Viad Slashes Q1 Outlook On COVID-19 Impact; Withdraws FY20 Outlook - Quick Facts

(RTTNews) - Viad Corp (VVI) announced Monday that it has reduced first quarter 2020 guidance and withdrawn full-year 2020 guidance as a result of the current environment related to coronavirus (COVID-19) outbreak.

For the first quarter, January and February performance was in-line with expectations. However, the company expected incremental revenue of about $100 million at its GES business in 2020, largely resulting from three major non-annual events, which have been postponed and cancelled resulting from virus concerns.

The company currently expects GES' first quarter revenue to be in the range of $275 million to $290 million, as compared to the prior guidance of $335 million to $350 million.

To date, Viad has also experienced about $1 million in revenue cancellations at its Pursuit business, which is seasonally strongest in June through September.

The company said first quarter 2020 guidance has been reduced, based on known impacts at GES, and full year 2020 guidance has been withdrawn due to uncertainty regarding the future impact of recently heightened public health concerns and related restrictions in response to the COVID-19 pandemic.

The company also now projects adjusted loss in a range of $0.59 to $0.44 per share for the first quarter.