Surpassed 1 million paid digital-only
subscribers Generated nearly $100 million of asset sales to
accelerate debt paydown, subsequent to quarter-end Ended the
quarter with $189 million of cash and cash equivalents Implemented
$218 million in annualized synergies year to date
Gannett Co., Inc. ("Gannett", "we", "us", "our", or "the
Company") (NYSE:GCI) today reported its financial results for the
third quarter ended September 30, 2020.
“Our third quarter results showed a significant and rapid
rebound from the second quarter impact of the COVID pandemic and
economic shut down,” said Michael Reed, Gannett Chairman and Chief
Executive Officer. “Our same store revenue trend, though down 19.6%
year over year, improved meaningfully over our second quarter trend
of down 28.0% year over year. Third quarter Adjusted EBITDA was $88
million, up from $78 million in the second quarter. These results
are particularly encouraging given the seasonal drag that we
usually experience in the third quarter. We also reached a major
milestone in our digital subscription growth, surpassing 1 million
digital subscriptions during the quarter, thanks to continued
strong growth of more than 31% year over year. As we continue to
focus on transitioning to a subscription-led business model, we
expect to leverage this important milestone to accelerate growth in
2021 and beyond.”
"We are also pleased to announce substantial progress on debt
repayment and a strong liquidity position. Since the beginning of
the fourth quarter, we have sold approximately $100 million of
non-core assets and real estate. We'll apply the net proceeds of
these sales to reduce our total debt outstanding to $1.633 billion.
We are targeting another $100 million of debt repayment by early
next year and remain focused on refinancing our credit agreement
during the first half of 2021. In the meantime, our effective cost
management and synergy implementation continue to bolster our
liquidity; we ended the quarter with $189 million in cash on the
balance sheet."
Financial Highlights
in thousands
Third quarter 2020
GAAP operating revenue
$814,539
GAAP net loss attributable to Gannett
(31,260)
Adjusted EBITDA(1) (non-GAAP)
87,980
Net cash flow provided by operating
activities (GAAP basis)
49,640
Free cash flow(1) (non-GAAP)
42,853
(1) Refer to “Use of Non-GAAP Information”
below for the Company’s definition of Adjusted EBITDA and Free Cash
Flow, and reconciliations to the most comparable GAAP measures.
Third Quarter 2020 Consolidated
Results
Note:
During the comparable period in 2019 until November 19, 2019, our
corporate name was New Media Investment Group Inc. ("New Media"),
and Gannett Co., Inc. (“Legacy Gannett”) was a separate publicly
traded company. On November 19, 2019, we completed the acquisition
of Legacy Gannett and changed our name to Gannett Co., Inc.
- Third quarter revenues of $814.5 million rose 116.3% as
compared to the prior year, reflecting the acquisition of Legacy
Gannett.
- Same store pro forma revenues (as defined and reconciled below)
decreased 19.6%, due to unfavorable impacts resulting from the
COVID-19 pandemic and general trends adversely impacting the
publishing industry.
- Digital advertising and marketing services revenues were $197.2
million in the third quarter, or 24.2% of total revenues.
- Over $218 million in annualized synergy measures were
implemented by the end of the third quarter, with approximately
$54.5 million in savings recognized in the quarter.
- On a pro forma basis, operating expenses included in Adjusted
EBITDA decreased 19.3% to the prior year quarter due to the
implementations of synergies, normal course cost reductions, and
temporary expense actions in response to the COVID-19
pandemic.
- GAAP net loss attributable to Gannett of $31.3 million in the
third quarter reflects $61.4 million of depreciation and
amortization.
- Adjusted EBITDA totaled $88.0 million. Margins in the quarter
were 10.8%, despite the pressures from the COVID-19 pandemic.
Balance Sheet & Cash
Flow
- As of the end of the third quarter, the Company had cash and
cash equivalents of $189.0 million.
- During the quarter, the Company repaid $8.6 million in
principal under its credit facility.
- Total debt outstanding at the end of the third quarter was
$1.732 billion.
