Lee Enterprises Reports Ad Revenue Growth of 6.1% in July
DAVENPORT, Iowa--(BUSINESS WIRE)--Aug. 12, 2004--Lee Enterprises, Incorporated (NYSE:LEE), reported today that same property advertising revenue in July increased 6.1 percent over a year ago.
On a same property(2) basis, which excludes the effects of acquisitions and divestitures, retail advertising revenue increased 1.6 percent. Classified advertising revenue increased 11.3 percent, with employment up 16.2 percent, automotive up 3.7 percent, real estate up 12.2 percent, other newspaper classified categories up 11.3 percent, and classified in non-daily publications up 13.7 percent. National advertising revenue, a small category for Lee, increased 11.3 percent. Niche publication revenue increased 2.5 percent and online advertising revenue increased 24.6 percent. Circulation revenue declined 0.6 percent.
Total same property operating revenue increased 4.8 percent. Including the effect of acquisitions and divestitures, total advertising revenue increased 7.7 percent, and total operating revenue increased 6.4 percent.
Mary Junck, chairman and chief executive officer, said: "A continued strong comeback in classified fueled our growth in July, with most key categories in double digits. Retail growth continued at a slower pace, reflecting a few more bumps in what has been a gradual economic recovery."
Commenting on several recent circulation announcements in the industry, she said: "We are committed to delivering to advertisers the number of readers we promise. As you might expect, our newspapers have controls in place at crucial levels to ensure we are able to do so. Nonetheless, recent problems reported by other companies have heightened our sensitivity, and we are continuing to make the accuracy of our circulation figures a high priority."
Revenue statistics for July and year to date follow.
Lee Enterprises is based in Davenport, Iowa, and is the premier publisher of daily newspapers in midsize markets. Lee owns 38 daily newspapers and a joint interest in six others, along with associated online services. Lee also publishes nearly 200 weekly newspapers, shoppers and classified and specialty publications. Lee stock is traded on the New York Stock Exchange under the symbol LEE. More information about Lee Enterprises is available at www.lee.net.
LEE ENTERPRISES, INCORPORATED
Revenue and Statistical Summary
(Unaudited)
OPERATING REVENUE
July Year to Date
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(Thousands) 2004 2003 % 2004 2003 %
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Advertising
revenue:
Retail........... $20,614 $20,289 1.6 % $230,750 $224,288 2.9 %
National......... 1,175 1,056 11.3 14,888 12,808 16.2
Classified:
Daily
newspapers:
Employment..... 3,809 3,277 16.2 35,153 30,872 13.9
Automotive..... 3,560 3,433 3.7 33,095 33,643 (1.6)
Real estate.... 3,065 2,731 12.2 28,489 25,725 10.7
All other...... 2,545 2,287 11.3 24,279 22,959 5.7
Other
publications... 3,238 2,849 13.7 29,931 28,437 5.3
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Total classified
revenue......... 16,217 14,577 11.3 150,947 141,636 6.6
Niche
publications.... 904 882 2.5 9,098 7,104 28.1
Online........... 979 786 24.6 8,946 6,640 34.7
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Total advertising
revenue.......... 39,889 37,590 6.1 414,629 392,476 5.6
Circulation....... 10,549 10,618 (0.6) 108,005 108,184 (0.2)
Commercial
printing......... 1,390 1,342 3.6 15,993 15,556 2.8
Online services
and other........ 2,020 1,826 10.6 21,697 19,708 10.1
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Total same
property
operating
revenue.......... 53,848 51,376 4.8 560,324 535,924 4.6
Acquisitions...... 805 - NM 3,623 - NM
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Total operating
revenue.......... $54,653 $51,376 6.4 % $563,947 $535,924 5.2 %
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DAILY NEWSPAPER ADVERTISING VOLUME
July Year to Date
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(Thousands of
Inches) 2004 2003 % 2004 2003 %
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Retail............ 780 788 (1.0)% 8,518 8,500 0.2 %
National.......... 42 36 16.7 454 391 16.1
Classified........ 1,030 922 11.7 9,299 8,902 4.5
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Total, same
property......... 1,852 1,746 6.1 % 18,271 17,793 2.7 %
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NOTES:
(1) The month had one more Friday and Saturday and one fewer Tuesday
and Wednesday than the prior period. The year to date had one more
Friday and Saturday and one fewer Tuesday than the prior period.
(2) Same property comparisons exclude acquisitions and divestitures
made in the current and prior year. Same property revenue also
excludes revenue of Madison Newspapers, Inc. (MNI). Lee owns 50%
of the capital stock of MNI, which for financial reporting
purposes is reported using the equity method of accounting.
(3) The Company's fiscal year ends on September 30.
(4) The Company disclaims responsibility for updating information
beyond release date.
The Private Securities Litigation Reform Act of 1995 provides a "Safe Harbor" for forward-looking statements. This release contains information that may be deemed forward-looking and that is based largely on the Company's current expectations and is subject to certain risks, trends and uncertainties that could cause actual results to differ materially from those anticipated. Among such risks, trends and other uncertainties are changes in advertising demand, newsprint prices, interest rates, labor costs, legislative and regulatory rulings and other results of operations or financial conditions, difficulties in integration of acquired businesses or maintaining employee and customer relationships and increased capital and other costs. The words "may," "will," "would," "could," "believes," "expects," "anticipates," "intends," "plans," "projects," "considers" and similar expressions generally identify forward-looking statements. Readers are cautioned not to place undue reliance on such forward-looking statements, which are made as of the date of this release. The Company does not publicly undertake to update or revise its forward-looking statements.
CONTACT: Lee Enterprises, Incorporated, Davenport
Dan Hayes, 563-383-2100
dan.hayes@lee.net
SOURCE: Lee Enterprises, Incorporated