Viad Corp Reports Results for the 2022 First Quarter
Viad Corp (NYSE: VVI) reported strong Q1 2022 results, with revenues reaching $177.4 million, up from $28.9 million in Q1 2021. GES revenue surged by $134.4 million due to the resurgence of live events, while Pursuit achieved a record $23.8 million in revenue from increased visitation and new experiences. Despite a net loss of $29.0 million, consolidated Adjusted EBITDA improved significantly. Positive cash flow management led to $145.3 million in total liquidity. The company raised full-year expectations, citing strong advance bookings and sustained demand for in-person events.
- Q1 2022 revenue increased to $177.4 million, a $148.4 million rise from Q1 2021.
- GES revenue rose by $134.4 million due to resumption of live events.
- Pursuit achieved record revenue of $23.8 million, up $14.0 million year-over-year.
- Adjusted EBITDA improved, signaling recovery in business activity.
- Total liquidity reached $145.3 million, strengthening financial flexibility.
- Positive cash flow from operations of approximately $18 million.
- Net loss attributable to Viad was $29.0 million, though improved from $43.2 million in Q1 2021.
- Pursuit's Adjusted EBITDA loss increased by $2.4 million year-over-year.
- Q122 results significantly better than expected and full year expectations raised
- Pursuit Refresh, Build, Buy strategy continues to fuel growth
- GES launches Spiro to accelerate growth in Brand Experiences
Moster continued, “I am proud of our first quarter performance and encouraged by the acceleration of activity across our businesses. Advance bookings at Pursuit point to a very strong peak season this summer, and GES’ event bookings and pipeline indicate that in-person event activity will continue to improve. I look forward to building on our momentum as we execute over the balance of the year.”
First Quarter 2022 Financial Highlights |
||||||||||||
|
Three months ended |
|||||||||||
(in millions) |
2022 |
2021 |
$ Change |
|||||||||
|
||||||||||||
Revenue |
$ |
177.4 |
|
$ |
28.9 |
|
$ |
148.4 |
|
|||
Pursuit Revenue |
23.8 |
|
|
9.8 |
|
|
14.0 |
|
||||
GES Revenue |
153.6 |
|
|
19.1 |
|
|
134.4 |
|
||||
|
|
|
|
|
|
|||||||
Net loss attributable to Viad |
$ |
(29.0 |
) |
$ |
(43.2 |
) |
$ |
14.2 |
|
|||
|
|
|
|
|
|
|||||||
Consolidated Adjusted EBITDA* |
$ |
(11.3 |
) |
$ |
(25.2 |
) |
$ |
13.9 |
|
|||
Pursuit Adjusted EBITDA* |
|
(11.5 |
) |
|
(9.1 |
) |
|
(2.4 |
) |
|||
GES Adjusted EBITDA* |
|
2.7 |
|
|
(14.2 |
) |
|
16.9 |
|
|||
Corporate Adjusted EBITDA* |
|
(2.5 |
) |
|
(1.9 |
) |
|
(0.6 |
) |
* Refer to Table Two of this press release for a discussion and reconciliation of this non-GAAP financial measure to its most directly comparable GAAP financial measure.
Pursuit Results
Pursuit’s first quarter revenue increased
Regarding Pursuit’s results, Moster commented, “We are very happy with the record level of first quarter revenue delivered by Pursuit. Our attractions and lodging properties in
Moster continued, “With the Canadian border open, the new experiences we have added, and strong leisure travel demand, we expect revenue will remain much higher than the levels we realized in 2021. In preparation for significantly higher revenue, we are building up our bench of talented team members to ensure we are ready to deliver hospitality excellence for our guests. And we look forward to delivering strong EBITDA as we move into our peak summer season.”
GES Results and Launch of Spiro
GES’ first quarter revenue increased
Regarding GES’ results, Moster commented, “GES’ results exceeded our expectations due to a faster than expected rebound of event activity, which accelerated in March following two slower months that were challenged by the impacts of the COVID-19 Omicron variant. Revenue in the month of March reached approximately 75 percent of the amount generated in the 2019 pre-pandemic month. We’re still seeing a fair amount of variation across the events we produce, but the overall trend line continues to improve and the corporate clients that we support with Brand Experiences have healthy budgets for this year.”
During the first quarter, we created a unique identity, Spiro, for our Brand Experiences business. Spiro is the natural evolution of the strong client partnerships that we have built through our Brand Experiences business, which represented about 30 percent of GES’ revenue in 2019 while serving as a strategic marketing partner to leading brands around the world.
Regarding Spiro, Moster commented, “Over the past year, we have positioned the Brand Experiences portion of GES to focus exclusively on corporate brand marketers. In the first quarter, we introduced the Spiro brand to the market to accelerate our growth by servicing the changing needs of today’s brand marketers across a broader spectrum of their experiential marketing needs. We have been very successful onboarding new clients since 2019 and that has continued into 2022. The launch of Spiro is well-timed to help us accelerate growth in this large fragmented market as corporate brands pursue strong customer engagement across the physical, virtual, digital and hybrid marketing channels. I am thrilled about the growth potential for Spiro.”
In connection with the reorganization of our operations to support the launch and growth of Spiro, we have defined two new reportable segments for GES: Spiro and GES Exhibitions. The following table provides a comparison of 2022 first quarter revenue and Adjusted EBITDA to the comparable period in 2021 for GES’ two reportable segments. Additional historical financial information for these segments can be found in the tables accompanying this press release.
|
Three months ended |
|||||||||||
(in millions) |
2022 |
|
2021 |
|
$ Change |
|||||||
|
|
|
|
|
|
|
||||||
Revenue: |
|
|
|
|
|
|
||||||
Spiro |
$ |
42.8 |
|
$ |
12.1 |
|
$ |
30.8 |
|
|||
GES Exhibitions |
|
111.8 |
|
|
7.2 |
|
|
104.7 |
|
|||
Inter-segment Eliminations |
|
(1.1 |
) |
|
(0.1 |
) |
|
(1.0 |
) |
|||
Total GES |
$ |
153.6 |
|
$ |
19.1 |
|
$ |
134.4 |
|
|||
|
|
|
|
|
|
|
||||||
Adjusted EBITDA*: |
|
|
|
|
|
|
||||||
Spiro |
$ |
0.7 |
|
$ |
(5.5 |
) |
$ |
6.3 |
|
|||
GES Exhibitions |
|
2.0 |
|
|
(8.7 |
) |
|
10.7 |
|
|||
Total GES |
$ |
2.7 |
|
$ |
(14.2 |
) |
$ |
16.9 |
|
* Refer to Table Two of this press release for a discussion and reconciliation of this non-GAAP financial measure to its most directly comparable GAAP financial measure.
