UNITED STATES
SECURITIES AND EXCHANGE
COMMISSION
Washington, D.C. 20549
CURRENT REPORT
PURSUANT TO
SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (date of earliest event reported):
July 13, 2005
GANNETT CO., INC.
(Exact name of registrant as specified in charter)
| Delaware | 1-6961 | 16-0442930 |
| (State or Other
Jurisdiction of Incorporation or Organization of Registrant) |
(Commission File Number) | (I.R.S. Employer Identification No.) |
| 7950 Jones Branch Drive, McLean, Virginia | 22107-0910 | |
| (Address of principal executive offices) | (Zip Code) | |
| (703) 854-6000 | ||
| (Registrant's telephone number, including area code) | ||
| Not Applicable | ||
| (Former name or former address, if changed since last report.) |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.02 Results of Operations and Financial Condition.
On July 13, 2005, Gannett Co., Inc. reported its consolidated financial results for the second quarter ended June 26, 2005. On July 13, 2005, the company also issued a press release announcing the company's statistical report for the period and quarter ended June 26, 2005. Copies of these press releases are furnished with this report as exhibits.
Item 9.01. Financial Statements and Exhibits.
(c) Exhibits
See Index to Exhibits attached hereto.
SIGNATURE
Pursuant to requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
|
Gannett Co., Inc. | ||
|
Date: July 13, 2005 |
By: | /s/George R. Gavagan |
| George R. Gavagan | ||
| Vice President and Controller |
INDEX TO EXHIBITS
| Exhibit No. |
Description | |
|
99.1 |
Gannett Co., Inc. Earnings Press Release dated July 13, 2005. | |
| 99.2 | Gannett Co., Inc. Statistical Report Press Release dated July 13, 2005. | |
News Release
Wednesday, July 13, 2005
Gannett Co., Inc. Reports Second Quarter Results
McLEAN, VA - Gannett Co., Inc. (NYSE: GCI) reported today that 2005 second quarter earnings per diluted share, on a GAAP (generally accepted accounting principles) basis, were $1.37 versus $1.30 for the second quarter of 2004, a 5.4 percent increase.
Diluted earnings per share for the first six months of 2005 were $2.41 compared with $2.29 for the same interval in 2004.
Total operating revenues for the company were $1.94 billion for the second quarter compared to $1.87 billion for the same period last year, a 3.4 percent increase. Operating cash flow (defined as operating income plus depreciation and amortization) was $634.3 million compared with $638.5 million for the same quarter a year ago. Net income was $338.6 million versus $354.4 million in 2004's second quarter.
For the first six months of 2005, total revenues were $3.73 billion, a 3.5 percent increase. Operating cash flow totaled $1.15 billion and net income was $604.4 million for the six months.
Average diluted shares outstanding in the second quarter totaled 248,009,000 compared with 273,541,000 in 2004's second quarter. Approximately 5.3 million shares were repurchased during the quarter.
Commenting on the company's results, Douglas H. McCorkindale, Chairman, President and CEO, said: "We are pleased to announce another quarter of operating revenue and earnings per share growth despite the challenges faced by our UK and broadcasting operations. Our U.S. newspapers produced industry leading ad revenue growth, benefiting from growth in local and employment classified advertising. Our operations in the United Kingdom lagged last year's results as advertising demand was impacted by the slowdown in the UK economy. Broadcasting's results were affected by a much lower level of political advertising and softer ad demand, particularly in automotive. Our results also were tempered by higher interest expense and the effect of expenses associated with a major press project at our Detroit newspaper. "
The company announced during the second quarter that Craig Dubow, President and CEO of the Gannett Broadcasting Division will become President and CEO of Gannett Co., Inc. effective July 15th.
NEWSPAPERS
Newspaper segment results in the quarter include PointRoll, Inc. acquired in June 2005 and HomeTown Communications acquired in late March 2005.
Total newspaper segment operating revenues were $1.74 billion for the quarter, a 4.7 percent increase year-over-year. Assuming Gannett had owned the same group of properties in both the full second quarter of 2005 and 2004, advertising revenues would have increased 3.1 percent. On the same basis, classified advertising rose 4.9 percent; local advertising revenues increased 2.6 percent while national revenues fell slightly. Total newspaper segment operating cash flow, which includes USA TODAY and our UK properties, rose 2.1 percent to $549.0 million, versus $537.6 million in the same quarter of 2004.