- Net debt outstanding at the end of the third quarter was $1.543
billion.
- Capital expenditures were $6.8 million, reflecting investments
related to digital product development, real estate projects and
ongoing facility consolidations. We expect capital expenditures to
be between $9 - $10 million in the fourth quarter.
- Cash flow provided by operations in the third quarter of 2020
was $49.6 million compared to cash flow provided of $40.9 million
for the prior year quarter primarily driven by increases in working
capital partially offset by interest paid and integration costs
related to the acquisition of Legacy Gannett.
- Subsequent to the end of the quarter, the Company closed on the
sales of:
- Approximately $95 million of non-core assets including
BridgeTower Media, our business publications unit, the Nantucket
Inquirer & Mirror, and other non-core assets, and
- Approximately $5 million of real estate sales.
- Net proceeds will be used to pay down outstanding debt to
$1.633 billion.
COVID-19 Response
- Maintained our previously stated efforts to strengthen our
balance sheet and preserve liquidity, adapt our workplaces, promote
the health and safety of our employees, and support our communities
through high-quality journalism and the creation of innovative
solutions to support small businesses.
Publishing Segment
- Publishing segment revenues totaled $732.2 million in the third
quarter.
- Circulation revenues totaled $336.2 million in the third
quarter.
- Same store pro forma circulation revenues decreased 13.2% in
the third quarter, partially stemming from a reduction in volume of
our single copy and home delivery sales, reflecting the impact of
the COVID-19 pandemic on businesses that sell single copies of our
publications as well as general industry trends.
- Print advertising revenues totaled $208.2 million in the third
quarter.
- Same store pro forma print advertising revenues decreased 30.9%
compared to the prior year reflecting the negative impact from the
COVID-19 pandemic.
- Digital advertising and marketing services revenues were $121.3
million in the third quarter.
- Same store pro forma digital advertising and marketing services
revenues decreased 13.5% versus the prior year period, reflecting
the impacts from the COVID-19 pandemic.
- Commercial printing and other revenues contributed $66.6
million in the third quarter.
- Paid digital-only subscribers now total approximately 1.029
million, up 31.1% year-over-year on a pro forma basis.
- Publishing segment Adjusted EBITDA was $108.8 million,
representing a margin of 14.9% for the quarter.
Marketing Solutions
Segment
- Marketing Solutions segment revenues were $105.4 million in the
third quarter.
- Same store pro forma Marketing Solutions segment revenues
decreased by 17.4% to the prior year, an improvement to the second
quarter, which was driven by stronger national and large account
sales offset by continued impacts from the COVID-19 pandemic that
began in the latter part of the first quarter.
- Marketing Solutions segment Adjusted EBITDA was $4.2 million,
representing a margin of 4.0% for the quarter.
Integration Update
- Implemented cumulative measures by the end of the third quarter
that will result in over $218 million in annualized savings.
- Realized $54.5 million in savings in the third quarter.
- Expect to have implemented measures that will result in over
$240 million in annualized savings by the end of the fourth
quarter.
- Expect to realize $60 - $65 million in savings during the
fourth quarter.
- Management remains highly confident in its ability to implement
measures by the end of 2021 that are expected to result in $300
million in annualized synergies.
Earnings Conference Call
Management will host a conference call on Tuesday, November 3,
2020 at 8:30 A.M. Eastern Time. A copy of the earnings release will
be posted to the Investor Relations section of Gannett’s website,
investors.gannett.com. All interested parties are welcome to
participate on the live call. The conference call may be accessed
by dialing 1-855-319-1124 (from within the U.S.) or 1-703-563-6359
(from outside of the U.S.) ten minutes prior to the scheduled start
of the call; please reference “Gannett Third Quarter Earnings Call”
or access code “4297697”. A simultaneous webcast of the conference
call will be available to the public on a listen-only basis at
investors.gannett.com. Please allow extra time prior to the call to
visit the website and download any necessary software required to
listen to the internet broadcast. A telephonic replay of the
conference call will also be available approximately two hours
following the call’s completion through 11:59 P.M. Eastern Time on
Thursday, November 19, 2020 by dialing 1-855-859-2056 (from within
the U.S.) or 1-404-537-3406 (from outside of the U.S.); please
reference access code “4297697”.
