Gannett Co., Inc. reported un-audited consolidated earnings results for the fourth quarter and year ended December 25, 2017. For the quarter, the company reported operating revenues were $854.2 million, including approximately $49.1 million from the 53rd week, compared to $867.0 million in the prior year quarter. GAAP net losses were $13.6 million, including a $42.8 million tax expense from the Tax Cuts and Jobs Act of 2017 and $27.6 million of after-tax restructuring, asset impairment charges and other costs. The effective tax rate was impacted by one-time items related to the reduction in deferred tax assets that resulted from the decrease in the federal statutory tax rate from 35% to 21% and valuation allowances recorded on certain deferred tax assets. The effective tax rate for the fourth quarter without charges related to deferred tax assets and other adjustments was 25.7%. Adjusted EBITDA) totaled $132.7 million compared to $129.8 million in the prior year quarter with a 50 basis point margin improvement year-over-year; the 53rd week contributed approximately $3.6 million in Adjusted EBITDA. Net cash flow from operating activities was approximately $72.8 million compared to $47.6 million in the prior year quarter. Operating income was $44,256,000 against $39,016,000 a year ago. Income before income taxes was $39,858,000 against $34,155,000 a year ago. Net loss was $13,591,000 against net income of $24,594,000 a year ago. Loss per diluted share was $0.12 against earnings per diluted share of $0.21 a year ago. Capital expenditures were $25,441,000 against $15,047,000 a year ago.


For the full year, the company reported operating income was $67,571,000 against $89,370,000 a year ago. Income before income taxes was $40,741,000 against $66,428,000 a year ago. Net income was $6,887,000 against $52,710,000 a year ago. Earnings per diluted share were $0.06 against $0.44 a year ago. Adjusted EBITDA was $359,933,000 against $359,895,000 a year ago. Capital expenditures were $72,325,000 against $60,048,000 a year ago. Operating Revenue was $3,146,480,000 against $3,047,474,000 a year ago. Net cash flow from operating activities (GAAP basis) was $236,468,000. Free cash flow (non-GAAP basis) was $164,143,000.

For 2018, the company expects consolidated revenues of $2.930 billion - $3.030 billion, adjusted EBITDA of $330 million -$340 million, capital expenditures of $65-75 million, excluding real estate projects, and an effective tax rate between 25% and 27%.

In the fourth quarter of 2017, an impairment of assets charges was $26,780,000 compared to $25,003,000 a year ago.