Lee Enterprises Reports Revenue Growth
DAVENPORT, Iowa--(BUSINESS WIRE)--July 19, 2004--Lee Enterprises, Incorporated (NYSE:LEE), reported today that same property advertising revenue in May and June increased 6.2 percent over a year ago.
Separate May and June comparisons with the previous year are distorted by the movement of an additional Sunday between periods. May 2004 and June 2003 each included five Sundays, while May 2003 and June 2004 each included four Sundays. Even without the additional Sunday, however, same property advertising revenue in June 2004 exceeded a year ago by 2.9 percent, and total same property operating revenue exceeded last year by 2.2 percent. Including the impact of acquisitions, and without the additional Sunday, total advertising revenue in June increased 3.9 percent over a year ago, and total operating revenue increased 3.1 percent.
For the two months combined, on a same property(2) basis, which excludes the impact of acquisitions and divestitures made in the current or prior year, retail advertising revenue increased 3.4 percent over the previous year, and classified revenue climbed 6.8 percent, with employment up 24.2 percent, automotive down 5.6 percent, real estate up 10.4 percent, other newspaper classified categories up 6.6 percent, and classified in non-daily publications down 0.8 percent. National advertising revenue, a small category for Lee, increased 15.7 percent. Niche publication revenue increased 36.2 percent and online advertising revenue increased 33.3 percent. Circulation revenue decreased 0.5 percent. Total same property operating revenue increased 5.2 percent. Including the impact of acquisitions, total advertising revenue for May and June increased 7.4 percent, and total operating revenue increased 6.3 percent.
The following tables combine May and June operating revenue and volume to eliminate the effect of the Sunday exchanges and facilitate comparison.
May-June Combined
----------------------------------------------------------------------
(Thousands) 2004 2003 %
----------------------------------------------------------------------
Advertising revenue:
Retail.................................... $47,486 $45,915 3.4%
National.................................. 3,065 2,649 15.7
Classified:
Daily newspapers:
Employment............................ 8,129 6,545 24.2
Automotive............................ 6,744 7,141 (5.6)
Real estate........................... 6,188 5,603 10.4
All other............................. 5,946 5,578 6.6
Other publications...................... 6,059 6,107 (0.8)
----------------------------------------------------------------------
Total classified revenue.................. 33,066 30,974 6.8
Niche publications........................ 1,985 1,457 36.2
Online.................................... 2,035 1,527 33.3
----------------------------------------------------------------------
Total advertising revenue................... 87,637 82,522 6.2
Circulation................................. 21,653 21,764 (0.5)
Commercial printing......................... 3,289 3,259 0.9
Online services and other................... 4,648 3,912 18.8
----------------------------------------------------------------------
Total same property operating revenue....... 117,227 111,457 5.2
Acquisitions................................ 1,239 - NM
----------------------------------------------------------------------
Total operating revenue..................... $118,466 $111,457 6.3%
======================================================================
DAILY NEWSPAPER ADVERTISING VOLUME
May-June Combined
----------------------------------------------------------------------
(Thousands of Inches) 2004 2003 %
----------------------------------------------------------------------
Retail...................................... 1,712 1,679 2.0%
National.................................... 94 84 11.9
Classified.................................. 2,038 1,966 3.7
----------------------------------------------------------------------
Total, same property........................ 3,844 3,729 3.1%
======================================================================
Revenue statistics for June, year to date and quarter 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
June Nine Months Ended June 30
----------------------------------------------------------------------
(Thousands) 2004 2003 % 2004 2003 %
----------------------------------------------------------------------
Advertising
revenue:
Retail............ $22,237 $22,295 (0.3)% $210,136 $203,999 3.0%
