.0%         3,371,229       36.2%
       Less - Agency commissions      -9.0%         (193,520)       25.2%
         Net revenues                100.0%         3,177,709       37.2%
 
     OPERATING EXPENSES:
       Direct advertising expenses    69.3%         3,491,033       54.1%
       General and administrative     16.9%           479,510       30.4%
       Start-up costs                  0.3%           266,004      854.4%
       Depreciation and amortization   4.5%            70,943       16.9%
         Operating income              0.7%       (1,129,781)    -1773.7%
 
     OTHER (INCOME) EXPENSE:
       Interest expense                2.5%            67,678       31.4%
         Income before income taxes   -1.8%       (1,197,459)      789.4%
 
     PROVISION FOR INCOME TAXES       -0.7%         (489,504)      827.4%
     NET INCOME                                    ($707,955)      765.1%
 
 
     (A) "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:  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.
 
 SOURCE  Obie Media Corporation