New Media Investment Group Inc. (NYSE:NEWM) Q1 2018 Earnings Conference Call - Final Transcript

May 03, 2018 • 10:00 am ET

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New Media Investment Group Inc. (NYSE:NEWM) Q1 2018 Earnings Conference Call - Final Transcript

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Q & A
Executive
Michael E. Reed

trend a little bit in the first quarter. Also from a seasonality perspective, we do less special additions which are paid additions in the fourth quarter with all of the holiday activity going on. There are a lot more special additions done across the country and that helps the trend away from just peer pricing and peer volume. And so there's just less of that in the first quarter. We will see more of that pick up as the year goes on especially in Q2 and Q4.

And then, the final thing and Kirk Davis is here with me and he's our Chief Operating Officer. I'm going to let him talk about this, but we've hired a great executive that is running a consumer marketing for us and we have some new initiatives in place that we hinted to in the press release around an agency mentality that will help us grow both our print and digital business and Kirk can talk a little bit more just about what we're doing on the agency side.

But before I do that the final thing, Kyle is we haven't seen any change in volume trends we're still down in that mid-to-high single digit range in terms of volumes. Kirk?

Executive
Kirk A. Davis

Good morning. Yes, I would just add to Mike's comment Kyle. We're basically building an internal agency to serve all of our newspapers it's somewhat similar to what we did in Austin, Texas to support our news operations. Digital marketing requires different levels of sophistication. It's a massive opportunity for us. We brought Denise Robbins on Board. She previously worked at the New York Times. And we've developed a plan, we're very excited about to shift resources into serve all of our papers centrally and invest more in digital marketing. So very excited about that and expect to have the first phase of the agency up and running by the end of the quarter.

Executive
Michael E. Reed

So we're pretty optimistic about our -- being able to achieve our targets for the year Kyle.

Analyst
Kyle Evans

Got it. One last one now and I will hop back in queue. You mentioned that you were happy with pacing. Can you talk a little bit maybe specifically about maybe segments of the business print ad or other as it relates to the pacing?

Executive
Michael E. Reed

No. I think it's too early to -- in the quarter to get specific by revenue line or revenue category. What I would say is that, on page 5 when you look at all of the different initiatives we have that are our growth areas. We feel good about Q2 being as good or better than Q1. And then, overall revenue performance in the company where based on the first month looks a little bit better than Q1 as well. So we're continuing to see great momentum. We're continuing to see the initiatives that we're investing in take hold. And it gives us optimism for another good quarter in the second quarter.

Analyst
Kyle Evans

How much pre-print is left