Gannett Releases April Statistical Report
McLEAN, VA – Gannett Co., Inc. (NYSE: GCI) reported today that total pro forma operating revenues for the fourth period ended May 4, 2003 increased 3 percent. Results in April, particularly in the first half of the month, were tempered by the war in Iraq.
Pro forma (assuming that all properties presently owned were owned in both periods) newspaper advertising revenues in April were up 3 percent compared with the same period in 2002 on a 2 percent increase in ROP volume and an 11 percent advance in preprint distribution. Newspaper advertising category results reflect, in part, the Easter switch to April this year from March in 2002.
Pro forma classified revenues were slightly ahead of last year in the April period on a 2 percent increase in ad volume. Employment revenues declined 13 percent from the same period last year. Classified real estate revenues advanced 7 percent, and automotive increased 3 percent.
Pro forma local advertising revenues rose 7 percent in the April period on a 1 percent increase in ad volume. The performance of the company’s small and medium-sized advertisers in its domestic newspapers outpaced the revenue performance of its largest advertisers. In the U.S., newspaper gains were achieved in most categories including department stores, restaurants, financial and health while there was continued softness in consumer electronics. Local results also reflect the Easter switch.
Pro forma national advertising revenues were on par with the same period last year, on a 5 percent increase in ad volume. National volume at the company’s local domestic newspapers increased 8 percent in the period compared with the same interval in 2002. At USA TODAY, advertising revenues decreased 8 percent on a 9 percent decline in paid ad pages to 417 from 459. For the month, automotive, technology, entertainment and telecommunications advertising were positive but very weak travel advertising offset these gains. For the year-to-date, USA TODAY’s paid pages numbered 1,513 versus 1,636 last year while ad revenues were 2 percent lower.
Television revenues increased 4 percent in the period. National revenues rose 5 percent and local revenues increased 3 percent. Television pacings are currently slightly ahead of last year for the second quarter.
Pro forma other revenues, which primarily include Gannett’s share of the operating results of the Detroit and Tucson joint operating agencies and the company’s commercial printing activities, rose 4 percent.
The pro forma advertising and circulation revenue statistics include the results of the SMG (Scottish Media Group) publishing business as if it had been owned in both years. Ad linage for Newsquest is not included in the ad volume statistics. Circulation volume numbers for Newsquest’s paid daily newspapers are included in the enclosed statistics, but volume from unpaid daily and non-daily publications is not included in the circulation volume statistics.
In addition to the revenue and statistical summary, attached is a chart which shows the consolidated Gannett Internet audience share for April from Nielsen//NetRatings. In April, Gannett’s domestic web sites had almost 13.6 million unique visitors reaching over 10 percent of the Internet audience.
Gannett Co., Inc. is a leading international news and information company that publishes 100 daily newspapers in the USA, including USA TODAY, the nation’s largest-selling daily newspaper. The company also owns in excess of 400 non-daily publications in the USA and USA WEEKEND, a weekly newspaper magazine. Gannett subsidiary Newsquest is the United Kingdom’s second largest regional newspaper company. Newsquest publishes more than 300 titles, including 17 daily newspapers, and a network of prize-winning Web sites. Gannett also operates 22 television stations in the United States and is an Internet leader with sites sponsored by its TV stations and newspapers including USATODAY.com, one of the most popular news sites on the web.
Certain statements in this press release may be forward looking in nature or “forward looking statements” as defined in the Private Securities Litigation Reform Act of 1995. The forward looking statements contained in this press release are subject to a number of risks, trends and uncertainties that could cause actual performance to differ materially from these forward looking statements. A number of those risks, trends and uncertainties are discussed in the company’s SEC reports, including the company’s annual report on Form 10-K and quarterly reports on Form 10-Q. Any forward looking statements in this press release should be evaluated in light of these important risk factors.
Gannett is not responsible for updating the information contained in this press release beyond the published date, or for changes made to this press release by wire services, Internet service providers or other media.
Contact:
Gracia Martore
Senior Vice President and Chief Financial Officer
(703) 854-6918
gmartore@gannett.com
GANNETT CO., INC.
REVENUE & STATISTICAL SUMMARY
GANNETT CO., INC.