Spiro’s first quarter 2022 revenue increased
Balance Sheet and Cash Flow Highlights
We ended the first quarter with total liquidity of
Our 2022 first quarter cash flow from operations was an inflow of approximately
Moster commented, “As a result of our strong cash flow management and improved business activity, we generated positive operating cash flow during our seasonally slow first quarter. We have a solid liquidity position and financial flexibility that allows us to continue investing in high-return growth opportunities through Pursuit’s Refresh, Build, Buy strategy, including our
2022 Outlook
Assuming no future material adverse changes to the macro environment from COVID, geo-political events, or other factors, we expect Adjusted EBITDA will be in the ranges shown in the following table. We continue to operate in a very dynamic environment and our performance could vary significantly from the amounts shown below.
(in millions) |
Second Quarter |
|
Full Year |
|
Key Assumptions |
Pursuit |
|
|
|
|
|
GES |
|
|
|
|
|
Corporate |
|
|
|
|
|
Conference Call Details
Management will host a conference call to review first quarter 2022 results on
To join the live conference call, please register at least 10 minutes before the start of the call using the following link: https://www.incommglobalevents.com/registration/q4inc/10659/viad-corp-first-quarter-2022-earnings-call/. After registering, an email confirmation will be sent that includes dial-in information as well as unique codes for entry into the live call. Registration will be open throughout the call.
A live audio webcast of the call will also be available in listen-only mode through the “Investors” section of our website. A replay of the webcast will be available on our website shortly after the call and, for a limited time, by calling (866) 813-9403 or (929) 458-6194 and entering the conference ID 953633.
Additionally, we will post a supplemental presentation, containing highlights of our results, trends and outlook, on the “Investors” section of our website prior to the conference call. We will refer to this presentation during the call.
About Viad
Viad (NYSE: VVI), is a leading global provider of extraordinary experiences, including hospitality and leisure activities, experiential marketing, and live events through two businesses: Pursuit and GES. Pursuit is a collection of inspiring and unforgettable travel experiences in
Forward-Looking Statements
This press release contains a number of forward-looking statements. Words, and variations of words, such as “will,” “may,” “expect,” “would,” “could,” “might,” “intend,” “plan,” “believe,” “estimate,” “anticipate,” “deliver,” “seek,” “aim,” “potential,” “target,” “outlook,” and similar expressions are intended to identify our forward-looking statements. Similarly, statements that describe our business strategy, outlook, objectives, plans, intentions or goals also are forward-looking statements. These forward-looking statements are not historical facts and are subject to a host of risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from those in the forward-looking statements.
Important factors that could cause actual results to differ materially from those described in our forward-looking statements include, but are not limited to, the following:
- the impact of the COVID-19 pandemic on our financial condition, liquidity, and cash flow;
- our ability to anticipate and adjust for the impact of the COVID-19 pandemic on our businesses;
- general economic uncertainty in key global markets and a worsening of global economic conditions;
- travel industry disruptions;
- seasonality of our businesses;
- unanticipated delays and cost overruns of our capital projects, and our ability to achieve established financial and strategic goals for such projects;
- our exposure to labor shortages, turnover, and labor cost increases;
- the importance of key members of our account teams to our business relationships;
- the competitive nature of the industries in which we operate;
- our dependence on large exhibition event clients;
- adverse effects of show rotation on our periodic results and operating margins;
- transportation disruptions and increases in transportation costs;
- natural disasters, weather conditions, accidents, and other catastrophic events;
- our exposure to labor cost increases and work stoppages related to unionized employees;
- our multi-employer pension plan funding obligations;
- our ability to successfully integrate and achieve established financial and strategic goals from acquisitions;
- our exposure to cybersecurity attacks and threats;
- our exposure to currency exchange rate fluctuations;
- liabilities relating to prior and discontinued operations; and
- compliance with laws governing the storage, collection, handling, and transfer of personal data and our exposure to legal claims and fines for data breaches or improper handling of such data.
For a more complete discussion of the risks and uncertainties that may affect our business or financial results, please see Item 1A, “Risk Factors,” of our most recent annual report on Form 10-K filed with the
Forward-Looking Non-GAAP Measures
The company has not quantitatively reconciled its guidance for adjusted EBITDA to its respective most comparable GAAP measure because certain reconciling items that impact this metric including, provision for income taxes, interest expense, restructuring or impairment charges, acquisition-related costs, and attraction start-up costs have not occurred, are out of the company’s control, or cannot be reasonably predicted. Accordingly, reconciliations to the nearest GAAP financial measure are not available without unreasonable effort. Please note that the unavailable reconciling items could significantly impact the company’s results as reported under GAAP.