Total newspaper segment expenses rose 6.7 percent in the quarter due to acquisitions and higher newsprint and depreciation and amortization expense. Newsprint expense rose 7.2 percent reflecting higher year-over-year prices mitigated by lower usage. In addition, during the quarter, the company recorded costs associated with a new press project in Detroit.
At USA TODAY, advertising revenues declined 1.4 percent in the second quarter. Paid advertising pages totaled 1,191 compared with 1,267 in 2004's second quarter, a 6.0 percent decline. For the year-to-date, USA TODAY's advertising revenues rose 1.5 percent and paid pages totaled 2,292 compared with 2,366 for the same period in 2004.
BROADCASTING
Broadcasting segment results in the quarter include Captivate Network Inc., acquired in April 2004. In the second quarter, broadcasting revenues declined 6.9 percent to $197.9 million from $212.5 million in the same quarter in 2004. Broadcasting operating cash flow fell 13.3 percent to $98.7 million from $113.8 million in the corresponding interval in 2004.
Excluding Captivate, television revenues declined 7.9
percent, operating expenses were 1.1 percent lower and operating cash flow was
down 13.4 percent for the quarter.
NON-OPERATING ITEMS
Interest expense was $48.4 million in the quarter versus $32.0 million in the second quarter of 2004, reflecting both higher short term rates and higher debt balances related to share repurchase activity and acquisitions. During the quarter, the company issued $500 million of 3-year debt with a coupon of 4.125 percent. Other non-operating expense primarily reflects non-operating charges for minority interest and Internet investments, in part offset by investment income.
At the end of the quarter, Gannett had more than 110 domestic publishing Web sites, including USATODAY.com, one of the most popular newspaper sites on the Web. The company also had Web sites in all of its 19 television markets. In June, Gannett's consolidated domestic Internet audience share totaled 20 million unique visitors reaching approximately 13 percent of the Internet audience according to Nielsen//NetRatings. Newsquest is also an Internet leader in the United Kingdom where its network Web sites attracted more than 40 million monthly page impressions from approximately 2.9 million unique users in June.
* * *
All references in this release and attachments to "operating cash flow" are to a non-GAAP financial measure. Management believes that use of this measure allows investors and management to analyze and compare the company's performance in a more meaningful and consistent manner. A reconciliation of these non-GAAP amounts to the company's consolidated statements of income is presented on an attachment.
As previously announced, the company will hold an earnings conference call at 10:00 a.m. EDT today. The call can be accessed via a live Webcast through the Investor Relations section of the company's Web site, www.gannett.com, or listen-only conference lines, by dialing 1-888-283-6901 (in the U.S.) and 719-955-1564 (outside the U.S.) at least 10 minutes prior to the scheduled start of the call. The confirmation code for the conference call is 4475896. Replay of the conference call will be available about two hours after the live call. To access the replay, dial 1-888-203-1112 (in the U.S.) and 719-457-0820 (outside the U.S.). The confirmation code for the replay is 4475896. Materials related to the call will be available through the Investor Relations section of the company's Web site Wednesday morning.
Gannett Co., Inc. is a leading international news and information company that publishes 101 daily newspapers in the USA, including USA TODAY, the nation's largest-selling daily newspaper. The company also owns more than 800 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 21 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.
