Outerwall Inc Announces Q1 2015 Results Record 6086 Million Consolidated Revenue

PRESS RELEASE

» Solid execution drives growth in profitability and cash flow;

» Board of directors declares quarterly cash dividend of $0.30 per share

BELLEVUE, Wash., May 7, 2015 /PRNewswire/ --Outerwall Inc. (Nasdaq: OUTR) today reported financial results for the first quarter ended March 31, 2015.

"Outerwall's strong performance this quarter was the result of continued execution of our strategy of optimizing our core Redbox and Coinstar businesses, scaling ecoATM and improving operational efficiencies across the company," said Nora M. Denzel, Outerwall's interim chief executive officer. "We are leveraging our market-leading brands to drive profitability and deliver value for shareholders, partners and customers."

Highlights from the first quarter 2015 include:

Reported consolidated revenue of $608.6 million, the highest quarter in the company's history.

Delivered 21.7% growth in core adjusted EBITDA from continuing operations to $147.9 million, reflecting continued expense management across the company, including 3.4% lower direct operating expense and 7.7% lower G&A expense.

Increased core diluted earnings per share from continuing operations 102.1% to $2.87.

Redbox generated its highest quarterly revenue in company history and delivered solid margin expansion, primarily driven by the price increase in December 2014 Signed a new two-year content agreement with Warner Bros.

Continued investing in growth by scaling ecoATM, installing approximately 250 kiosks in the quarter.

Generated free cash flow of $85.4 million, an increase of 26.2% year-over-year.

Repurchased 617,195 shares for $40.7 million and paid the company's first quarterly dividend of $0.30 per share.

Click here for Outerwall's full first-quarter press release, segment summaries and financial statements.