VIAD CORP AND SUBSIDIARIES | ||||||||||||||||
TABLE ONE - QUARTERLY RESULTS | ||||||||||||||||
(UNAUDITED) | ||||||||||||||||
Three months ended |
||||||||||||||||
(in thousands, except per share data) | 2022 |
|
2021 |
|
$ Change |
|
% Change |
|||||||||
Revenue: | ||||||||||||||||
Pursuit | $ |
23,784 |
|
$ |
9,790 |
|
$ |
13,994 |
|
** |
||||||
GES: | ||||||||||||||||
Spiro |
|
42,816 |
|
|
12,059 |
|
|
30,757 |
|
** |
||||||
GES Exhibitions |
|
111,831 |
|
|
7,152 |
|
|
104,679 |
|
** |
||||||
Inter-segment eliminations |
|
(1,071 |
) |
|
(66 |
) |
|
(1,005 |
) |
** |
||||||
Total GES |
|
153,576 |
|
|
19,145 |
|
|
134,431 |
|
** |
||||||
Total revenue | $ |
177,360 |
|
$ |
28,935 |
|
$ |
148,425 |
|
** |
||||||
Segment operating loss: | ||||||||||||||||
Pursuit | $ |
(21,198 |
) |
$ |
(18,321 |
) |
|
(2,877 |
) |
-15.7 |
% |
|||||
GES: | ||||||||||||||||
Spiro |
|
(239 |
) |
|
(7,169 |
) |
|
6,930 |
|
96.7 |
% |
|||||
GES Exhibitions |
|
(1,355 |
) |
|
(12,735 |
) |
|
11,380 |
|
89.4 |
% |
|||||
Total GES |
|
(1,594 |
) |
|
(19,904 |
) |
|
18,310 |
|
92.0 |
% |
|||||
Segment operating loss | $ |
(22,792 |
) |
$ |
(38,225 |
) |
$ |
15,433 |
|
40.4 |
% |
|||||
Corporate eliminations |
|
17 |
|
|
17 |
|
|
- |
|
0.0 |
% |
|||||
Corporate activities (Note A) |
|
(2,673 |
) |
|
(2,005 |
) |
|
(668 |
) |
-33.3 |
% |
|||||
Restructuring charges (Note B) |
|
(654 |
) |
|
(2,826 |
) |
|
2,172 |
|
76.9 |
% |
|||||
Impairment charges (Note C) |
|
(583 |
) |
|
- |
|
|
(583 |
) |
** |
||||||
Other expense |
|
(638 |
) |
|
(360 |
) |
|
(278 |
) |
-77.2 |
% |
|||||
Net interest expense (Note D) |
|
(5,877 |
) |
|
(5,085 |
) |
|
(792 |
) |
-15.6 |
% |
|||||
Loss from continuing operations before income taxes |
|
(33,200 |
) |
|
(48,484 |
) |
|
15,284 |
|
31.5 |
% |
|||||
Income tax benefit (Note E) |
|
2,582 |
|
|
3,045 |
|
|
(463 |
) |
-15.2 |
% |
|||||
Loss from continuing operations |
|
(30,618 |
) |
|
(45,439 |
) |
|
14,821 |
|
32.6 |
% |
|||||
Income from discontinued operations (Note F) |
|
275 |
|
|
348 |
|
|
(73 |
) |
-21.0 |
% |
|||||
Net loss |
|
(30,343 |
) |
|
(45,091 |
) |
|
14,748 |
|
32.7 |
% |
|||||
Net loss attributable to noncontrolling interest |
|
1,204 |
|
|
1,445 |
|
|
(241 |
) |
-16.7 |
% |
|||||
Net loss attributable to redeemable noncontrolling interest |
|
138 |
|
|
494 |
|
|
(356 |
) |
-72.1 |
% |
|||||
Net loss attributable to Viad | $ |
(29,001 |
) |
$ |
(43,152 |
) |
$ |
14,151 |
|
32.8 |
% |
|||||
Amounts Attributable to Viad: | ||||||||||||||||
Loss from continuing operations | $ |
(29,276 |
) |
$ |
(43,500 |
) |
$ |
14,224 |
|
32.7 |
% |
|||||
Income from discontinued operations (Note F) |
|
275 |
|
|
348 |
|
|
(73 |
) |
-21.0 |
% |
|||||
Net loss | $ |
(29,001 |
) |
$ |
(43,152 |
) |
$ |
14,151 |
|
32.8 |
% |
|||||
Loss per common share attributable to Viad (Note G): | ||||||||||||||||
Basic loss per common share | $ |
(1.53 |
) |
$ |
(2.21 |
) |
$ |
0.68 |
|
30.8 |
% |
|||||
Diluted loss per common share | $ |
(1.53 |
) |
$ |
(2.21 |
) |
$ |
0.68 |
|
30.8 |
% |
|||||
Weighted-average common shares outstanding: | ||||||||||||||||
Basic weighted-average outstanding common shares |
|
20,518 |
|
|
20,370 |
|
|
148 |
|
0.7 |
% |
|||||
Additional dilutive shares related to share-based compensation |
|
- |
|
|
- |
|
|
- |
|
** |
||||||
Diluted weighted-average outstanding common shares |
|
20,518 |
|
|
20,370 |
|
|
148 |
|
0.7 |
% |
|||||
Adjusted EBITDA* by Reportable Segment: | ||||||||||||||||
Pursuit | $ |
(11,498 |
) |
$ |
(9,061 |
) |
$ |
(2,437 |
) |
-26.9 |
% |
|||||
GES: | ||||||||||||||||
Spiro |
|
742 |
|
|
(5,542 |
) |
|
6,284 |
|
** |
||||||
GES Exhibitions |
|
1,978 |
|
|
(8,684 |
) |
|
10,662 |
|
** |
||||||
Total GES |
|
2,720 |
|
|
(14,226 |
) |
|
16,946 |
|
** |
||||||
Corporate |
|
(2,534 |
) |
|
(1,931 |
) |
|
(603 |
) |
-31.2 |
% |
|||||
Consolidated Adjusted EBITDA |
|
(11,312 |
) |
|
(25,218 |
) |
|
13,906 |
|
55.1 |
% |
|||||
As of |
||||||||||||||||
Capitalization Data: | 2022 |
2021 |
$ Change |
% Change |
||||||||||||
Cash and cash equivalents |
|
57,902 |
|
|
34,714 |
|
|
23,188 |
|
66.8 |
% |
|||||
Total debt |
|
473,845 |
|
|
372,699 |
|
|
101,146 |
|
27.1 |
% |
|||||
Viad shareholders' equity |
|
(18,169 |
) |
|
56,502 |
|
|
(74,671 |
) |
** |
||||||
Non-controlling interests (redeemable and non-redeemable) |
|
90,795 |
|
|
88,263 |
|
|
2,532 |
|
2.9 |
% |
|||||
Convertible Series A Preferred Stock (Note H): | ||||||||||||||||
