Global Experience Specialists’ parent company Viad continued to perform better than expectations, with its second-quarter earnings results showing a $7.7 million revenue increase to $324.7 million, compared with the same quarter last year.
Management previously had guided for a revenue decline of $4 million to $17 million, primarily due to show rotation and exchange rate variances.
GES’ 2Q revenues were down slightly to $285.4 million, compared with $286.6 million during the same quarter the year before.
“GES exceeded guidance for the second quarter with stronger than expected growth from short-term event bookings and corporate clients,” said Steve Moster, Viad’s president and CEO and president of GES.
He added, “On a year-over-year basis, we continued to drive new wins in under-penetrated live event segments and in our new service offerings, as well as on a same-show basis, which helped to offset negative show rotation and unfavorable exchange rate variances. This speaks to the strength of our team, our comprehensive offerings and our strategy to position GES as the preferred global, full-service provider for live events.”
Base same-shows represented 37.1 percent of GES’ U.S. organic revenue during the 2016 second quarter.
“The increase in same-show growth is a mix of exhibitors purchasing more floor space and investing more in that space,” Moster said.
Also driving growth are short-term bookings.
“We’re having good success with short-term bookings,” Moster said. “These are primarily events for associations and corporations that have shorter sales lead times and are generally booked within the current calendar year – and sometimes even within the same quarter they are produced.”
In the third quarter, GES is producing a number of large non-annual shows that will continue to drive strong revenues, including the International Woodworking Fair, IMTS, MINExpo and the Farnborough Air Show in the U.K.
“With favorable show rotation in the third quarter and a healthy sales pipeline, we remain confident in our ability to deliver our full year targets at GES,” Moster said.
- Industry News