Viad Corp (NYSE:VVI) Q1 2018 Earnings Conference Call - Preliminary Transcript

Apr 26, 2018 • 05:00 pm ET


Viad Corp (NYSE:VVI) Q1 2018 Earnings Conference Call - Preliminary Transcript


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Steve Moster

technology solutions. We've won this prestigious award three of last four years and it's an honor to receive this recognition.

I'm also happy to report that our ON Services audio-visual production business met our expectations for the quarter and captured in-sourcing benefits that drove margin improvement across several events. We're also seeing solid cross-sell opportunities and strong leads across an array of sectors. Recently, we won and produced the EarthX Conference, which is the world's largest environmental event.

In just two months, our ON Services team went from initial discussions with the client to executing on this complex event that included conference sessions, festivities and entertainment with over 800 exhibited spread across three buildings. With our sustainable event planning offering, GES was a natural partner for EarthX, which showcases the latest initiatives, discoveries, research, innovation, policies and corporate practices that are reshaping the future of our planet.

Audio-visual production services is a key component of our growth strategy, particularly as we work to gain additional share in the higher-margin corporate event space, and we continue to solidify and grow our position in that area. Last month, we partnered with Q2, a leading provider of secured experience-driven digital banking solutions to produce its flagship event Connect 18 in San Antonio.

For this event, we designed, built and executed the general session, the breakout sessions, Excel, hub and design lab, effectively creating an environment that encourage conversation for learning, networking and innovation. We also recently resigned Tableau (ph) Software's annual conference for an additional three year period. We will provide creative strategy and planning, environmental and graphic design and production, show services and interactive installations for Tableau's event.

And another corporate event client Plexus Worldwide has chosen to partner with GES for a second year to help strategize and design and produce its 10th Annual Plexus Legacy Convention later this year. Our partnership with the Plexus has included product launch designs and strategy, a creation of a full retail store within the convention center hall and mapping out of the attendee flow for 13,000 Plexus ambassadors.

Our exhibitions team also had an important renewal recently with the resigning of CONEXPO-CON/AGG and IFPE for its 2020 occurrence. This tri-annual show is a long-standing GES client and the largest exhibition in the Western Hemisphere.

Overall, we're encouraged by the health of our industry and the progress that we're making towards our strategic goals. By adding complementary and higher-margin services to our suite of offerings, we are strengthening our position in the marketplace and we're poised for a successful 2018. Now let me switch gears to Pursuit.

Our team at Pursuit delivered strong organic growth of 17.7% during a seasonably slow first quarter. This trend was primarily driven by our revenue management initiatives, coupled with the investments that we've made towards our Refresh, Build, Buy strategy.With most of our operations close, the growth during this period was primarily driven by the Banff Gondola and the FlyOver Canada attraction.

Our Banff Gondola continues to exceed expectations