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Entercom Communications Corp. Reports Second Quarter Results

PHILADELPHIA--(BUSINESS WIRE)--

Entercom Communications (ETM) today reported financial results for the quarter ended June 30, 2018.

Second Quarter Highlights

  • Net revenues for the quarter were $372.1 million, compared to $125.0 million in the second quarter of 2017. On a same-station basis, net revenues for the quarter were $372.1 million compared to $405.7 million in the second quarter of 2017
  • Operating income for the quarter was $27.6 million, after a non-cash impairment charge of $29 million that is primarily due to our pending divestitures, compared to $16.4 million in the second quarter of 2017
  • Net income per diluted share for the quarter was $0.01, compared to $0.15 in the second quarter of 2017
  • Pro Forma Adjusted EBITDA for the quarter was $82.1 million, compared to $101.7 million in the second quarter of 2017

David J. Field, President and Chief Executive Officer, stated: “I am pleased to report that we have made great progress across multiple fronts as we continue our work to capitalize on our transformational merger. We have signed a definitive agreement with Bonneville to complete our last required station divestitures, successfully launched the new Entercom Audio Network with strong early revenues, terminated our painful relationship with United States Traffic Network, achieved rapid growth on our burgeoning Radio.com platform, and delivered a 5% reduction in Q2 expenses as we realize our merger-related synergies. Second quarter revenues were soft, down 8% exacerbated by the loss of $12 million in revenues from USTN. But revenue performance is improving and we are currently pacing down 2% in the third quarter excluding the impact of USTN. For the fourth quarter, we are pacing up 3% on an unadjusted basis. I am proud of the outstanding team we have built and the terrific work they are doing to capitalize on our abundant scale-driven opportunities.”

Additional Information

On August 2, the Company reached a definitive agreement with Bonneville International Corporation (“Bonneville”) in which Bonneville will acquire four radio stations in San Francisco and four radio stations in Sacramento for $141 million. These stations are currently being held separate from the Company through an FCC divestiture trust and are operated by Bonneville under a time brokerage agreement (“TBA”). The Company expects the transaction to close either late in the third quarter or early in the fourth quarter, depending on the timing of regulatory approvals, and expects to realize approximately $122 million in after-tax proceeds. Based on this final sales price, we determined that the carrying value of these assets was greater than their fair value and recorded a non-cash impairment charge of $25.6 million.

The Company expects to close on the sale of a tower site adjacent to O’Hare Airport in Chicago today and to realize $46 million of gross proceeds. In addition, the Company expects to close on the sale of an office building on Venice Boulevard in Los Angeles in September and realize $26 million of gross proceeds. The Company has also entered into agreements to sell: land and buildings in Dallas, TX; land and buildings in San Diego, CA; land and buildings in Sacramento, CA; and land in Austin, TX. For the full year, the Company now expects that gross proceeds from such redundant assets sales will total about $95 million and expects to realize after-tax proceeds from such sales of close to $80 million versus the $50 million the Company anticipated earlier this year.

In July, the Company terminated its agreement with United States Traffic Network (“USTN”) which had provided traffic advertising sales services and limited traffic reporting services to the Company. As a result, the Company has taken back all of the inventory that USTN previously utilized and now will be able to sell that inventory using its local, national and network sales teams. The Company is also a secured creditor of USTN and hopes to recover additional amounts to the extent USTN is able to make further payments to us or we realize a recovery through the legal process.

In July, the Company announced a definitive agreement to acquire 101.1 MORE FM (WBEB-FM) from Jerry Lee Radio, LLC in Philadelphia, PA for $57.5 million in cash. The Company also announced that it had entered into an agreement to divest 92.5 XTU (WXTU-FM) in Philadelphia, PA to Beasley Broadcast Group, Inc. for $38.0 million in cash. The transactions are immediately accretive to Entercom and are leverage neutral.