Convertible preferred stock (including accumulated dividends paid in kind)*** |
|
141,827 |
|
|
139,904 |
|
|
1,924 |
|
1.4 |
% |
|||||
Equivalent number of common shares |
|
6,674 |
|
|
6,584 |
|
|
91 |
|
1.4 |
% |
|||||
* Refer to Table Two for a discussion and reconciliation of this non-GAAP financial measure to its most directly comparable GAAP financial measure. | ||||||||||||||||
** Change is greater than +/- 100 percent | ||||||||||||||||
*** Amount shown excludes transaction costs, which are netted against the value of the preferred shares when presented on Viad's balance sheet. | ||||||||||||||||
VIAD CORP AND SUBSIDIARIES | ||||||||||||||||
TABLE ONE - NOTES TO QUARTERLY RESULTS | ||||||||||||||||
(UNAUDITED) | ||||||||||||||||
(A) | Corporate Activities — The increase in corporate activities expense during the three months ended |
|||||||||||||||
(B) | Restructuring Charges — Restructuring charges during the three months ended |
|||||||||||||||
(C) | Impairment Charges — Impairment charges during the three months ended |
|||||||||||||||
(D) | Net Interest Expense — The increase in interest expense during the three months ended |
|||||||||||||||
(E) | Income Tax Benefit – The effective tax rate was |
|||||||||||||||
(F) | Income from Discontinued Operations — Income from discontinued operations during the three months ended |
|||||||||||||||
(G) | Income (Loss) per Common Share — We apply the two-class method in calculating income (loss) per common share as preferred stock and unvested share-based payment awards that contain nonforteitable rights to dividends are considered participating securities. Accordingly, such securities are included in the earnings allocation in calculating income per share. | |||||||||||||||
Diluted income (loss) per common share is calculated using the more dilutive of the two-class method or as-converted method. The two-class method uses net income (loss) available to common stockholders and assumes conversion of all potential shares other than participating securities. The as-converted method uses net income (loss) available to common shareholders and assumes conversion of all potential shares including participating securities. Dilutive potential common shares include outstanding stock options, unvested restricted share units and convertible preferred stock. | ||||||||||||||||
Additionally, the adjustment to the carrying value of redeemable non-controlling interests is reflected in income (loss) per common share. | ||||||||||||||||
The components of basic and diluted income (loss) per share are as follows: | ||||||||||||||||
Three months ended |
|
|||||||||||||||
(in thousands) | 2022 |
|
2021 |
|
$ Change |
|
% Change |
|||||||||
Net loss attributable to Viad | $ |
(29,001 |
) |
$ |
(43,152 |
) |
$ |
14,151 |
|
32.8 |
% |
|||||
Convertible preferred stock dividends paid in cash |
|
(1,950 |
) |
|
- |
|
|
(1,950 |
) |
** |
||||||
Convertible preferred stock dividends paid in kind |
|
- |
|
|
(1,898 |
) |
|
1,898 |
|
-100.0 |
% |
|||||
Adjustment to the redemption value of redeemable noncontrolling interest |
|
(351 |
) |
|
(56 |
) |
|
(295 |
) |
** |
||||||
Undistributed income (loss) attributable to Viad |
|
(31,302 |
) |
|
(45,106 |
) |
|
13,804 |
|
30.6 |
% |
|||||
Less: Allocation to participating securities |
|
- |
|
|
- |
|
|
- |
|
** |
||||||
Net loss allocated to Viad common shareholders (basic) | $ |
(31,302 |
) |
$ |
(45,106 |
) |
$ |
13,804 |
|
30.6 |
% |
|||||
Add: Allocation to participating securities |
|
- |
|
|
- |
|
|
- |
|
** |
||||||
Net loss allocated to Viad common shareholders (diluted) | $ |
(31,302 |
) |
$ |
(45,106 |
) |
$ |
13,804 |
|
30.6 |
% |
|||||
Basic weighted-average outstanding common shares |
|
20,518 |
|
|
20,370 |
|
|
148 |
|
0.7 |
% |
|||||
Additional dilutive shares related to share-based compensation |
|
- |
|
|
- |
|
|
- |
|
** |
||||||
Diluted weighted-average outstanding common shares |
|
20,518 |
|
|
20,370 |
|
|
148 |
|
0.7 |
% |
|||||
(H) | Convertible Series A Preferred Stock — On |
VIAD CORP AND SUBSIDIARIES | |||||||||||||||||
TABLE TWO - NON-GAAP FINANCIAL MEASURES | |||||||||||||||||
(UNAUDITED) | |||||||||||||||||
IMPORTANT DISCLOSURES REGARDING NON-GAAP FINANCIAL MEASURES | |||||||||||||||||
This document includes the presentation of "Income (Loss) Before Other Items", "Adjusted EBITDA", "Segment Operating Income (Loss)", and "Adjusted Segment Operating Income (Loss)", which are supplemental to results presented under accounting principles generally accepted in |