About Gannett
Gannett Co., Inc. (NYSE:GCI) is an innovative, digitally focused
media and marketing solutions company committed to the communities
in our network and helping them build relationships with their
local businesses. With an unmatched reach at the national and local
level, Gannett touches the lives of millions with our
Pulitzer-Prize winning content, consumer experiences and benefits,
and advertiser products and services. Its portfolio includes the
USA TODAY, local media organizations in 46 states in the U.S. and
Guam, and Newsquest, a wholly owned subsidiary with over 140 local
media brands operating in the United Kingdom. Gannett also owns the
digital marketing services companies ReachLocal, Inc., UpCurve,
Inc., and WordStream, Inc. and runs the largest media-owned events
business in the U.S., Gannett Ventures, formerly GateHouse Live. To
connect with us, visit www.gannett.com.
Same Store Pro Forma
Revenues
Same store pro forma revenues are based on (i) the sum of GAAP
revenues for New Media and Legacy Gannett prior to New Media's
acquisition of Legacy Gannett and (ii) GAAP revenues for Gannett
for the current period, excluding (1) revenues related to 2019
acquisitions from the beginning of 2020 through the first year
anniversary of the applicable acquisition date, (2) exited
operations, (3) currency impacts, and (4) deferred revenue impacts
related to the acquisition of Legacy Gannett.
Cautionary Statement Regarding
Forward-Looking Statements
Certain items in this press release may constitute
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995, including, but not
limited to, statements regarding our ability to execute our
operational and integration plans, including our ability to achieve
synergies and the related expected savings, the timing of realizing
those savings, our ability to achieve $300 million of synergies
through measures expected to be implemented by the end of 2021, our
expected capital expenditures, our expectations, in terms of both
amount and timing, with respect to debt repayment, real estate
sales and debt refinancing, future revenue trends and our ability
to influence trends. These statements are based on management’s
current expectations and beliefs and are subject to a number of
risks and uncertainties. These and other risks and uncertainties
could cause actual results to differ materially from those
described in the forward-looking statements, many of which are
beyond our control. The Company can give no assurance its
expectations will be attained. Accordingly, you should not place
undue reliance on any forward-looking statements contained in this
press release. For a discussion of some of the risks and important
factors that could cause actual results to differ from such
forward-looking statements, see the risks and other factors
detailed from time to time in the Company’s Annual Report on Form
10-K, Quarterly Reports on Form 10-Q, and other filings with the
Securities and Exchange Commission. Furthermore, new risks and
uncertainties emerge from time to time, and it is not possible for
the Company to predict or assess the impact of every factor that
may cause its actual results to differ from those contained in any
forward-looking statements. Such forward-looking statements speak
only as of the date of this press release. The Company expressly
disclaims any obligation to release publicly any updates or
revisions to any forward-looking statements contained herein to
reflect any change in the Company’s expectations with regard
thereto or change in events, conditions or circumstances on which
any statement is based.