In July, the Company launched the Entercom Audio Network. This new national network allows advertisers to leverage Entercom’s scale with targeted offerings across its portfolio of 235 top-rated radio stations reaching over 112 million listeners monthly.

On April 30, the Company completed its acquisition of two stations in St. Louis, MO from Emmis Communications. The Company began operating these stations under a TBA on March 1, 2018.

As of June 30, 2018, the Company had outstanding $1,528 million of senior debt under its credit facilities and $400 million in senior notes (both amounts exclude unamortized premium from purchase price accounting). In addition, the Company had $40 million in cash on hand.

Our senior secured net leverage as of June 30, 2018, computed in accordance with the terms of our Credit Agreement and in accordance with the terms of our Indenture for our Senior Notes, was 3.8x as compared to our covenant of 4x and our total net leverage was 4.8x. On a pro forma basis as if all of the Company’s pending asset sales had closed by June 30th, and subtracting the EBITDA being sold to Bonneville and the related time brokerage fees, our senior secured net leverage would have been 3.4x and our total net leverage would have been 4.5x.

Given the benefit of the expected asset sales and the Company’s improving revenue outlook, we expect to remain compliant with our senior secured net leverage covenant as of September 30, 2018 whether or not the Bonneville divestitures close in the third quarter or the fourth quarter. In addition, we expect to be able to reduce our leverage from our as reported leverage as of June 30, 2018 by about ½ turn by the end of this year.

Earnings Conference Call and Company Information

Entercom will hold a conference call and simultaneous webcast regarding the quarterly earnings release on Wednesday August 8, 2018 at 8:30 AM Eastern Time. The public may access the conference call by dialing Toll Free: 888-889-0278 and Toll: 312-470-7365, passcode: Entercom (domestic and international callers). Participants may also listen to a live webcast of the call by visiting the “Investor Relations” section of Entercom’s website at www.entercom.com. A replay of the conference call will be available for one week by dialing 866-463-2180. A webcast replay of the conference call will be available beginning six hours after the call on the Company’s website for a period of two weeks. Additional information is available on the Company’s website at www.entercom.com.

Certain Definitions

All references to per share data, unless stated otherwise, are presented as per diluted share. All references to shares outstanding, unless stated otherwise, are presented to exclude unvested restricted stock units. All references to net debt are outstanding debt net of cash on hand.

Same Station Net Revenues consist of net revenues adjusted for material station acquisitions and dispositions as if these acquisitions and dispositions had occurred as of the beginning of the comparable prior period.

Station Expenses consist of station operating expenses excluding non-cash compensation expense.

Corporate Expenses consist of corporate general and administrative expenses excluding non-cash compensation expense.

Station Operating Income consists of operating income (loss) before: depreciation and amortization; time brokerage agreement fees (income); corporate general and administrative expenses; non-cash compensation expense (which is otherwise included in station operating expenses); impairment loss; merger and acquisition costs, other expenses related to the refinancing; non-recurring expenses recognized for restructuring charges or similar costs, including transition and integration costs; and gain or loss on sale or disposition of assets.

Adjusted EBITDA consists of net income (loss) available to common shareholders, adjusted to exclude: income taxes (benefit); income from discontinued operations, net of income taxes or benefit; total other income or expense; net interest expense; depreciation and amortization; time brokerage agreement fees (income); non-cash compensation expense (which is otherwise included in station operating expenses and corporate G&A expenses); other expenses related to the refinancing; impairment loss, merger and acquisition costs, preferred stock dividends; non-recurring expense recognized for restructuring charges or similar costs, including transition and integration costs, and gain or loss on sale or disposition of assets.

Pro Forma Adjusted EBITDA consists of Adjusted EBITDA to exclude those costs incurred by the prior owner that were not assumed by the Company or were unusual in nature and adjustments for material acquisitions and divestitures as if these acquisitions and divestitures had occurred as of the beginning of the period presented.