|||||||||||||||||
Income (Loss) Before Other Items, Segment Operating Income (Loss), and Adjusted Segment Operating Income (Loss) are considered useful operating metrics, in addition to net income attributable to Viad, as potential variations arising from non-operational expenses/income are eliminated, thus resulting in additional measures considered to be indicative of Viad’s performance. Management believes that the presentation of Adjusted EBITDA provides useful information to investors regarding Viad’s results of operations for trending, analyzing and benchmarking the performance and value of Viad’s business. Management also believes that the presentation of Adjusted EBITDA for acquisitions and other major capital projects enables investors to assess how effectively management is investing capital into major corporate development projects, both from a valuation and return perspective. | |||||||||||||||||
Three months ended |
|||||||||||||||||
(in thousands, except per share data) | 2022 |
|
2021 |
|
$ Change |
|
% Change |
||||||||||
Loss before other items: | |||||||||||||||||
Net loss attributable to Viad | $ |
(29,001 |
) |
$ |
(43,152 |
) |
$ |
14,151 |
|
32.8 |
% |
||||||
Income from discontinued operations attributable to Viad |
|
(275 |
) |
|
(348 |
) |
|
73 |
|
21.0 |
% |
||||||
Loss from continuing operations attributable to Viad |
|
(29,276 |
) |
|
(43,500 |
) |
|
14,224 |
|
32.7 |
% |
||||||
Restructuring charges, pre-tax |
|
654 |
|
|
2,826 |
|
|
(2,172 |
) |
-76.9 |
% |
||||||
Impairment charges, pre-tax |
|
583 |
|
|
- |
|
|
583 |
|
** |
|||||||
Acquisition-related costs and other non-recurring expenses, pre-tax (Note A) |
|
857 |
|
|
1,818 |
|
|
(961 |
) |
-52.9 |
% |
||||||
Tax benefit on above items |
|
(77 |
) |
|
(177 |
) |
|
100 |
|
56.5 |
% |
||||||
Loss before other items | $ |
(27,259 |
) |
$ |
(39,033 |
) |
$ |
11,774 |
|
30.2 |
% |
||||||
The components of income (loss) before other items per share are as follows: | |||||||||||||||||
Loss before other items (as reconciled above) |
|
(27,259 |
) |
|
(39,033 |
) |
|
11,774 |
|
30.2 |
% |
||||||
Convertible preferred stock dividends paid in cash |
|
(1,950 |
) |
|
- |
|
|
(1,950 |
) |
** |
|||||||
Convertible preferred stock dividends paid in kind |
|
- |
|
|
(1,898 |
) |
|
1,898 |
|
-100.0 |
% |
||||||
Undistributed loss before other items attributable to Viad (Note B) |
|
(29,209 |
) |
|
(40,931 |
) |
|
11,722 |
|
28.6 |
% |
||||||
Less: Allocation to participating securities (Note C) |
|
- |
|
|
- |
|
|
- |
|
** |
|||||||
Diluted loss before other items allocated to Viad common shareholders | $ |
(29,209 |
) |
$ |
(40,931 |
) |
$ |
11,722 |
|
28.6 |
% |
||||||
Diluted weighted-average outstanding common shares |
|
20,518 |
|
|
20,370 |
|
|
148 |
|
0.7 |
% |
||||||
Loss before other items per common share | $ |
(1.42 |
) |
$ |
(2.01 |
) |
$ |
0.59 |
|
29.4 |
% |
||||||
(A) | Acquisition-related costs and other non-recurring expenses include: | ||||||||||||||||
Three months ended |
|||||||||||||||||
(in thousands) | 2022 |
|
2021 |
||||||||||||||
Acquisition integration costs - Pursuit1 | $ |
- |
|
$ |
1 |
|
|||||||||||
Acquisition transaction-related costs - Pursuit1 |
|
308 |
|
|
208 |
|
|||||||||||
Acquisition transaction-related costs - Corporate2 |
|
110 |
|
|
35 |
|
|||||||||||
Attraction start-up costs1, 3 |
|
431 |
|
|
1,564 |
|
|||||||||||
Other non-recurring expenses2, 4 |
|
8 |
|
|
10 |
|
|||||||||||
Acquisition-related and other non-recurring expenses, pre-tax | $ |
857 |
|
$ |
1,818 |
|
|||||||||||
1 Included in segment operating loss | |||||||||||||||||
2 Included in corporate activities | |||||||||||||||||
3 Includes costs related to the development of Pursuit's new FlyOver attractions in |
|||||||||||||||||
4 Includes non-capitalizable fees and expenses related to Viad’s credit facility refinancing efforts. | |||||||||||||||||
(B) | We exclude the adjustment to the redemption value of redeemable noncontrolling interest from the calculation of income before other items per share as it is a non-cash adjustment that does not affect net income or loss attributable to Viad. | ||||||||||||||||