CONSOLIDATED BALANCE SHEETS
Gannett Co., Inc. and Subsidiaries
In thousands (except per share
amounts)
Table No. 1
September 30, 2020
December 31, 2019
Assets
(Unaudited)
Current assets
Cash and cash equivalents
$
188,960
$
156,042
Accounts receivable, net of allowance for
doubtful accounts of $23,749 and $19,923
288,400
438,523
Inventories
33,776
55,090
Prepaid expenses and other current
assets
115,137
129,460
Total current assets
626,273
779,115
Property, plant and equipment, at cost net
of accumulated depreciation of $377,072 and $277,291
704,931
815,807
Operating lease assets
295,775
309,112
Goodwill
560,215
914,331
Intangible assets, net
893,721
1,012,564
Deferred income tax assets
97,369
76,297
Other assets
136,019
112,876
Total assets
$
3,314,303
$
4,020,102
Liabilities and equity
Current liabilities
Accounts payable and accrued
liabilities
$
340,840
$
453,628
Deferred revenue
207,597
218,823
Current portion of long-term debt
15,179
3,300
Other current liabilities
46,558
42,702
Total current liabilities
610,174
718,453
Long-term debt
1,615,984
1,636,335
Convertible debt
3,300
3,300
Deferred tax liabilities
6,256
9,052
Pension and other postretirement benefit
obligations
198,220
235,906
Long-term operating lease liabilities
280,556
297,662
Other long-term liabilities
169,536
136,188
Total noncurrent liabilities
2,273,852
2,318,443
Total liabilities
2,884,026
3,036,896
Redeemable noncontrolling interests
4,148
1,850
Commitments and contingent
liabilities
Equity
Common stock of $0.01 par value per share,
2,000,000,000 shares authorized, 137,478,696 issued and 136,305,720
shares outstanding at September 30, 2020; 129,386,258 issued and
128,991,544 shares outstanding at December 31, 2019
1,375
1,294
Treasury stock at cost, 1,172,976 and
394,714 shares at September 30, 2020 and December 31, 2019,
respectively
(4,841
)
(2,876
)
Additional paid-in capital
1,100,269
1,090,694
Accumulated deficit
(664,263
)
(115,958
)
Accumulated other comprehensive income
(loss)
(6,411
)
8,202
Total equity
426,129
981,356
Total liabilities and equity
$
3,314,303
$
4,020,102
CONSOLIDATED STATEMENTS OF
OPERATIONS
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands (except per share
amounts)
Table No. 2
Three months ended
Fiscal year ended
September 30, 2020
September 29, 2019
Operating revenues:
Advertising and marketing services
$
405,227
$
184,078
Circulation
336,158
146,254
Other
73,154
46,317
Total operating revenues
814,539
376,649
Operating expenses:
Operating costs
492,342
218,369
Selling, general and administrative
expenses
241,652
119,821
Depreciation and amortization
61,355
24,482
Integration and reorganization costs
13,417
3,136
Acquisition costs
1,913
12,181
Asset impairments
1,585
—
Loss on sale or disposal of assets
795
602
Total operating expenses
813,059
378,591
Operating income (loss)
1,480
(1,942
)
Non-operating (income)
expenses:
Interest expense
58,063
10,030
Loss on early extinguishment of debt
476
—
Non-operating pension income
(18,334
)
(208
)
Gain on sale of investments
(7,800
)
—
Other income, net
(2,575
)
(22
)
Non-operating expenses
29,830
9,800
Net loss before income taxes
(28,350
)
(11,742
)
Income tax expense
3,098
7,226
Net loss
$
(31,448
)
$
(18,968
)
Net loss attributable to redeemable
noncontrolling interests
(188
)
(505
)
Net loss attributable to
Gannett
$
(31,260
)
$
(18,463
)
Loss per share attributable to Gannett -
basic
$
(0.24
)
$
(0.31
)
Loss per share attributable to Gannett -
diluted
$
(0.24
)
$
(0.31
)
Dividends declared per share
$
0.00
$
0.38
CONDENSED CONSOLIDATED STATEMENTS OF
CASH FLOWS
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands
Table No. 3
Nine months ended
September 30, 2020
September 29,
2019
Cash flows from operating activities:
Net loss
$
(549,885
)
$
(25,708
)
Adjustments to reconcile net loss to
operating cash flows:
Depreciation and amortization
205,706
68,733
Equity-based compensation expense