Adjusted Free Cash Flow consists of operating income (loss): (i) plus depreciation and amortization; net (gain) loss on sale or disposal of assets; non-cash compensation expense (which is otherwise included in station operating expenses and corporate general and administrative expenses); impairment loss; merger and acquisition costs; other expenses related to the refinancing; other income and non-recurring expenses recognized for restructuring charges or similar costs, including transition and integration costs; income from discontinued operations (excluding income taxes or tax benefit); and (ii) less net interest expense (excluding amortization of deferred financing costs or debt premium), preferred stock dividends, taxes paid, capital expenditures and amortizable intangibles.

Adjusted Net Income (Loss) consists of net income (loss) available to common shareholders adjusted to exclude: (i) income taxes (benefit) as reported, including income taxes otherwise included in income from discontinued operations; (ii) gain/loss on sale of assets, derivative instruments and investments; (iii) non-cash compensation expense; (iv) other income; (v) impairment loss; (vi) merger and acquisition costs, other expenses related to the refinancing, loss on extinguishment of debt and non-recurring expenses recognized for restructuring charges or similar costs, including transition and integration costs; and (vii) gain/loss on early extinguishment of debt. For purposes of comparability, income taxes are reflected at the expected statutory federal and state income tax rate of 30% and 40% without discrete items of tax for the years 2018 and 2017, respectively.

Adjusted Net Income (Loss) Per Share - Diluted includes any dilutive equivalent shares when not anti-dilutive. Convertible Preferred Stock is treated as if it never converted for the purposes of Adjusted Net Income (Loss) Per Share - Diluted.

Non-GAAP Financial Measures

It is important to note that station operating income, station expense, corporate expense, same station net revenues, Adjusted EBITDA, Pro Forma Adjusted EBITDA, Adjusted Net Income, Adjusted Net Income (Loss) Per Share - Diluted and Adjusted Free Cash Flow are not measures of performance or liquidity calculated in accordance with generally accepted accounting principles (“GAAP”). Management believes that these measures are useful as a way to evaluate the Company and the means for management to evaluate our radio stations’ performance and operations. Management believes that these measures are useful to an investor in evaluating our performance because they are widely used in the broadcast industry as a measure of a radio company’s operating performance.

Certain adjusted non-GAAP financial measures are presented in this release (e.g., Adjusted Net Income (Loss) and Adjusted Net Income (Loss) Per Share - Diluted). The adjustments exclude gain/loss on sale of assets, derivative instruments, and investments; non-cash compensation expense, other income, impairment loss, merger and acquisition costs, other expenses related to the refinancing, and gain/loss on early extinguishment of debt and non-recurring expenses recognized for restructuring charges or similar costs, including transition and integration costs. For purposes of comparability, income taxes for 2018 and 2017 are reflected at the expected federal and state income tax rate of 30% and 40%, respectively, without adjustment for discrete tax adjustments.

Management believes these adjusted non-GAAP measures provide useful information to Management and investors by excluding certain income, expenses and gains and losses that may not be indicative of the Company’s core operating and financial results. Similarly, Management believes these adjusted measures are a useful performance measure because certain items included in the calculation of net income (loss) may either mask or exaggerate trends in the Company’s ongoing operating performance. Further, the reconciliations corresponding to these adjusted measures, by identifying the individual adjustments, provide a useful mechanism for investors to consider these adjusted measures with some or all of the identified adjustments.

Management uses these non-GAAP financial measures on an ongoing basis to help track and assess the Company's financial performance. You, however, should not consider non-GAAP measures in isolation or as substitutes for net income (loss), operating income, or any other measure for determining our operating performance that is calculated in accordance with generally accepted accounting principles. These non-GAAP measures are not necessarily comparable to similarly titled measures employed by other companies. The accompanying financial tables provide reconciliations to the nearest GAAP measure of all non-GAAP measures provided in this release.