REVENUE & STATISTICAL SUMMARY
Period 4 (March 31, 2003 - May 4, 2003)
%
2003 2002 CHANGE CHANGE
REVENUES:
Advertising:
Local $ 173,510,000 $ 162,817,000 $ 10,693,000 7
National 64,903,000 64,791,000 112,000 0
Classified 158,990,000 158,720,000 270,000 0
------------- ------------- ------------ ----
Total Advertising $ 397,403,000 $ 386,328,000 $ 11,075,000 3
Circulation 112,837,000 112,641,000 196,000 0
Other revenue 33,805,000 32,436,000 1,369,000 4
Television 72,652,000 69,731,000 2,921,000 4
------------- ------------- ------------ ----
Total Revenue $ 616,697,000 $ 601,136,000 $ 15,561,000 3
============= ============= ============ ====
VOLUME:
Newspaper Inches:
Local 3,658,231 3,605,431 52,800 1
National 367,718 349,470 18,248 5
Classified 5,561,741 5,472,856 88,885 2
------------- ------------- ------------ ----
Total ROP 9,587,690 9,427,757 159,933 2
============= ============= ============ ====
Preprint Distribution
(in thousands) 1,077,039 969,588 107,451 11
============= ============= ============ ====
NET PAID CIRCULATION:
Morning (w/USAT) 7,141,947 7,179,377 (37,430) (1)
Evening 1,275,411 1,323,831 (48,420) (4)
------------- ------------- ------------ ----
Total Daily 8,417,358 8,503,208 (85,850) (1)
============= ============= ============ ====
Sunday 6,990,890 7,110,875 (119,985) (2)
============= ============= ============ ====
Year-to-Date through May 4, 2003
%
2003 2002 CHANGE CHANGE
REVENUES:
Advertising:
Local $ 593,339,000 $ 572,058,000 $ 21,281,000 4
National 230,804,000 227,467,000 3,337,000 1
Classified 602,666,000 579,120,000 23,546,000 4
-------------- -------------- ------------- ----
Total Advertising $ 1,426,809,000 $ 1,378,645,000 $ 48,164,000 3
Circulation 422,546,000 418,628,000 3,918,000 1
Other revenue 122,853,000 114,020,000 8,833,000 8
Television 230,828,000 236,917,000 (6,089,000) (3)
-------------- -------------- ------------- ----
Total Revenue $ 2,203,036,000 $ 2,148,210,000 $ 54,826,000 3
============== ============== ============= ====
VOLUME:
Newspaper Inches:
Local 12,355,295 12,507,445 (152,150) (1)
National 1,301,168 1,221,504 79,664 7
Classified 19,317,780 18,667,221 650,559 3
-------------- -------------- ------------- ----
Total ROP 32,974,243 32,396,170 578,073 2
============== ============== ============= ====
Preprint Distribution
(in thousands) 3,657,638 3,284,379 373,259 11
============== ============== ============= ====
NET PAID CIRCULATION:
Morning (w/USAT) 7,187,187 7,192,528 (5,341) (0)
Evening 1,291,066 1,325,621 (34,555) (3)
-------------- -------------- ------------- ----
Total Daily 8,478,253 8,518,149 (39,896) (0)
============== ============== ============= ====
Sunday 7,069,727 7,107,027 (37,300) (1)
============== ============== ============= ====
Note: The operating results from the company’s newspapers participating in joint operating agencies, and which are accounted for under the equity method of accounting, are reported as a single amount in other operating revenues. Advertising linage statistics from these newspapers are not included above, however, circulation volume statistics for these newspapers are included above.
The above revenue amounts and statistics have been restated to include all companies presently owned including SMG Publishing (acquired in April 2003). SMG Publishing consists of three Scottish newspapers: The Herald, Sunday Herald and Evening Times; eleven specialty consumer and business-to-business magazine titles; and an online advertising and content business.
Newsquest (which includes SMG Publishing) is a regional newspaper publisher in the United Kingdom with more than 300 titles, including paid and unpaid daily and non-daily products. Circulation volume statistics for Newsquest’s seventeen paid daily newspapers are included above. Circulation volume statistics for Newsquest’s unpaid daily and non-daily publications are not reflected above. Advertising linage for Newsquest publications is not reflected above.
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Gannett Online Internet Audience April 2003Nielsen//NetRatings Home/Work Panel Combined Unique Visitors Percentage Reach of Per Month Internet Audience Gannett Online 13,586,000 10.2%