| For investor inquiries, contact: | For media inquiries, contact: |
| Jeffrey Heinz | Tara Connell |
| Director, Investor Relations | Vice President of Corporate Communications |
| 703-854-6917 | 703-854-6049 |
| jheinz@gannett.com | tjconnel@gannett.com |
# # #
CONSOLIDATED STATEMENTS OF INCOME
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands of dollars (except per share amounts)
Thirteen weeks ended % Inc
June 26, 2005 June 27, 2004 (Dec)
Net Operating Revenues:
Newspaper advertising $ 1,314,834 $ 1,252,951 4.9
Newspaper circulation 314,854 306,598 2.7
Broadcasting 197,888 212,520 (6.9)
Other 108,901 101,234 7.6
------------- ------------- ------
Total 1,936,477 1,873,303 3.4
------------- ------------- ------
Operating Expenses:
Cost of sales and operating
expenses, exclusive of
depreciation 1,000,720 946,552 5.7
Selling, general and
administrative expenses,
exclusive of depreciation 301,496 288,286 4.6
Depreciation 70,059 59,129 18.5
Amortization of intangible
assets 4,696 2,955 58.9
------------- ------------- ------
Total 1,376,971 1,296,922 6.2
------------- ------------- ------
Operating income 559,506 576,381 (2.9)
------------- ------------- ------
Non-operating income
(expense):
Interest expense (48,424) (32,042) 51.1
Other (3,039) (7,007) (56.6)
------------- ------------- ------
Total (51,463) (39,049) 31.8
------------- ------------- ------
Income before income taxes 508,043 537,332 (5.5)
Provision for income taxes 169,400 182,900 (7.4)
------------- ------------- ------
Net income $ 338,643 $ 354,432 (4.5)
============= ============= ======
Net income per share-basic $1.37 $1.31 4.6
===== ===== ======
Net income per share-diluted $1.37 $1.30 5.4
===== ===== ======
Dividends per share $0.27 $0.25 8.0
===== ===== ======
Broadcasting includes results from the company's 21 television stations and
Captivate Network, Inc. Captivate is a national news and entertainment network
which delivers programming and full motion video advertising through wireless
digital video screens in elevators of premier office towers. Captivate was
acquired in early April 2004.
CONSOLIDATED STATEMENTS OF INCOME
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands of dollars (except per share amounts)
Twenty-six weeks ended % Inc
June 26, 2005 June 27, 2004 (Dec)
Net Operating Revenues:
Newspaper advertising $ 2,532,213 $ 2,408,962 5.1
Newspaper circulation 628,593 618,987 1.6
Broadcasting 362,445 381,978 (5.1)
Other 205,323 193,060 6.4
------------- ------------- ------
Total 3,728,574 3,602,987 3.5
------------- ------------- ------
Operating Expenses:
Cost of sales and operating
expenses, exclusive of
depreciation 1,975,145 1,886,000 4.7
Selling, general and
administrative expenses,
exclusive of depreciation 598,966 571,316 4.8
Depreciation 130,962 118,103 10.9
Amortization of intangible
assets 8,501 5,338 59.3
------------- ------------- ------
Total 2,713,574 2,580,757 5.1
------------- ------------- ------
Operating income 1,015,000 1,022,230 (0.7)
------------- ------------- ------
Non-operating income
(expense):
Interest expense (93,362) (63,833) 46.3
Other (13,958) (4,157) ***
------------- ------------- ------
Total (107,320) (67,990) 57.8
------------- ------------- ------
Income before income taxes 907,680 954,240 (4.9)
Provision for income taxes 303,300 325,400 (6.8)
------------- ------------- ------
Net income $ 604,380 $ 628,840 (3.9)
============= ============= ======
Net income per share-basic $2.42 $2.32 4.3
===== ===== ======
Net income per share-diluted $2.41 $2.29 5.2
===== ===== ======
Dividends per share $0.54 $0.50 8.0
===== ===== ======
Broadcasting includes results from the company's 21 television stations and
Captivate Network, Inc. Captivate is a national news and entertainment network
which delivers programming and full motion video advertising through wireless
digital video screens in elevators of premier office towers. Captivate was
acquired in early April 2004.
BUSINESS SEGMENT INFORMATION
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands of dollars
Thirteen weeks ended % Inc
June 26, 2005 June 27, 2004 (Dec)
Net Operating Revenues:
Newspaper publishing $ 1,738,589 $ 1,660,783 4.7
Broadcasting 197,888 212,520 (6.9)
------------- ------------- ------
Total $ 1,936,477 $ 1,873,303 3.4
============= ============= ======
Operating Income (net
of depreciation and
amortization):
Newspaper publishing $ 486,076 $ 487,018 (0.2)
Broadcasting 90,739 106,291 (14.6)
Corporate (17,309) (16,928) (2.3)
------------- ------------- ------
Total $ 559,506 $ 576,381 (2.9)
============= ============= ======
Depreciation and
Amortization:
Newspaper publishing $ 62,912 $ 50,595 24.3
Broadcasting 7,944 7,550 5.2
Corporate 3,899 3,939 (1.0)
------------- ------------- ------
Total $ 74,755 $ 62,084 20.4
============= ============= ======
Operating Cash Flow:
Newspaper publishing $ 548,988 $ 537,613 2.1
Broadcasting 98,683 113,841 (13.3)
Corporate (13,410) (12,989) (3.2)
------------- ------------- ------
Total $ 634,261 $ 638,465 (0.7)
============= ============= ======
Broadcasting includes results from the company's 21 television stations and
Captivate Network, Inc. Captivate is a national news and entertainment network
which delivers programming and full motion video advertising through wireless
digital video screens in elevators of premier office towers. Captivate was
acquired in early April 2004.