Note Regarding Forward-Looking Statements

The information in this news release is being widely disseminated in accordance with the Securities and Exchange Commission's Regulation FD.

This news announcement contains certain forward-looking statements that are based upon current expectations and certain unaudited pro forma information that is presented for illustrative purposes only and involves certain risks and uncertainties within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Additional information and key risks are described in the Company’s filings on Forms S-4, 8-K, 10-Q and 10-K with the Securities and Exchange Commission. Readers should note that these statements might be impacted by several factors including changes in the economic and regulatory climate and the business of radio broadcasting, in general. The unaudited pro forma information and same station operating data reflect adjustments and are presented for comparative purposes only and do not purport to be indicative of what has occurred or indicative of future operating results or financial position. Accordingly, the Company’s actual performance may differ materially from those stated or implied herein. The Company assumes no obligation to publicly update or revise any unaudited pro forma or forward-looking statements.

About Entercom Communications Corp.

Entercom Communications Corp. (ETM) is a leading American media and entertainment company reaching and engaging over 100 million people each week through its premier collection of highly rated, award winning radio stations, digital platforms and live events. As one of the country’s two largest radio broadcasters, Entercom offers integrated marketing solutions and delivers the power of local connection on a national scale with coverage of close to 90% of persons 12+ in the top 50 markets. Entercom is the #1 creator of live, original, local audio content and the nation’s unrivaled leader in news and sports radio. Learn more about Philadelphia-based Entercom at www.entercom.com, Facebook and Twitter (@Entercom).

For further information, or to receive future Entercom Communications news announcements via e-mail, please contact JCIR at 212/835-8500 or etm@jcir.com.

       

ENTERCOM COMMUNICATIONS CORP.

FINANCIAL DATA

(amounts in thousands, except per share data)

(unaudited)

Three Months Ended Six Months Ended
June 30, June 30,
2018 2017 2018 2017

STATEMENTS OF OPERATIONS

 
Net Revenues $ 372,124 $ 124,970 $ 672,684 $ 223,971
 
Station Expenses 274,159 90,632 527,920 167,593
Station Expense - Non-Cash Compensation 1,680 372 3,643 577
Corporate Expenses 16,982 7,771 33,691 16,947
Corporate Expenses - Non-Cash Compensation 2,050 1,105 4,010 2,494
Depreciation And Amortization 10,666 2,517 19,137 5,164
Time Brokerage Agreement Expense (Income) (666) - (1,092) 34
Merger And Acquisition Costs 687 5,829 2,071 16,100
Impairment Loss 28,988 441 28,988 441
Restructuring Charges 686 - 2,167 -
Integration Costs 9,494 - 19,223 -
Net (Gain) Loss On Sale Or Disposition of Assets   (154)   (76)   (315)   13,258
Total Operating Expenses   344,572   108,591   639,443   222,608
Operating Income   27,552   16,379   33,241   1,363
 
Net Interest Expense   25,706   6,133   49,110   12,110
 
Income (Loss) Before Income Taxes 1,846 10,246 (15,869) (10,747)
Income Taxes (Benefit)   249   3,832   (3,260)   (7,830)
Net Income (Loss) Available To The Company - Continuing Operations 1,597 6,414 (12,609) (2,917)
Preferred Stock Dividend   -   550   -   1,100
Net Income (Loss) Available To Common Shareholders - Continuing Operations 1,597 5,864 (12,609) (4,017)
Income From Discontinued Operations, Net Of Income Taxes   844   -   1,172   -
Net Income (Loss) Available To Common Shareholders $ 2,441 $ 5,864 $ (11,437) $ (4,017)
 

Net Income (Loss) From Continuing Operations Available To Common Shareholders - Basic

$ 0.01 $ 0.15 $ (0.09) $ (0.10)
 

Net Income (Loss) From Continuing Operations Available To Common Shareholders - Diluted

$ 0.01 $ 0.15 $ (0.09) $ (0.10)
 