22,812
2,534
Non-cash interest expense
17,813
1,034
Loss on sale or disposal of assets
1,540
3,339
Loss on early extinguishment of debt
1,650
—
Goodwill and intangible impairments
393,446
—
Asset impairments
8,444
2,469
Pension and other postretirement benefit
obligations, net of contributions
(77,274
)
(1,116
)
Change in other assets and liabilities,
net
50,028
47,245
Net cash provided by operating
activities
74,280
98,530
Cash flows from investing activities:
Acquisitions, net of cash acquired
—
(49,666
)
Purchase of property, plant and
equipment
(28,944
)
(7,281
)
Proceeds from sale of real estate and
other assets
26,186
10,314
Insurance proceeds received for damage to
property
1,643
—
Change in other investing activities
(864
)
—
Net cash used for investing
activities
(1,979
)
(46,633
)
Cash flows from financing activities:
Repayments under term loans
(27,619
)
(11,296
)
Borrowings under revolving credit
facility
—
136,400
Repayments under revolving credit
facility
—
(128,400
)
Deferred payments for acquisitions
(7,544
)
—
Payments for employee taxes withheld from
stock awards
(1,960
)
(716
)
Issuance of common stock
4
—
Payment of dividends
—
(68,886
)
Changes in other financing activities
(352
)
—
Net cash used for financing
activities
(37,471
)
(72,898
)
Effect of currency exchange rate change on
cash
439
—
Increase (decrease) in cash, cash
equivalents and restricted cash
35,269
(21,001
)
Balance of cash, cash equivalents and
restricted cash at beginning of period
188,664
52,770
Balance of cash, cash equivalents and
restricted cash at end of period
$
223,933
$
31,769
SEGMENT INFORMATION
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands
Table No. 4
Three months ended
September 30, 2020
September 29, 2019
Operating revenues:
Publishing
$
732,226
$
366,259
Marketing Solutions
105,443
26,674
Corporate and Other
2,732
970
Intersegment eliminations
(25,862
)
(17,254
)
Total
$
814,539
$
376,649
Adjusted EBITDA:
Publishing
$
108,752
$
58,955
Marketing Solutions
4,177
(1,697
)
Corporate and Other
(24,949
)
(12,352
)
Total
$
87,980
$
44,906
Depreciation and amortization:
Publishing
$
52,481
$
23,840
Marketing Solutions
6,768
764
Corporate and Other
2,106
(122
)
Total
$
61,355
$
24,482
PRO FORMA SAME STORE REVENUES
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands
Table No. 5
Three months ended
September 30, 2020
September 29, 2019
% Change
Pro forma total revenue
$
814,539
$
1,012,219
(19.5
)%
Acquired revenues
—
—
***
Currency impact
(2,276
)
—
***
Exited operations
(3
)
(649
)
(99.5
)%
Deferred revenue adjustment
563
—
***
Same store total revenue
$
812,823
$
1,011,570
(19.6
)%
Pro forma advertising and marketing
services revenue
$
405,227
$
529,301
(23.4
)%
Acquired revenues
—
—
***
Currency impact
(1,393
)
—
***
Exited operations
(3
)
(364
)
(99.2
)%
Deferred revenue adjustment
185
—
***
Same store advertising and marketing
services revenue
$
404,016
$
528,937
(23.6
)%
Pro forma circulation revenue
$
336,158
$
386,845
(13.1
)%
Acquired revenues
—
—
***
Currency impact
(731
)
—
***
Exited operations
—
(83
)
(100.0
)%
Deferred revenue adjustment
378
—
***
Same store circulation revenue
$
335,805
$
386,762
(13.2
)%
Pro forma other revenue
$
73,154
$
96,073
(23.9
)%
Acquired revenues
—
—
***
Currency impact
(152
)
—
***
Exited operations
—
(202
)
(100.0
)%
Same store other revenue
$
73,002
$
95,871
(23.9
)%
*** Indicates an absolute value percentage
change greater than 100
USE OF NON-GAAP
INFORMATION
The Company uses non-GAAP financial performance and liquidity
measures to supplement the financial information presented on a
GAAP basis. These non-GAAP financial measures, which may not be
comparable to similarly titled measures reported by other
companies, should not be considered in isolation from or as a
substitute for the related GAAP measures and should be read
together with financial information presented on a GAAP basis.