Operating Cash Flow represents operating income for each of the company's
business segments plus related depreciation and amortization expense. See
attachment for reconciliation of amounts to the Consolidated Statements of
Income.
BUSINESS SEGMENT INFORMATION
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands of dollars
Twenty-six weeks ended % Inc
June 26, 2005 June 27, 2004 (Dec)
Net Operating Revenues:
Newspaper publishing $ 3,366,129 $ 3,221,009 4.5
Broadcasting 362,445 381,978 (5.1)
------------- ------------- ------
Total $ 3,728,574 $ 3,602,987 3.5
============= ============= ======
Operating Income (net
of depreciation and
amortization):
Newspaper publishing $ 899,631 $ 879,283 2.3
Broadcasting 149,423 176,449 (15.3)
Corporate (34,054) (33,502) (1.6)
------------- ------------- ------
Total $ 1,015,000 $ 1,022,230 (0.7)
============= ============= ======
Depreciation and
Amortization:
Newspaper publishing $ 115,931 $ 101,133 14.6
Broadcasting 15,644 14,431 8.4
Corporate 7,888 7,877 0.1
------------- ------------- ------
Total $ 139,463 $ 123,441 13.0
============= ============= ======
Operating Cash Flow:
Newspaper publishing $ 1,015,562 $ 980,416 3.6
Broadcasting 165,067 190,880 (13.5)
Corporate (26,166) (25,625) (2.1)
------------- ------------- ------
Total $ 1,154,463 $ 1,145,671 0.8
============= ============= ======
Broadcasting includes results from the company's 21 television stations and
Captivate Network, Inc. Captivate is a national news and entertainment network
which delivers programming and full motion video advertising through wireless
digital video screens in elevators of premier office towers. Captivate was
acquired in early April 2004.
Operating Cash Flow represents operating income for each of the company's
business segments plus related depreciation and amortization expense. See
attachment for reconciliation of amounts to the Consolidated Statements of
Income.
NON-GAAP FINANCIAL INFORMATION
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands of dollars
"Operating Cash Flow", a non-GAAP measure, is defined as operating
income plus depreciation and amortization of intangible assets.
Management believes that the use of this measure allows investors and
management to measure, analyze and compare the cash resources
generated from its business segment operations in a meaningful and
consistent manner. The focus on operating cash flow is appropriate
given the consistent and generally predictable strength of cash flow
generation by newspaper and television operations, and the short
period of time it takes to convert new orders to cash.
A reconciliation of these non-GAAP amounts to the company's operating
income, which the company believes is the most directly comparable
financial measure calculated and presented in accordance with GAAP on
the company's consolidated statements of income, follows:
Thirteen weeks ended June 26, 2005
Newspaper Consolidated
Publishing Broadcasting Corporate Total
---------- ---------- --------- ------------
Operating
cash flow $ 548,988 $ 98,683 $ (13,410) $ 634,261
Less:
Depreciation (58,625) (7,535) (3,899) (70,059)
Amortization (4,287) (409) - (4,696)
---------- ---------- --------- ------------
Operating Income $ 486,076 $ 90,739 $ (17,309) $ 559,506
========== ========== ========= ============
Thirteen weeks ended June 27, 2004
Newspaper Consolidated
Publishing Broadcasting Corporate Total
---------- ---------- --------- ------------
Operating
cash flow $ 537,613 $ 113,841 $ (12,989) $ 638,465
Less:
Depreciation (47,640) (7,550) (3,939) (59,129)
Amortization (2,955) - - (2,955)
---------- ---------- --------- ------------
Operating Income $ 487,018 $ 106,291 $ (16,928) $ 576,381
========== ========== ========= ============
Twenty-six weeks ended June 26, 2005
Newspaper Consolidated
Publishing Broadcasting Corporate Total
---------- ---------- --------- ------------
Operating
cash flow $1,015,562 $ 165,067 $ (26,166) $ 1,154,463
Less:
Depreciation (108,085) (14,989) (7,888) (130,962)
Amortization (7,846) (655) - (8,501)
---------- ---------- --------- ------------
Operating Income $ 899,631 $ 149,423 $ (34,054) $ 1,015,000
========== ========== ========= ============
Twenty-six weeks ended June 27, 2004
Newspaper Consolidated
Publishing Broadcasting Corporate Total
---------- ---------- --------- ------------
Operating
cash flow $ 980,416 $ 190,880 $ (25,625) $ 1,145,671