Dividends Declared And Paid Per Common Share $ 0.09 $ 0.075 $ 0.18 $ 0.15
 
Weighted Common Shares Outstanding - Basic   138,639   38,945   138,962   38,935
Weighted Common Shares Outstanding - Diluted   139,263   39,656   138,962   38,935
 

SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION

Capital Expenditures, Including Amortizable Intangibles $ 11,995 $ 4,350 $ 18,986 $ 7,044
Income Taxes Paid $ 18,791 $ 122 $ 18,836 $ 177
Cash Dividends On Common Stock Declared And Paid $ 12,475 $ 2,921 $ 24,916 $ 5,837
Cash Dividends On Preferred Stock Declared And Paid $ - $ 550 $ - $ 1,100
 

SELECTED BALANCE SHEET DATA

June 30, December 31,
2018 2017
Cash and Cash Equivalents $ 39,926 $ 34,167
Senior Debt - Term B-1 Loan (Includes Current Portion) $ 1,323,350 $ 1,330,000
Senior Debt - Revolver (Includes Current Portion) $ 205,000 $ 143,000
Senior Notes $ 400,000 $ 400,000
Total Shareholders' Equity $ 1,711,486 $ 1,764,360
 
OTHER FINANCIAL DATA
Three Months Ended Six Months Ended
June 30, June 30,
2018 2017   2018   2017

Reconciliation Of GAAP Net Revenues To Same Station Net Revenues

Net Revenues $ 372,124 $ 124,970 $ 672,684 $ 223,971
Net Acquisitions And Divestitures Of Radio Stations   -   280,750   -   506,680
Same Station Net Revenues $ 372,124 $ 405,720 $ 672,684 $ 730,651
 

Reconciliation Of GAAP Station Operating Expenses To Station Expenses

Station Operating Expenses $ 275,839 $ 91,004 $ 531,563 $ 168,170
Station Expenses - Non-Cash Compensation   (1,680)   (372)   (3,643)   (577)
Station Expenses $ 274,159 $ 90,632 $ 527,920 $ 167,593
 

Reconciliation Of GAAP Corporate General & Administrative Expenses To Corporate Expenses

Corporate General & Administrative Expenses $ 19,032 $ 8,876 $ 37,701 $ 19,441
Corporate Expenses - Non-Cash Compensation   (2,050)   (1,105)   (4,010)   (2,494)
Corporate Expenses $ 16,982 $ 7,771 $ 33,691 $ 16,947
 

Reconciliation Of GAAP Operating Income To Station Operating Income

Operating Income $ 27,552 $ 16,379 $ 33,241 $ 1,363
Corporate Expenses 16,982 7,771 33,691 16,947
Corporate Expenses - Non-Cash Compensation 2,050 1,105 4,010 2,494
Station Expenses - Non-Cash Compensation 1,680 372 3,643 577
Depreciation And Amortization 10,666 2,517 19,137 5,164
Merger And Acquisition Costs 687 5,829 2,071 16,100
Restructuring Charges 686 - 2,167 -
Impairment Loss 28,988 441 28,988 441
Integration Costs 9,494 - 19,223 -
Net Time Brokerage Agreement Expense (Income) (666) - (1,092) 34
Net Gain (Loss) On Sale Or Disposition of Assets   (154)   (76)   (315)   13,258
Station Operating Income $ 97,965 $ 34,338 $ 144,764 $ 56,378
 

Reconciliation Of GAAP Net Income (Loss) Available To Common Shareholders To Adjusted EBITDA To Pro Forma Adjusted EBITDA