The Company defines its non-GAAP measures as follows:
- Adjusted EBITDA is a non-GAAP financial performance
measure the Company believes offers a useful view of the overall
operation of our business. The Company defines Adjusted EBITDA as
Net income (loss) attributable to Gannett before (1) Income tax
expense (benefit), (2) Interest expense, (3) Gains or losses on the
early extinguishment of debt, (4) Non-operating items, primarily
pension costs, (5) Depreciation and amortization, (6) Integration
and reorganization costs, (7) Asst impairments, (8) Goodwill and
intangible impairments, (9) Gains or losses on the sale or disposal
of assets, (10) equity-based compensation, (11) acquisition costs,
(12) Gains of losses on the sale of investments and (12) certain
other non-recurring charges. The most directly comparable GAAP
financial measure is Net income (loss) attributable to
Gannett.
- Free cash flow is a non-GAAP liquidity measure that
adjusts our reported GAAP results for items we believe are critical
to the ongoing success of our business. The Company defines Free
cash flow as Net cash provided by operating activities as reported
on the statement of cash flows less capital expenditures, which
results in a figure representing Free cash flow available for use
in operations, additional investments, debt obligations, and
returns to shareholders. The most directly comparable GAAP
financial measure is Net cash from operating activities.
Management’s Use of Non-GAAP Measures
Adjusted EBITDA and Free cash flow are not measurements of
financial performance under GAAP and should not be considered in
isolation or as an alternative to income from operations, net
income (loss), cash flow from operating activities, or any other
measure of performance or liquidity derived in accordance with
GAAP. We believe our non-GAAP measures as we have defined them are
helpful in identifying trends in our day-to-day performance because
the items excluded have little or no significance on our day-to-day
operations. These measures provide an assessment of controllable
expenses and afford management the ability to make decisions which
are expected to facilitate meeting current financial goals as well
as achieve optimal financial performance.
Adjusted EBITDA provides us with a measure of financial
performance, independent of items that are beyond the control of
management in the short-term such as depreciation and amortization,
taxation, non-cash impairments, and interest expense associated
with our capital structure. This metric measures our financial
performance based on operational factors that management can impact
in the short-term, namely the cost structure or expenses of the
organization. Adjusted EBITDA is one of the metrics we use to
review the financial performance of our business on a monthly
basis.
We use Adjusted EBITDA as a measure of our day-to-day operating
performance, which is evidenced by the publishing and delivery of
news and other media and excludes certain expenses that may not be
indicative of our day-to-day business operating results. We
consider the unrealized gain or loss on derivative instruments and
the gain or loss on the early extinguishment of debt to be
financing related costs associated with interest expense or
amortization of financing fees. Accordingly, we exclude financing
related costs such as the early extinguishment of debt because they
represent the write-off of deferred financing costs, and we believe
these non-cash write-offs are similar to interest expense and
amortization of financing fees, which by definition are excluded
from Adjusted EBITDA. Additionally, the non-cash gains or losses on
derivative contracts, which are related to interest rate swap
agreements to manage interest rate risk, are financing costs
associated with interest expense. Such charges are incidental to,
but not reflective of, our day-to-day operating performance, and it
is appropriate to exclude charges related to financing activities
such as the early extinguishment of debt and the unrealized gain or
loss on derivative instruments which, depending on the nature of
the financing arrangement, would have otherwise been amortized over
the period of the related agreement and does not require a current
cash settlement. Such charges are incidental to, but not reflective
of our day-to-day operating performance of the business that
management can impact in the short term.
Limitations of Non-GAAP Measures
Each of our non-GAAP measures has limitations as an analytical
tool. They should not be viewed in isolation or as a substitute for
GAAP measures of earnings or cash flows. Material limitations in
making the adjustments to our earnings to calculate Adjusted EBITDA
and using this non-GAAP financial measure as compared to GAAP net
income (loss) include: the cash portion of interest / financing
expense, income tax (benefit) provision, and charges related to
impairment of long-lived assets, which may significantly affect our
financial results.
A reader of our financial statements may find this item
important in evaluating our performance, results of operations, and
financial position. We use non-GAAP financial measures to
supplement our GAAP results in order to provide a more complete
understanding of the factors and trends affecting our business.