Less:
Depreciation (95,795) (14,431) (7,877) (118,103)
Amortization (5,338) - - (5,338)
---------- ---------- --------- ------------
Operating Income $ 879,283 $ 176,449 $ (33,502) $ 1,022,230
========== ========== ========= ============
News Release
Wednesday, July 13, 2005
Gannett Co., Inc. Releases June Statistical Report
McLEAN, VA - Gannett Co., Inc. (NYSE: GCI) reported today that total pro forma operating revenues for the sixth period ended June 26, 2005 increased slightly, resulting primarily from higher demand for advertising at the company's local, domestic newspapers offset by declines in its Broadcasting and UK operations' results. Broadcasting revenues decreased 7.7 percent reflecting, in part, significantly lower political ad spending. The exchange rate of Sterling had almost no impact on results this period as the exchange rate was virtually flat year-over-year.
June
Pro forma (assuming that all properties presently owned were owned in both periods) newspaper advertising revenues in June advanced 0.8 percent compared with the sixth period in 2004 on a 3.6 percent decline in ROP volume and a 0.2 percent decline in preprint distribution.
Pro forma local advertising revenues were up 0.9 percent on a 5.8 percent decline in ROP ad volume in June. 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., across all products, local ad revenue gains were achieved in the consumer electronics, health and telecommunications categories while the furniture, entertainment, financial, restaurants, and home improvement categories lagged last year's comparable period.
Pro forma classified revenues rose 2.6 percent in the sixth period on a 1.9 percent decline in ROP ad volume. Employment revenues rose 3.7 percent, real estate revenues were up 3.3 percent and automotive revenues were 4.7 percent lower compared to last year's sixth period. Classified results in our domestic newspapers were stronger than in the UK. Employment revenues were up 17.3 percent in the U.S.
Pro forma national advertising revenues in June were 4.7 percent lower on a 10.1 percent decline in ad volume. National volume at the company's local domestic newspapers was down 9.8 percent in the period. At USA TODAY, advertising revenues were 7.6 percent lower on a 6.4 percent decline in paid ad pages to 363 from 388. For the sixth period, at USA TODAY, strength in the automotive, financial and packaged goods categories were more than offset by weakness in the entertainment, travel, retail and telecommunications categories.
Pro forma broadcasting revenues, which include
Captivate, declined 7.7 percent in the period. Television revenues were 8.1
percent lower reflecting significantly lower political advertising. Local
revenues increased slightly while national revenues declined 19.5 percent.
Second Quarter
For the second quarter of 2005, total pro forma operating revenues increased 2.1 percent and would have increased 1.6 percent on a constant currency basis.
Newspaper advertising revenues, on a pro forma basis, for the second quarter advanced 3.1 percent and would have been 2.6 percent higher on a constant currency basis.
For the second quarter, pro forma local advertising was up 2.6 percent and would have increased 2.3 percent on a constant currency basis.
Pro forma classified revenues for the quarter were up 4.9 percent and on a constant currency basis would have been 4.0 percent higher. Employment revenues advanced 7.8 percent; real estate revenues increased 6.5 percent while auto revenues were 5.0 percent lower. On a constant currency basis for the quarter, employment and real estate revenues would have been up 6.8 percent and 5.4 percent, respectively, while auto revenues would have been down 5.5 percent.
Pro forma national advertising was down slightly for the second quarter. At USA TODAY, advertising revenues fell 1.4 percent in the second quarter. Paid advertising pages totaled 1,191 compared with 1,267 in the second quarter of 2004, a 6.0 percent decline.
Pro forma broadcasting revenues for the quarter
declined 6.9 percent and television revenues were 7.9 percent lower reflecting
lower political advertising. Based on current pacings, television revenues for
the third quarter of 2005 would be below last year's third quarter in the high
teens. This is due, in part, to the absence of very significant political and
Olympic advertising that benefited the third quarter of 2004.