National.......... 1,556 1,302 19.5 13,713 11,752 16.7
Classified:
Daily newspapers:
Employment...... 3,881 3,398 14.2 31,344 27,595 13.6
Automotive...... 3,214 3,465 (7.2) 29,535 30,210 (2.2)
Real estate..... 3,014 2,908 3.6 25,424 22,994 10.6
All other....... 2,917 2,934 (0.6) 21,734 20,672 5.1
Other
publications.... 2,892 2,845 1.7 26,693 25,588 4.3
----------------------------------------------------------------------
Total classified
revenue........... 15,918 15,550 2.4 134,730 127,059 6.0
Niche publications. 950 524 81.3 8,194 6,222 31.7
Online............. 953 776 22.8 7,967 5,854 36.1
----------------------------------------------------------------------
Total advertising
revenue........... 41,614 40,447 2.9 374,740 354,886 5.6
Circulation........ 10,403 10,969 (5.2) 97,456 97,566 (0.1)
Commercial printing 1,589 1,524 4.3 14,603 14,214 2.7
Online services and
other............. 2,350 1,825 28.8 19,677 17,882 10.0
----------------------------------------------------------------------
Total same property
operating revenue. 55,956 54,765 2.2 506,476 484,548 4.5
Acquisitions....... 519 - NM 2,818 - NM
----------------------------------------------------------------------
Total operating
revenue........... $56,475 $54,765 3.1% $509,294 $484,548 5.1%
======================================================================
DAILY NEWSPAPER ADVERTISING VOLUME
June Nine Months Ended June 30
----------------------------------------------------------------------
(Thousands of
Inches) 2004 2003 % 2004 2003 %
----------------------------------------------------------------------
Retail............. 813 810 0.4% 7,738 7,712 0.3%
National........... 50 38 31.6 412 355 16.1
Classified......... 992 982 1.0 8,269 7,980 3.6
----------------------------------------------------------------------
Total, same
property.......... 1,855 1,830 1.4% 16,419 16,047 2.3%
======================================================================
LEE ENTERPRISES, INCORPORATED
Revenue and Statistical Summary
(Unaudited)
OPERATING REVENUE
Three Months Ended June 30
----------------------------------------------------------------------
(Thousands) 2004 2003 %
----------------------------------------------------------------------
Advertising revenue:
Retail................................... $70,495 $68,408 3.1%
National................................. 4,469 3,943 13.3
Classified:
Daily newspapers:
Employment........................... 11,819 9,697 21.9
Automotive........................... 10,156 10,465 (3.0)
Real estate.......................... 8,944 8,200 9.1
All other............................ 8,578 7,781 10.2
Other publications..................... 9,459 8,936 5.9
----------------------------------------------------------------------
Total classified revenue................. 48,956 45,079 8.6
Niche publications....................... 3,081 2,225 38.5
Online................................... 2,993 2,235 33.9
----------------------------------------------------------------------
Total advertising revenue.................. 129,994 121,890 6.6
Circulation................................ 32,129 32,312 (0.6)
Commercial printing........................ 5,186 4,840 7.1
Online services and other.................. 6,918 5,922 16.8
----------------------------------------------------------------------
Total same property operating revenue...... 174,227 164,964 5.6
Acquisitions............................... 1,739 - NM
----------------------------------------------------------------------
Total operating revenue.................... $175,966 $164,964 6.7%
======================================================================
DAILY NEWSPAPER ADVERTISING VOLUME
Three Months Ended June 30
----------------------------------------------------------------------
(Thousands of Inches) 2004 2003 %
----------------------------------------------------------------------
Retail..................................... 2,564 2,502 2.5%
National................................... 141 123 14.6
Classified................................. 2,995 2,871 4.3
----------------------------------------------------------------------
Total, same property....................... 5,700 5,496 3.7%
======================================================================
NOTES:
(1) May and June combined had one more Tuesday and Wednesday and one
fewer Thursday and Friday than the prior year. June had one more
Tuesday and Wednesday and one fewer Sunday and Monday than the
prior year. The year to date had one more Wednesday than the prior
year.
(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