Net (Income) Loss Available To Common Shareholders $ 2,441 $ 5,864 $ (11,437) $ (4,017)
Income Taxes (Benefit) 249 3,832 (3,260) (7,830)
Income From Discontinued Operations, Net Of Income Taxes (844) - (1,172) -
Net Interest Expense 25,706 6,133 49,110 12,110
Corporate Expenses - Non-Cash Compensation 2,050 1,105 4,010 2,494
Station Expenses - Non-Cash Compensation 1,680 372 3,643 576
Depreciation And Amortization 10,666 2,517 19,137 5,164
Time Brokerage Agreement Expense (Income) (666) - (1,092) 34
Preferred Stock Dividend - 550 - 1,100
Merger And Acquisition Costs 687 5,829 2,071 16,100
Restructuring Charges 686 - 2,167 -
Integration Costs 9,494 - 19,223 -
Transition Costs And Non-Recurring Expenses Otherwise
Included In Corporate Expenses 1,100 166 1,100 1,419
Impairment Loss 28,988 441 28,988 441
Net Gain (Loss) On Sale Or Disposition of Assets   (154)   (76)   (315)   13,258
Adjusted EBITDA 82,083 26,733 112,173 40,849
Net Of Acquisitions And Divestitures - 74,828 120,604
CBS Radio Costs Incurred To Separate From Its Parent   -   149       1,286
Pro Forma Adjusted EBITDA $ 82,083 $ 101,710 $ 112,173 $ 162,739
 

Reconciliation Of GAAP Net Income (Loss) Available To Common Shareholders To Adjusted Free Cash Flow

Net Income (Loss) Available To Common Shareholders $ 2,441 $ 5,864 $ (11,437) $ (4,017)
Depreciation And Amortization 10,666 2,517 19,137 5,164
Deferred Financing Costs Included In Interest Expense 796 580 1,591 1,166
Amortization Debt Premium Included In Interest Expense (716) - (1,432) -
Non-Cash Compensation Expense 3,730 1,477 7,653 3,071
Merger And Acquisition Costs 688 5,829 2,071 16,100
Integration Costs 9,494 - 19,223 -
Restructuring Charges 686 - 2,167 -
Transition Costs And Non-Recurring Expenses Otherwise
Included In Corporate Expenses 1,100 166 1,100 1,419
Impairment Loss 28,988 441 28,988 441
Net (Gain) Loss On Sale Or Disposition of Assets (154) (76) (315) 13,258
Income Taxes (Benefit) 249 3,832 (3,260) (7,830)
Income Taxes Otherwise Included In Income From Discontinued Operations 337 - 423 -
Capital Expenditures, Including Amortizable Intangibles (11,995) (4,350) (18,986) (7,044)
Income Taxes Paid   (18,791)   (122)   (18,836)   (177)
Adjusted Free Cash Flow $ 27,519 $ 16,158 $ 28,087 $ 21,551
 
 

Reconciliation Of GAAP Net Income (Loss) Available To Common Shareholders To Adjusted Net Income

Net Income (Loss) Available To Common Shareholders $ 2,441 $ 5,864 $ (11,437) $ (4,017)
Preferred Stock Dividend - 550 - 1,100
Income Taxes (Benefit) 249 3,832 (3,260) (7,830)
Income Taxes Included In Income From Discontinued Operations 336 - 423 -
Merger And Acquisition Costs 687 5,829 2,071 16,100
Transition Costs And Non-Recurring Expenses Otherwise
Included In Corporate Expenses 1,100 166 1,100 1,419
Impairment Loss 28,988 441 28,988 441
Integration Costs 9,494 - 19,223 -
Restructuring Charges 686 - 2,167 -
Net (Gain) Loss On Sale Or Disposition of Assets (154) (76) (315) 13,258
Non-Cash Compensation Expense   3,730   1,477   7,653   3,071
Adjusted Income Before Income Taxes 47,557 18,083 46,613 23,542
Income Taxes   14,267   7,233   13,984   9,417
Adjusted Net Income Available To The Company 33,290 10,850 32,629 14,125
Preferred Stock Dividend   -   550   -   1,100
Adjusted Net Income $ 33,290 $ 10,300 $ 32,629 $ 13,025
 