(C) | Preferred stock and unvested share-based payment awards that contain nonforteitable rights to dividends are considered participating securities. Accordingly, such securities are included in the earnings allocation in calculating income (loss) before other items per common share unless the effect of such inclusion is anti-dilutive. The following table provides the share data used for calculating the allocation to participating securities if applicable: | ||||||||||||||||
Three months ended |
|||||||||||||||||
(in thousands) | 2022 |
|
2021 |
||||||||||||||
Weighted-average outstanding common shares |
|
20,518 |
|
|
20,370 |
|
|||||||||||
Effect of participating convertible preferred shares (if applicable) |
|
- |
|
|
- |
|
|||||||||||
Effect of participating non-vested shares (if applicable) |
|
- |
|
|
- |
|
|||||||||||
Weighted-average shares including effect of participating interests (if applicable) |
|
20,518 |
|
|
20,370 |
|
|||||||||||
** Change is greater than +/- 100 percent |
VIAD CORP AND SUBSIDIARIES | ||||||||||||||||||||||||||
TABLE TWO - NON-GAAP FINANCIAL MEASURES (CONTINUED) | ||||||||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||||||||
Same-Store - The term "same-store" is used within this document to refer to results without the impact of new experiences, if any, until such new experiences are included in the entirety of both comparable periods. Management believes that the presentation of "same-store" results permits investors to better understand Viad's performance without the effects of new experiences. | ||||||||||||||||||||||||||
Three months ended |
Three months ended |
|||||||||||||||||||||||||
($ in thousands) | As Reported | New Experiences (Note A) |
Same-Store | As Reported | New Experiences (Note A) |
Same-Store | ||||||||||||||||||||
Viad Consolidated: | ||||||||||||||||||||||||||
Revenue | $ |
177,360 |
|
$ |
5,123 |
|
$ |
172,237 |
|
$ |
28,935 |
|
$ |
- |
|
$ |
28,935 |
|
||||||||
Net loss attributable to Viad | $ |
(29,001 |
) |
$ |
(43,152 |
) |
||||||||||||||||||||
Net loss attributable to noncontrolling interest |
|
(1,204 |
) |
|
(1,445 |
) |
||||||||||||||||||||
Net loss attributable to redeemable noncontrolling interest |
|
(138 |
) |
|
(494 |
) |
||||||||||||||||||||
Income from discontinued operations |
|
(275 |
) |
|
(348 |
) |
||||||||||||||||||||
Net interest expense |
|
5,877 |
|
|
5,085 |
|
||||||||||||||||||||
Income tax benefit |
|
(2,582 |
) |
|
(3,045 |
) |
||||||||||||||||||||
Depreciation and amortization |
|
13,279 |
|
|
13,177 |
|
||||||||||||||||||||
Restructuring charges |
|
654 |
|
|
2,826 |
|
||||||||||||||||||||
Impairment charges |
|
583 |
|
|
- |
|
||||||||||||||||||||
Other expense |
|
638 |
|
|
360 |
|
||||||||||||||||||||
Start-up costs (B) |
|
431 |
|
|
1,564 |
|
||||||||||||||||||||
Acquisition transaction-related costs |
|
418 |
|
|
243 |
|
||||||||||||||||||||
Integration costs |
|
- |
|
|
1 |
|
||||||||||||||||||||
Other non-recurring expenses (C) |
|
8 |
|
|
10 |
|
||||||||||||||||||||
Consolidated Adjusted EBITDA | $ |
(11,312 |
) |
$ |
(386 |
) |
$ |
(10,926 |
) |
$ |
(25,218 |
) |
$ |
- |
|
$ |
(25,218 |
) |
||||||||
Consolidated Adjusted EBITDA by Business: | ||||||||||||||||||||||||||
Pursuit | $ |
(11,498 |
) |
$ |
(386 |
) |
$ |
(11,112 |
) |
$ |
(9,061 |
) |
$ |
- |
|
$ |
(9,061 |
) |
||||||||
Total GES |
|
2,720 |
|
|
- |
|
|
2,720 |
|
|
(14,226 |
) |
|
- |
|
|
(14,226 |
) |
||||||||
Total Segment EBITDA |
|
(8,778 |
) |
|
(386 |
) |
|
(8,392 |
) |
|
(23,287 |
) |
|
- |
|
|
(23,287 |
) |
||||||||
Corporate EBITDA |
|
(2,534 |
) |
|
- |
|
|
(2,534 |
) |
|
(1,931 |
) |
|
- |
|
|
(1,931 |
) |
||||||||
Consolidated Adjusted EBITDA | $ |
(11,312 |
) |
$ |
(386 |
) |
$ |
(10,926 |
) |
$ |
(25,218 |
) |
$ |
- |
|
$ |
(25,218 |
) |
||||||||
Pursuit Adjusted EBITDA: | ||||||||||||||||||||||||||
Revenue | $ |
23,784 |
|
$ |
5,123 |
|
$ |
18,661 |
|
$ |
9,790 |
|
$ |
- |
|
$ |
9,790 |
|
||||||||
Cost of services and products |
|
(44,982 |
) |
|
(7,473 |
) |
|
(37,509 |
) |
|
(28,111 |
) |
|
(1,789 |
) |
|
(26,322 |
) |
||||||||
Segment operating loss |
|
(21,198 |
) |
|
(2,350 |
) |
|
(18,848 |
) |
|
(18,321 |
) |
|
(1,789 |
) |
|
(16,532 |
) |
||||||||
Depreciation |
|
7,782 |
|
|
1,157 |
|
|
6,625 |
|
|
6,457 |
|
|
17 |
|
|
6,440 |
|
||||||||
Amortization |
|
1,179 |
|
|
376 |
|
|
803 |
|
|
1,030 |
|
|
208 |
|
|
822 |
|
||||||||
Start-up costs (B) |
|
431 |
|
|
431 |
|
|
- |
|
|
1,564 |
|
|
1,564 |
|
|
- |
|
||||||||
Acquisition transaction-related costs |
|
308 |
|
|
- |
|
|
308 |
|
|
208 |
|
|
- |
|
|
208 |
|
||||||||
Integration costs |
|
- |
|
|
- |
|
|
- |
|
|
1 |
|
|
- |
|
|