* * *
In addition to the revenue and statistical summary, attached is a chart which shows the consolidated Gannett Online audience share from Nielsen//Net Ratings. In June, Gannett's consolidated domestic Internet audience share totaled 20 million unique visitors reaching approximately 13 percent of the Internet audience. Newsquest is also an Internet leader in the United Kingdom where its network Web sites attracted more than 40 million monthly page impressions from approximately 2.9 million unique users in June.
The pro forma advertising and circulation revenue statistics include the results for HomeTown Communications (acquired in late March 2005), Captivate (acquired in April 2004) and NurseWeek (acquired in February 2004). The pro forma other revenue statistics include the results for PointRoll, Inc. (acquired in June 2005). Ad linage for Newsquest, Clipper and NurseWeek are 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.
Gannett Co., Inc. is a leading international news and information company that publishes 101 daily newspapers in the USA, including USA TODAY, the nation's largest-selling daily newspaper. The company also owns more than 800 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 21 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: Jeff Heinz
Director, Investor Relations
703-854-6917
jheinz@gannett.com
# # #
GANNETT CO., INC.
REVENUE & STATISTICAL SUMMARY
Period 6 (May 30, 2005 - June 26, 2005)
%
2005 2004 CHANGE CHANGE
REVENUES:
Advertising:
Local $ 173,693,000 $ 172,181,000 $ 1,512,000 0.9
National 64,175,000 67,316,000 (3,141,000) (4.7)
Classified 191,133,000 186,293,000 4,840,000 2.6
------------- ------------- ------------ ----
Total Advertising $ 429,001,000 $ 425,790,000 $ 3,211,000 0.8
Circulation 99,584,000 98,298,000 1,286,000 1.3
Other revenue 36,189,000 34,398,000 1,791,000 5.2
Broadcasting 58,332,000 63,167,000 (4,835,000) (7.7)
------------- ------------- ------------ ----
Total Revenue $ 623,106,000 $ 621,653,000 $ 1,453,000 0.2
============= ============= ============ ====
VOLUME:
Newspaper Inches:
Local 2,843,405 3,017,521 (174,116) (5.8)
National 311,326 346,275 (34,949) (10.1)
Classified 4,892,588 4,987,374 (94,786) (1.9)
------------- ------------- ------------ ----
Total ROP 8,047,319 8,351,170 (303,851) (3.6)
============= ============= ============ ====
Preprint Distribution
(in thousands) 925,126 926,909 (1,783) (0.2)
============= ============= ============ ====
NET PAID CIRCULATION:
Morning (w/USAT) 6,778,261 6,946,351 (168,090) (2.4)
Evening 1,152,648 1,206,935 (54,287) (4.5)
------------- ------------- ------------ ----
Total Daily 7,930,909 8,153,286 (222,377) (2.7)
============= ============= ============ ====
Sunday 6,584,170 6,810,629 (226,459) (3.3)
============= ============= ============ ====
Year-to-Date through June 26, 2005
%
2005 2004 CHANGE CHANGE
REVENUES:
Advertising:
Local $ 1,060,781,000 $ 1,018,221,000 $ 42,560,000 4.2
National 393,191,000 386,309,000 6,882,000 1.8
Classified 1,093,774,000 1,046,389,000 47,385,000 4.5
------------- ------------- ------------ ----
Total Advertising $ 2,547,746,000 $ 2,450,919,000 $ 96,827,000 4.0
Circulation 630,250,000 622,575,000 7,675,000 1.2
Other revenue 215,296,000 199,096,000 16,200,000 8.1
Television 362,445,000 384,638,000 (22,193,000) (5.8)
------------- ------------- ------------ ----
Total Revenue $ 3,755,737,000 $ 3,657,228,000 $ 98,509,000 2.7
============= ============= ============ ====
VOLUME:
Newspaper Inches:
Local 18,130,258 18,516,766 (386,508) (2.1)
National 1,949,748 2,117,657 (167,909) (7.9)
Classified 29,699,667 30,155,303 (455,636) (1.5)
------------- ------------- ------------ ----
Total ROP 49,779,673 50,789,726 (1,010,053) (2.0)
============= ============= ============ ====
Preprint Distribution
(in thousands) 5,652,144 5,473,207 178,937 3.3
============= ============= ============ ====
NET PAID CIRCULATION:
Morning (w/USAT) 7,020,571 7,167,936 (147,365) (2.1)
Evening 1,175,515 1,224,358 (48,843) (4.0)
------------- ------------- ------------ ----
Total Daily 8,196,086 8,392,294 (196,208) (2.3)
============= ============= ============ ====
Sunday 6,740,869 6,947,508 (206,639) (3.0)
============= ============= ============ ====
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 PointRoll, Inc. (acquired in June
2005), HomeTown Communications (acquired in late March 2005), Captivate
(acquired in April 2004) and NurseWeek (acquired in February 2004).
