Clear Channel Outdoor Holdings Inc. [1] (NYSE:CCO) has reported financial results for the first quarter ended March 31, 2015, showing consolidated revenues increased 5% to $669 million in 2015 compared to 2014 after adjusting for a $54 million unfavorable impact from movements in foreign exchange rates. On a reported basis, consolidated revenue decreased 3%.
[2]Americas outdoor revenues increased $9 million, or 3%, after adjusting for a $4 million unfavorable impact from movements in foreign exchange rates. Growth was driven primarily by digital billboards, as well as higher revenues from the company’s Time Square spectaculars. On a reported basis, revenues increased $5 million, or 2%.
International outdoor revenues increased $25 million, or 7%, after adjusting for a $50 million unfavorable impact from movements in foreign exchange rates. Growth was driven primarily by strong performance in Europe, as well as in Australia and China. On a reported basis, revenues decreased $26 million, or 7%.
“We continue to engage global consumers and meet the needs of brands and agencies through our industry-leading innovation and creativity,” says Bob Pittman, chairman and CEO of Clear Channel Outdoor Holdings. “Our Americas and International Outdoor teams are working tirelessly to prove the value of outdoor to local, national and global advertisers, as demonstrated by our strong results in the first quarter.”
“Our focus on execution and the expansion of our digital portfolio helped us achieve strong top and bottom line results in the first quarter,” says Scott Wells, CEO of Clear Channel Outdoor Americas. “We are driving growth in many U.S. markets and are leveraging both our digital and traditional outdoor assets to help our advertisers realize the powerful value proposition of outdoor in reaching the mobile and connected consumer.”
William Eccleshare, chairman and CEO of Clear Channel International, says, “We are driving growth across key markets both in developed and emerging countries and are very pleased with our strong performance in the first quarter of the year. We’re extending our industry leadership in the integration of out-of-home with mobile and social platforms, and our growing digital platform enables us to provide powerful solutions for advertisers with the scale and flexibility they demand.”
The Company’s consolidated net loss totaled $34 million in the first quarter of 2015 compared to $97 million in the same period of 2014. The decrease was primarily due to foreign currency gains recognized in connection with intercompany notes payable denominated in foreign currencies and an income tax benefit recorded in the first quarter 2015, compared to income tax expense recorded in the same period in 2014.
Non-financial highlights of the first quarter included:
- Naming Bob Pittman CEO of Clear Channel Outdoor Holdings, Inc. in addition to his continued responsibility as Chairman;
- Naming Scott Wells CEO of Clear Channel Outdoor Americas, overseeing all of Clear Channel Outdoor’s business in the U.S., Canada and Latin America. Wells joined the company from Bain Capital, where he served as an operating partner. Prior to taking this new role, Wells was a member of the Clear Channel Outdoor Americas’ Office of the President, headed its North American Executive Committee and served on its Board of Directors;
- Naming William Eccleshare Chairman and CEO of Clear Channel International, leading CCI’s global efforts and intensifying focus on the increasing potential of the international outdoor advertising market;
- Installing 143 new digital displays in international markets for an end of quarter total of over 4,900 displays and 18 new digital billboards in North America for an end of quarter total of 1,193 across 38 markets;
- Moving Latin America operations under the leadership of Americas outdoor;
- Earning the annual Business Superbrand designation for Clear Channel UK, identifying the UK’s strongest business-to-business brands based on their quality, reliability and distinction, as coordinated by The Centre for Brand Analysis.
Clear Channel Outdoor Holdings Inc. is one of the world’s largest outdoor advertising companies with more than 640,000 displays in over 40 countries across Asia, Australia, Europe, Latin America and North America. Reaching millions of people monthly, including consumers in 45 of the top 50 U.S. markets, Clear Channel Outdoor enables advertisers to engage with consumers through innovative advertising solutions. Clear Channel Outdoor is pioneering the integration of out-of-home with mobile and social platforms.