EXHIBIT 99.1
[OBIE MEDIA LOGO]
CONTACT: GARY LIVESAY
VICE PRESIDENT AND CFO
(541) 686-8400
glivesay@obie.com
OBIE MEDIA REPORTS F2003 QUARTER ONE RESULTS
EUGENE, Oregon - (April 7, 2003) - Obie Media Corporation (Nasdaq:
OBIE), a leading provider of out-of-home advertising products and services in
North America, today reported financial results for its first quarter ended
February 28, 2003.
For the first quarter 2003, net revenue was $8,697,560 compared with
$9,566,290 in the prior-year first quarter. Transit advertising revenue (buses,
trains, benches, platform posters and shelters) was $7,023,231 compared with
$7,893,612 in the 2002 first quarter. Outdoor advertising revenues (billboards
and wallscapes) was $1,674,329 compared with $1,672,678 in the same quarter last
year.
The Company's operating loss (from continuing operations) for the 2003
first quarter decreased to $386,024 from $915,846 in the same quarter last year.
The first quarter net loss was $1,042,612 or $0.18 per basic and diluted share,
as compared to a net loss of $1,520,961 or $0.26 per basic and diluted share in
the same prior-year quarter. The loss from continuing operations for the quarter
was $0.16 per basic and diluted share compared with a loss of $.021 per basic
and diluted share in the same quarter last year. EBITDA (earnings before
interest, taxes, depreciation and amortization) was a negative $29,662 for the
three months ended February 28, 2003 compared with a negative $657,689 in the
2002 first quarter.
"Our performance is on plan," said Brian B. Obie, Chairman and Chief
Executive Officer of Obie Media Corporation. "Our transit and billboard
operations are improving despite ongoing softness in the advertising industry.
Out-of-home advertising is a seasonal business resulting in our first quarter
consistently being the weakest of the year. We achieved essentially a break-even
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EBITDA during the quarter and continued to diligently manage expenses. The
Company remains well positioned for a strong 2003."
NOTICE OF CONFERENCE CALL
A conference call to review the Company's fiscal 2003 first quarter results is
scheduled for 11:30 a.m. EST on Monday, April 7. To listen to the call, dial
800-296-6518. A transcript of the conference call will be posted on the Obie
Media Web site at www.obie.com for a period of two weeks following the 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.
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) 345-4339. Web: www.obie.com.
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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: failure to conclude favorable negotiations on
pending transactions with existing transit agency partners or to successfully
assimilate expanded operations; potential impairments of liquidity or capital
resources; inability to generate sufficient advertising revenues to meet
contractual guarantees; inability to renew existing lending arrangements as they
expire; potential for cancellation or interruption of contracts with
governmental agencies; a further decline in the demand for advertising in the
areas where we conduct our business, or a deterioration of business conditions
generally in those areas; slower than expected acceptance of our innovative
display products; competitive factors, including increased competition and price
pressures; changes in the seasonality of our business; and changes in regulatory
or other external factors; as well as those factors listed from time to time in
the company's reports. 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.
- TABLES TO FOLLOW -
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OBIE MEDIA CORPORATION - CONSOLIDATED FINANCIAL INFORMATION
(UNAUDITED)
STATEMENT OF INCOME DATA:
- ------------------------- Three Months Ended February
----------------------------
2003 2002 (1)
------------- -------------
REVENUES:
Outdoor advertising $1,674,329 $1,672,678
Transit advertising 7,023,231 7,893,612
------------- -------------
Net revenue 8,697,560 9,566,290
OPERATING EXPENSES:
Production and installation 1,362,084 1,606,748
Transit and outdoor occupancy 3,624,092 3,901,483
Selling 1,795,519 2,454,808
General and administrative 1,832,937 1,971,720
Depreciation and amortization 468,952 547,377
------------- -------------
Total operating expenses 9,083,584 10,482,136
------------- -------------
Operating income (loss) (386,024) (915,846)
OTHER (INCOME) EXPENSE:
Interest expense 543,998 315,895
------------- -------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES (930,022) (1,231,741)
PROVISION FOR (BENEFIT) FROM INCOME TAXES 0 0
------------- -------------
INCOME (LOSS) FROM CONTINUING OPERATIONS
BEFORE INCOME TAXES (930,022) (1,231,741)
DISCONTINUED OPERATIONS, NET OF INCOME TAXES (112,590) (289,220)
------------- -------------
NET INCOME ($1,042,612) ($1,520,961)
============= =============
Earnings (loss) per share:
Basic and diluted, from continuing operations ($0.16) ($0.21)
Basic and diluted, discontinued operations ($0.02) ($0.05)
Basic and diluted, on net income (loss) ($0.18) ($0.26)
OTHER DATA:
EBITDA (2) (29,662) (657,689)
Weighted average shares outstanding (diluted) 5,908,577 5,908,577
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(1) Obie has adopted, effective for fiscal year 2002, the provisions of SFAS 144
and 146, which address accounting for and reporting upon the results of
discontinued operations. The fiscal 2002 data has been reclassified to conform
with the fiscal 2003 presentations.
(2) "EBITDA" (earnings before interest, taxes, depreciation and amortization) is
a measurement commonly used by out-of-home media companies. It 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
SUPPLEMENTAL DISCLOSURE
RECONCILIATION OF GAAP TO EBITDA
(Unaudited)
Three Months Ended February
2002
-------------- --------------
Reported GAAP net income $ (1,042,612) $ (1,520,961)
Interest expense 543,998 315,895
Depreciation and amortization 468,952 547,377
-------------- --------------
EBITDA $ (29,662) $ (657,689)
============== ==============
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OBIE MEDIA
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
FEB. 28 2003 NOV. 30 2002
--------------- ---------------
Cash 851,307 1,815,886
Accounts receivable 5,856,787 7,327,681
Prepaids and other current assets 5,537,481 4,990,859
Deferred tax asset 1,736,007 1,732,395
--------------- ---------------
Total current assets 13,981,582 15,866,821
Property and equipment, net 15,608,179 15,864,193
Goodwill, net 5,448,552 5,448,552
Other assets 874,160 947,322
--------------- ---------------
TOTAL ASSETS 35,912,473 38,126,888
=============== ===============
Current portion of long-term debt 15,700,693 2,847,311
Line of credit 2,980,483 2,980,483
Accounts payable 408,909 283,075
Accrued liabilities 1,377,235 1,840,217
Income taxes payable 0 0
Deferred revenue 765,242 767,637
--------------- ---------------
Total current liabilities 21,232,562 8,718,723
Deferred tax 1,578,590 1,573,729
Long-term debt, net 4,046,628 17,707,306
--------------- ---------------
Total liabilities 26,857,780 27,999,758
--------------- ---------------
Common stock 17,272,128 17,272,128
Foreign currency translation (24,474) 5,350
Retained Earnings (deficit) (8,192,960) (7,150,348)
--------------- ---------------
Shareholders equity 9,054,694 10,127,130
--------------- ---------------
TOTAL LIABILITIES AND EQUITY 35,912,473 38,126,888
=============== ===============
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