PointRoll is a marketing services company with a suite of media products
that delivers enhanced online marketing opportunities for advertisers,
agencies and online publishers. PointRoll is included above in Other
revenue. HomeTown is a community publishing company with one daily
newspaper, 62 non-daily community newspapers, 24 community telephone
directories and other specialty and niche publications. Captivate is a
national news and entertainment network that delivers programming and full
motion video advertising through wireless digital video screens in
elevators of premier office towers. Captivate is included above in
Broadcasting revenue. NurseWeek is a multimedia company with print
publications focused on the recruitment,recognition and education of
nurses.
Newsquest 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 17 paid daily newspapers are
included above. Circulation volume statistics for Sunday Herald are
included above in the Sunday statistics. 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.
Circulation volume and advertising linage statistics for non-daily
products, including NurseWeek and Clipper Magazine are not reflected above.
GANNETT CO., INC.
REVENUE & STATISTICAL SUMMARY
2nd Quarter (March 28, 2005 - June 26, 2005)
%
2005 2004 CHANGE CHANGE
REVENUES:
Advertising:
Local $ 549,394,000 $ 535,652,000 $ 13,742,000 2.6
National 202,446,000 203,123,000 (677,000) (0.3)
Classified 562,991,000 536,722,000 26,269,000 4.9
------------- ------------- ------------ ----
Total Advertising $ 1,314,831,000 $ 1,275,497,000 $ 39,334,000 3.1
Circulation 314,857,000 308,441,000 6,416,000 2.1
Other revenue 112,821,000 104,300,000 8,521,000 8.2
Broadcasting 197,888,000 212,520,000 (14,632,000) (6.9)
------------- ------------- ------------ ----
Total Revenue $ 1,940,397,000 $ 1,900,758,000 $ 39,639,000 2.1
============= ============= ============ ====
VOLUME:
Newspaper Inches:
Local 9,371,047 9,724,099 (353,052) (3.6)
National 998,139 1,079,851 (81,712) (7.6)
Classified 15,430,146 15,679,255 (249,109) (1.6)
------------- ------------- ------------ ----
Total ROP 25,799,332 26,483,205 (683,873) (2.6)
============= ============= ============ ====
Preprint Distribution 2,902,335 2,842,490 59,845 2.1
(in thousands) ============= ============= ============ ====
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 PointRoll, Inc. (acquired in June
2005), HomeTown Communications (acquired in late March 2005), Captivate
(acquired in April 2004) and NurseWeek (acquired in February 2004).
PointRoll is a marketing services company with a suite of media products
that delivers enhanced online marketing opportunities for advertisers,
agencies and online publishers. PointRoll is included above in Other
revenue. HomeTown is a community publishing company with one daily
newspaper, 62 non-daily community newspapers, 24 community telephone
directories and other specialty and niche publications. Captivate is a
national news and entertainment network that delivers programming and full
motion video advertising through wireless digital video screens in
elevators of premier office towers. Captivate is included above in
Broadcasting revenue. NurseWeek is a multimedia company with print
publications focused on the recruitment, recognition and education of
nurses.
Newsquest 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 17 paid daily newspapers are
included above. Circulation volume statistics for Sunday Herald are
included above in the Sunday statistics. 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.
Circulation volume and advertising linage statistics for non-daily
products, including NurseWeek and Clipper Magazine are not reflected above.
Gannett Online Internet Audience
June 2005
Nielsen//NetRatings
Home/Work Panel Combined
|
Unique Visitors Per Month |
Percentage Reach of Internet Audience |
|
| Gannett Online |
19,937,000 |
13.1% |