Adjusted EBITDA and Free cash flow are not alternatives to net
income, income from operations, or cash flows provided by or used
in operations as calculated and presented in accordance with GAAP.
Readers of our financial statements should not rely on Adjusted
EBITDA or Free cash flow as a substitute for any such GAAP
financial measure. We strongly urge readers of our financial
statements to review the reconciliation of income (loss) from
continuing operations to Adjusted EBITDA and the reconciliation of
net cash from operating activities to Free cash flow, along with
our consolidated financial statements included elsewhere in this
report. We also strongly urge readers of our financial statements
to not rely on any single financial measure to evaluate our
business. In addition, because Adjusted EBITDA and Free cash flow
are not measures of financial performance under GAAP and are
susceptible to varying calculations, the Adjusted EBITDA and Free
cash flow measures as presented in this report may differ from and
may not be comparable to similarly titled measures used by other
companies.
NON-GAAP FINANCIAL INFORMATION
ADJUSTED EBITDA
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands
Table No. 6
Three months ended September
30, 2020
Publishing
Marketing Solutions
Corporate and Other
Consolidated Total
Net income (loss) attributable to
Gannett
$
67,726
$
5,223
$
(104,209
)
$
(31,260
)
Income tax expense
—
—
3,098
3,098
Interest expense
17
—
58,046
58,063
Loss on early extinguishment of debt
—
—
476
476
Non-operating pension income
(18,262
)
—
(72
)
(18,334
)
Gain on sale of investments
—
(7,800
)
—
(7,800
)
Other non-operating items, net
(1,855
)
(1,189
)
469
(2,575
)
Depreciation and amortization
52,481
6,768
2,106
61,355
Integration and reorganization costs
5,120
1,237
7,060
13,417
Acquisition costs
—
—
1,913
1,913
Asst impairments
868
717
—
1,585
(Gain) loss on sale or disposal of
assets
1,731
(964
)
28
795
Equity-based compensation
—
—
3,844
3,844
Other items
926
185
2,292
3,403
Adjusted EBITDA (non-GAAP basis)
$
108,752
$
4,177
$
(24,949
)
$
87,980
Three months ended September
29, 2019
Publishing
Marketing Solutions
Corporate and Other
Consolidated
Total
Net income (loss) attributable to
Gannett
$
31,362
$
(3,352
)
$
(46,473
)
$
(18,463
)
Income tax expense
—
—
7,226
7,226
Interest expense
21
—
10,009
10,030
Non-operating pension income
(208
)
—
—
(208
)
Other non-operating items, net
(74
)
—
52
(22
)
Depreciation and amortization
23,840
764
(122
)
24,482
Integration and reorganization costs
2,608
501
27
3,136
Acquisition costs
—
—
12,181
12,181
Loss on sale or disposal of assets
568
—
34
602
Equity-based compensation
—
—
691
691
Other items
838
390
4,023
5,251
Adjusted EBITDA (non-GAAP basis)
$
58,955
$
(1,697
)
$
(12,352
)
$
44,906
NON-GAAP FINANCIAL INFORMATION
FREE CASH FLOW
Gannett Co., Inc. and Subsidiaries
Unaudited, in thousands
Table No. 7
Three months ended September
30, 2020
Net cash flow provided by operating
activities (GAAP basis)
$
49,640
Capital expenditures
(6,787
)
Free cash flow (non-GAAP basis)(1)
$
42,853
(1) Free cash flow for the third quarter
was negatively impacted by $26.8 million of integration and
reorganization costs.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20201103005190/en/
For investor inquiries: Ashley Higgins Investor Relations
212-479-3160 investors@gannett.com
For media inquiries: Stephanie Tackach Director, Public
Relations 212-715-5490 stackach@gannett.com
New Gannett (NYSE:GCI)
Historical Stock Chart
From Aug 2024 to Sep 2024
New Gannett (NYSE:GCI)
Historical Stock Chart
From Sep 2023 to Sep 2024