Viad Q1 Earnings Up 20 Percent

Viad, GES Exposition Services' parent company, had positive earnings in the first quarter of 2008 with a 20-percent increase in net income to $16.7 million, compared with $14 million in the same period last year.

Revenue was up substantially to $335.4 million in the first quarter of this year, compared with $283.7 million in the same period last year, an 18-percent increase.

"Overall, we had a solid first quarter," said Paul Dykstra, Viad's president and CEO. "This growth was driven by positive show rotation at GES and strong revenue at Exhibitgroup/Giltspur."

In the first quarter, GES serviced what are usually the No. 1 and No. 2 shows on the Tradeshow Week 200. Triennial CONEXPO-CON/AGG, which typically takes the top spot on the list in years it is held, had a 2.28 million square foot showfloor and 2,182 exhibitors at the Las Vegas Convention Center in March.

Intl. CES was the biggest U.S. show on the 2008 TSW 200 (based on 2007 show numbers) and this year, though it will most likely be No. 2 to CONEXPO's No. 1, it still drew huge numbers at the LVCC in January.

Dykstra warned the second quarter will not be so kind to Viad for the opposite reason — negative show rotation. According to Viad's earnings statement, the second quarter will be impacted negatively to the tune of $13 million at Exhibitgroup/Giltspur and $5 million at GES.

Some of that loss could be attributed to the Natl. Assn. of Broadcasters' decision to switch from GES to Freeman as the contractor for NAB, held April 14–17 at the LVCC.

In the third quarter, Viad said GES' show rotation will improve with a revenue forecast of $10 million at Exhibitgroup/Giltspur and $45 million at GES. In the fourth quarter, it is expected to dip again at GES by $10 million, according to Viad.