Viad Corp announced revenue, income and earnings per share for the first quarter ended March 31, 2001.
Net income for the quarter was $24,302,000, or $0.28 per share on the diluted basis, even with 2000’s first-quarter net income of $0.28 per share on net income of $26,053,000. There were 5.5 million fewer average shares outstanding in the 2001 quarter, due primarily to share repurchase programs throughout 2000 and in the first quarter of 2001. Cash earnings per share for the quarter (defined as income plus after-tax goodwill amortization) was $0.32, also even with last year.
— Revenues of ongoing operations, on a fully taxable equivalent basis, for the first quarter were $472,466,000, up 13 percent from comparable revenues of $418,202,000 in the 2000 first quarter (excluding sold businesses).
— Operating income of ongoing businesses increased 4 percent in the quarter to $57,788,000 from comparable operating income of $55,712,000 in the 2000 quarter. First-quarter operating margins were 12.2 percent, compared to 13.3 percent in the 2000 quarter.
— Cash flow (EBITDA) for the quarter was $72,675,000, up from $71,330,000 in the 2000 quarter.
Details of financial performance for Viad’s segments include the following:
— For the quarter, operating income of Payment Services increased 17 percent on an 18 percent revenue increase. Operating margins were 19.4 percent, compared with 19.6 percent in the prior year. The results were driven by continuing strong growth in official check and money order operations. Average investable balances of Payment Services for the quarter were $4.3 billion, up 28 percent from the 2000 first quarter.
— Convention and Event Services revenues increased 11 percent in the first quarter, while first-quarter operating income was down 10 percent from the prior year. Operating margins for the quarter were 8.5 percent, compared to 10.5 percent in the 2000 quarter, resulting from continued higher labor and certain show production costs. The segment continues to move aggressively forward on eliminating and controlling overhead and reducing other costs from where they were in the latter part of 2000.
“Overall results for the quarter were positive,” Robert H. Bohannon, chairman, president and chief executive officer, said. “Even with the economy softening, forecast corporate profits of other companies down and with general uncertainty in the marketplace, combined with the erosion of consumer confidence, we continue to believe that 2001 will be another good, profitable year for Viad. No doubt 2001 will be difficult, but we are working diligently to hold expenses and overhead down, and we will work hard to prudently manage all our businesses to maximize our profit potential at all levels,” he added. Viad is a $1.8 billion S&P MidCap 400 company. Major subsidiaries include Travelers Express/MoneyGram of Minneapolis, GES Exposition Services of Las Vegas and Exhibitgroup/Giltspur of Chicago. For more information, visit the company’s Web site at [www.viad.com].
For more details on Viad’s 1Q/01 results visit CardData ([www.carddata.com]).