1 |
|
||||||||
Adjusted EBITDA | $ |
(11,498 |
) |
$ |
(386 |
) |
$ |
(11,112 |
) |
$ |
(9,061 |
) |
$ |
- |
|
$ |
(9,061 |
) |
||||||||
Pursuit Operating margin |
|
-89.1 |
% |
|
-45.9 |
% |
** | ** | ** | |||||||||||||||||
Pursuit Adjusted EBITDA margin |
|
-48.3 |
% |
|
-7.5 |
% |
|
-59.5 |
% |
|
-92.6 |
% |
|
-92.6 |
% |
|||||||||||
Total GES Adjusted EBITDA: | ||||||||||||||||||||||||||
Revenue | $ |
153,576 |
|
$ |
- |
|
$ |
153,576 |
|
$ |
19,145 |
|
$ |
- |
|
$ |
19,145 |
|
||||||||
Cost of services and products |
|
(155,170 |
) |
|
- |
|
|
(155,170 |
) |
|
(39,049 |
) |
|
- |
|
|
(39,049 |
) |
||||||||
Segment operating loss |
|
(1,594 |
) |
|
- |
|
|
(1,594 |
) |
|
(19,904 |
) |
|
- |
|
|
(19,904 |
) |
||||||||
Depreciation |
|
3,220 |
|
|
- |
|
|
3,220 |
|
|
4,433 |
|
|
- |
|
|
4,433 |
|
||||||||
Amortization |
|
1,094 |
|
|
- |
|
|
1,094 |
|
|
1,245 |
|
|
- |
|
|
1,245 |
|
||||||||
Total GES Adjusted EBITDA | $ |
2,720 |
|
$ |
- |
|
$ |
2,720 |
|
$ |
(14,226 |
) |
$ |
- |
|
$ |
(14,226 |
) |
||||||||
Total GES Operating margin |
|
-1.0 |
% |
|
-1.0 |
% |
** | ** | ||||||||||||||||||
Total GES Adjusted EBITDA margin |
|
1.8 |
% |
|
1.8 |
% |
|
-74.3 |
% |
|
-74.3 |
% |
||||||||||||||
GES Adjusted EBITDA by Reportable Segment: | ||||||||||||||||||||||||||
Spiro | $ |
742 |
|
$ |
742 |
|
$ |
(5,542 |
) |
$ |
(5,542 |
) |
||||||||||||||
GES Exhibitions |
|
1,978 |
|
|
1,978 |
|
|
(8,684 |
) |
|
(8,684 |
) |
||||||||||||||
Total GES | $ |
2,720 |
|
$ |
- |
|
$ |
2,720 |
|
$ |
(14,226 |
) |
$ |
- |
|
$ |
(14,226 |
) |
||||||||
Spiro Revenue | $ |
42,816 |
|
$ |
- |
|
$ |
42,816 |
|
$ |
12,059 |
|
$ |
- |
|
$ |
12,059 |
|
||||||||
Spiro Adjusted EBITDA Margin |
|
1.7 |
% |
|
1.7 |
% |
|
-46.0 |
% |
|
-46.0 |
% |
||||||||||||||
GES Exhibitions Revenue | $ |
111,831 |
|
$ |
- |
|
$ |
111,831 |
|
$ |
7,152 |
|
$ |
- |
|
$ |
7,152 |
|
||||||||
GES Exhibitions Adjusted EBITDA Margin |
|
1.8 |
% |
|
1.8 |
% |
** | ** | ||||||||||||||||||
(A) New Experiences comprises the following attractions that were opened or acquired after |
||||||||||||||||||||||||||
(B) Includes costs related to the development of Pursuit's new FlyOver attractions in |
||||||||||||||||||||||||||
(C) Includes non-capitalizable fees and expenses related to Viad’s credit facility refinancing efforts. |
VIAD CORP AND SUBSIDIARIES | ||||||||||||||||||||
TABLE TWO - NON-GAAP FINANCIAL MEASURES (CONTINUED) | ||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||
The following table provides revenue and Adjusted EBITDA by quarter for 2021 for GES' new reportable segments, along with reconciliations of Adjusted EBITDA to the nearest GAAP measure, net income attributable to Viad. | ||||||||||||||||||||
2021 |
||||||||||||||||||||
($ in thousands) | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Full Year | |||||||||||||||
GES Revenue: | ||||||||||||||||||||
Spiro |
|
12,059 |
|
|
11,944 |
|
|
37,866 |
|
|
54,718 |
|
|
116,587 |
|
|||||
GES Exhibitions |
|
7,152 |
|
|
13,057 |
|
|
81,129 |
|
|
108,152 |
|
|
209,490 |
|
|||||
Inter-segment eliminations |
|
(66 |
) |
|
(81 |
) |
|
(2,951 |
) |
|
(2,687 |
) |
|
(5,785 |
) |
|||||
Total GES |
|
19,145 |
|
|
24,920 |
|
|
116,044 |
|
|
160,183 |
|
|
320,292 |
|
|||||
GES Adjusted EBITDA: | ||||||||||||||||||||
Spiro |
|
(5,542 |
) |
|
(6,057 |
) |
|
890 |
|
|
6,430 |
|
|
(4,279 |
) |
|||||
GES Exhibitions |
|
(8,684 |
) |
|
(15,504 |
) |
|
(5,115 |
) |
|
3,219 |
|
|
(26,084 |
) |
|||||
Total GES |
|
(14,226 |
) |
|
(21,561 |
) |
|
(4,225 |
) |
|
9,649 |
|
|
(30,363 |
) |
|||||
Viad Consolidated: | ||||||||||||||||||||
Net (loss) income attributable to Viad | $ |
(43,152 |
) |
$ |
(42,026 |
) |
$ |
15,067 |
|
$ |
(22,544 |
) |
$ |
(92,655 |
) |
|||||
Net (loss) income attributable to noncontrolling interest |
|
(1,445 |
) |
|
(510 |
) |
|
5,004 |
|
|
(1,363 |
) |
|
1,686 |
|
|||||
Net loss attributable to redeemable noncontrolling interest |
|
(494 |
) |
|
(431 |
) |
|
(296 |
) |
|
(545 |
) |
|
(1,766 |
) |
|||||
(Income) loss from discontinued operations |
|
(348 |
) |
|
62 |
|
|
(248 |
) |
|
(24 |
) |
|
(558 |
) |
|||||
Net interest expense |
|
5,085 |
|
|
5,565 |
|
|
9,518 |
|
|
8,156 |
|
|
28,324 |
|
|||||
Income tax benefit |
|
(3,045 |
) |
|
(2,166 |
) |
|
5,329 |
|
|
(1,906 |
) |
|
(1,788 |
) |
|||||
Depreciation and amortization |
|
13,177 |
|
|
13,333 |
|
|
13,476 |
|
|
13,764 |
|
|
53,750 |
|
|||||
Restructuring charges |
|
2,826 |
|
|
787 |
|
|