Numerator For Purposes Of Computing Adjusted Net Income (Loss) Per Share - Diluted

Adjusted Net Income (Loss) $ 33,290 $ 10,300 $ 32,629 $ 13,025
Preferred Stock Dividend, Treated As If Preferred Never Converted   -   -   -   -
$ 33,290 $ 10,300 $ 32,629 $ 13,025

Weighted Average Diluted Shares Outstanding For Purposes Of Computing Adjusted Net Income Per Share - Diluted

Weighted Common Shares Outstanding - Diluted As Reported 139,263 39,656 138,962 38,935
Preferred Stock Dividend, Treated As If Preferred Never Converted - - - -
Diluted Shares Excluded When Reporting A Net Loss   -   -   1,059   1,026
  139,263   39,656   140,021   39,961
 
Adjusted Net Income (Loss) Per Share - Diluted $ 0.24 $ 0.26 $ 0.23 $ 0.33
 

View source version on businesswire.com: https://www.businesswire.com/news/home/20180808005162/en/

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    Inversion is a mental model that involves flipping your outlook to prevent the opposite of what you want to happen from happening. Warren Buffett and his business partner Charlie Munger employed inversion as a business strategy to build Berkshire Hathaway into a powerhouse. In a recent podcast with Brandon of the Mad Fientist, who retired early at 34, productivity expert James Clear said the same strategy Buffett used can help set someone on the path for early retirement.

  • Goldman Sachs Adds Nvidia To 'Conviction Buy' List
    Business
    Yahoo Finance Video

    Goldman Sachs Adds Nvidia To 'Conviction Buy' List

    Goldman Sachs analyst Toshiya Hari reiterated his 'Buy' rating for Nvidia and added the chip-maker to Goldman’s 'Conviction Buy' list.

  • Don’t sweat a stock-market selloff with midterms around the corner, says strategist
    News
    MarketWatch

    Don’t sweat a stock-market selloff with midterms around the corner, says strategist

    “On average, the S&P 500 actually has been negative year to date in early October during a midterm year,” said Detrick, in a note. Read: Will midterm elections sink the stock market? As for the market’s dismal performance the past couple of weeks, Detrick expects stocks to remain under pressure in the near term as they had done in 2016 when the S&P 500 slid for nine straight sessions before the election in November.

  • Alibaba (BABA) Dips More Than Broader Markets: What You Should Know
    Finance
    Zacks

    Alibaba (BABA) Dips More Than Broader Markets: What You Should Know

    Investors will be hoping for strength from BABA as it approaches its next earnings release, which is expected to be November 2, 2018. On that day, BABA is projected to report earnings of $1.16 per share, which would represent a year-over-year decline of 10.08%. Investors should also note any recent changes to analyst estimates for BABA.

  • Ford Motor Company Earnings: What to Watch For
    Business
    Motley Fool

    Ford Motor Company Earnings: What to Watch For

    Ford Motor Company (NYSE: F) will report its third-quarter earnings results after the markets close on Oct. 24. Wall Street analysts polled by Thomson Reuters expect Ford to report earnings of $0.30 per share, on average, down from $0.43 in the third quarter of 2017. Ford's F-Series pickups continue to sell well and generate good profits, thanks to high-margin versions like this F-150 Limited.

  • Twitter (TWTR) Q3 Earnings Preview: What to Know Ahead of the Release
    Business
    Zacks

    Twitter (TWTR) Q3 Earnings Preview: What to Know Ahead of the Release

    Twitter (TWTR) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended September 2018. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price. The earnings report, which is expected to be released on October 25, 2018, might help the stock move higher if these key numbers are better than expectations.