2,186 |
|
|
267 |
|
|
6,066 |
|
|||||
Other expense |
|
360 |
|
|
680 |
|
|
466 |
|
|
507 |
|
|
2,013 |
|
|||||
Pension plan withdrawal |
|
- |
|
|
57 |
|
|
- |
|
|
- |
|
|
57 |
|
|||||
Start-up costs (A) |
|
1,564 |
|
|
2,054 |
|
|
1,415 |
|
|
(289 |
) |
|
4,744 |
|
|||||
Acquisition transaction-related costs |
|
243 |
|
|
88 |
|
|
385 |
|
|
176 |
|
|
892 |
|
|||||
Integration costs |
|
1 |
|
|
5 |
|
|
- |
|
|
- |
|
|
6 |
|
|||||
Other non-recurring expenses (B) |
|
10 |
|
|
557 |
|
|
2 |
|
|
- |
|
|
569 |
|
|||||
Consolidated Adjusted EBITDA | $ |
(25,218 |
) |
$ |
(21,945 |
) |
$ |
52,304 |
|
$ |
(3,801 |
) |
$ |
1,340 |
|
|||||
Consolidated Adjusted EBITDA by Business: | ||||||||||||||||||||
Pursuit | $ |
(9,061 |
) |
$ |
2,011 |
|
$ |
59,593 |
|
$ |
(9,854 |
) |
$ |
42,689 |
|
|||||
Total GES |
|
(14,226 |
) |
|
(21,561 |
) |
|
(4,225 |
) |
|
9,649 |
|
|
(30,363 |
) |
|||||
Total Segment EBITDA |
|
(23,287 |
) |
|
(19,550 |
) |
|
55,368 |
|
|
(205 |
) |
|
12,326 |
|
|||||
Corporate EBITDA |
|
(1,931 |
) |
|
(2,395 |
) |
|
(3,064 |
) |
|
(3,596 |
) |
|
(10,986 |
) |
|||||
Consolidated Adjusted EBITDA | $ |
(25,218 |
) |
$ |
(21,945 |
) |
$ |
52,304 |
|
$ |
(3,801 |
) |
$ |
1,340 |
|
|||||
Pursuit Adjusted EBITDA: | ||||||||||||||||||||
Revenue | $ |
9,790 |
|
$ |
36,313 |
|
$ |
117,555 |
|
$ |
23,390 |
|
$ |
187,048 |
|
|||||
Cost of services and products |
|
(28,111 |
) |
|
(44,410 |
) |
|
(67,954 |
) |
|
(41,964 |
) |
|
(182,439 |
) |
|||||
Segment operating loss |
|
(18,321 |
) |
|
(8,097 |
) |
|
49,601 |
|
|
(18,574 |
) |
|
4,609 |
|
|||||
Depreciation |
|
6,457 |
|
|
6,546 |
|
|
6,734 |
|
|
7,623 |
|
|
27,360 |
|
|||||
Amortization |
|
1,030 |
|
|
1,439 |
|
|
1,462 |
|
|
1,177 |
|
|
5,108 |
|
|||||
Start-up costs (A) |
|
1,564 |
|
|
2,054 |
|
|
1,415 |
|
|
(289 |
) |
|
4,744 |
|
|||||
Acquisition transaction-related costs |
|
208 |
|
|
64 |
|
|
381 |
|
|
209 |
|
|
862 |
|
|||||
Integration costs |
|
1 |
|
|
5 |
|
|
- |
|
|
- |
|
|
6 |
|
|||||
Adjusted EBITDA | $ |
(9,061 |
) |
$ |
2,011 |
|
$ |
59,593 |
|
$ |
(9,854 |
) |
$ |
42,689 |
|
|||||
Pursuit Operating margin | ** |
|
-22.3 |
% |
|
42.2 |
% |
|
-79.4 |
% |
|
2.5 |
% |
|||||||
Pursuit Adjusted EBITDA margin |
|
-92.6 |
% |
|
5.5 |
% |
|
50.7 |
% |
|
-42.1 |
% |
|
22.8 |
% |
|||||
Total GES Adjusted EBITDA: | ||||||||||||||||||||
Revenue | $ |
19,145 |
|
$ |
24,920 |
|
$ |
116,044 |
|
$ |
160,183 |
|
$ |
320,292 |
|
|||||
Cost of services and products |
|
(39,049 |
) |
|
(51,817 |
) |
|
(125,543 |
) |
|
(155,494 |
) |
|
(371,903 |
) |
|||||
Segment operating loss |
|
(19,904 |
) |
|
(26,897 |
) |
|
(9,499 |
) |
|
4,689 |
|
|
(51,611 |
) |
|||||
Depreciation |
|
4,433 |
|
|
4,116 |
|
|
4,024 |
|
|
3,746 |
|
|
16,319 |
|
|||||
Amortization |
|
1,245 |
|
|
1,220 |
|
|
1,250 |
|
|
1,214 |
|
|
4,929 |
|
|||||
Total GES Adjusted EBITDA | $ |
(14,226 |
) |
$ |
(21,561 |
) |
$ |
(4,225 |
) |
$ |
9,649 |
|
$ |
(30,363 |
) |
|||||
Total GES Operating margin | ** | ** |
|
-8.2 |
% |
|
2.9 |
% |
|
-16.1 |
% |
|||||||||
Total GES Adjusted EBITDA margin |
|
-74.3 |
% |
|
-86.5 |
% |
|
-3.6 |
% |
|
6.0 |
% |
|
-9.5 |
% |
|||||
GES Adjusted EBITDA by Reportable Segment: | ||||||||||||||||||||
Spiro | $ |
(5,542 |
) |
$ |
(6,057 |
) |
$ |
890 |
|
$ |
6,430 |
|
$ |
(4,279 |
) |
|||||
GES Exhibitions |
|
(8,684 |
) |
|
(15,504 |
) |
|
(5,115 |
) |
|
3,219 |
|
|
(26,084 |
) |
|||||
Total GES | $ |
(14,226 |
) |
$ |
(21,561 |
) |
$ |
(4,225 |
) |
$ |
9,649 |
|
$ |
(30,363 |
) |
|||||
Spiro Revenue | $ |
12,059 |
|
$ |
11,944 |
|
$ |
37,866 |
|
$ |
54,718 |
|
$ |
116,587 |
|
|||||
Spiro Adjusted EBITDA Margin |
|
-46.0 |
% |
|
-50.7 |
% |
|
2.4 |
% |
|
11.8 |
% |
|
-3.7 |
% |
|||||
GES Exhibitions Revenue | $ |
7,152 |
|
$ |
13,057 |
|
$ |
81,129 |
|
$ |
108,152 |
|
$ |
209,490 |
|
|||||
GES Exhibitions Adjusted EBITDA Margin | ** | ** |
|
-6.3 |
% |
|
3.0 |
% |
|
-12.5 |
% |
|||||||||
(A) Includes costs related to the development of Pursuit's new FlyOver attractions in |
||||||||||||||||||||
(B) Includes non-capitalizable fees and expenses related to Viad’s credit facility refinancing efforts. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20220505005508/en/
Investor Relations
(602) 207-2681
ir@viad.com
Source:
FAQ
What were Viad Corp's Q1 2022 results for the stock symbol VVI?
How did GES perform in Q1 2022 for VVI?
What is the Adjusted EBITDA for Viad Corp in Q1 2022?
What is the outlook for Viad Corp's revenue in 2022?