  • Finance
    IPO-Edge.com

    Why Warren Buffett and a Wal-Mart Heir Want a Slice of This Brazilian Payments IPO

    Warren Buffett and Wal-Mart heir Rob Walton are buying tickets to Brazil. Should investors join them for the ride? Brazilian digital-payments company StoneCo (ticker: STNE) plans to sell up to $1.1 billion in an offering of new and existing shares, valuing the company at $6.2 billion if they price at the top of the indicative range.

  • Business
    CNBC

    Want to work for Jack Ma? These are the traits he looks for in a candidate

    For Jack Ma , the man behind Chinese tech giant Alibaba BABA , that's a process that took him some time to master. Ma, speaking in the Indonesia resort island of Bali last week, recalled a hiring mistake he made in the early days of Alibaba. As it turned out, that plan was designed to cost $12 million — way over the spending budget that the company could afford back then, Ma explained.

  • 3 takeaways from a conversation between Warren Buffett and Dr. James Reed
    Finance
    American City Business Journals

    3 takeaways from a conversation between Warren Buffett and Dr. James Reed

    The world's third-richest person sat down with the leader of the largest Albany area hospital system to talk about health care and the economy. Billionaire Warren Buffett, chief executive of Berkshire Hathaway, had a public discussion Wednesday with Dr. James Reed, president and CEO of St. Peter's Health Partners. The discussion was held after a Berkshire Hathaway subsidiary bought medical malpractice insurer MLMIC, formerly Medical Liability Mutual Insurance Co. Reed is chairman of the board of MLMIC, New York's largest medical malpractice insurer.

  • Canada Has Legalized Marijuana. Here's What That Means For American Travelers
    News
    Time

    Canada Has Legalized Marijuana. Here's What That Means For American Travelers

    Recreational marijuana is now legal across Canada, giving millions of people the right to buy, carry and grow cannabis. “Regardless of Canada’s legalization of marijuana today, nothing will be changing on the U.S. side or with CBP policies and procedures at the border,” Malin said via email. U.S. residents are free to consume cannabis in Canada, but they should leave it behind when returning home, says Erik Altieri, the executive director of the National Organization for the Reform of Marijuana laws (NORML).

  • 15 Tech Stocks With Hidden Potential
    Finance
    InvestorPlace

    15 Tech Stocks With Hidden Potential

    Tech stocks have been killed lately. Thanks to rising rates pressuring equity valuations, trade concerns dampening the outlook for global growth and regulation threatening to upend secular growth trends, once red-hot tech stocks have recently found themselves in Wall Street’s garbage pile.

  • Marijuana stocks to watch: Aurora Cannabis investments may be more valuable than its pot
    News
    MarketWatch

    Marijuana stocks to watch: Aurora Cannabis investments may be more valuable than its pot

    Aurora Cannabis Inc. is a major pot producer, but if its bets on other cannabis companies continue to pay off, it may be able to stop actually growing weed on its own. Aurora (ACBFF)(CA:ACB) said recently its investments were worth more than C$700 million ($540 million) as of Sept. 21, bolstered in part by demand for pot stocks ahead of full legalization of marijuana in Canada on Wednesday. As the entire sector has benefited, so has Aurora’s portfolio, boosting the company’s fiscal fourth-quarter profit to C$79.9 million, after a loss of $20.8 million the year earlier.

  • News
    MarketWatch

    Caterpillar's stock tumbles to pace Dow losers after disappointing results from industrial sector peers

    Shares of Caterpillar Inc. (cat) tumbled 3.9% in afternoon trade, enough to pace the 28 of 30 Dow Jones Industrial Average (djia) components that were declining, after a number of disappointing earnings reports from industrial-sector peers. The SPDR Industrial Select Sector ETF (xli) of which Caterpillar is a component, slumped 1.9% to a 3 1/2-month low, with 68 of 70 equity components losing ground. The biggest loser in the ETF were shares of United Rentals Inc. (uri) which fell 11.7% to a 13-month low after the company beat earnings and revenue expectations, but UBS cut its price target to $180 from $196 citing disappointing rates.