Alex Rozek (center) and Adam Peterson (right) appearing at the Wells Fargo TMT Summit

Boston Omaha’s Co-CEO’s Alex Rozek and Adam Peterson made a rare public appearance at the Wells Fargo TMT conference this week.  Here’s what they said about Boston Omaha’s Link Media Outdoor subsidiary.

On why Link has rebounded quickly from covid

Not being in transport is hugely beneficial as is being heavily dense in the Midwest where traffic counts stayed fairly high…We do favor roadside billboards…It was a great effort by our team taking care of our customers first…

On the importance of managing lease costs:

In the outdoor billboard business, on the cost side there are several that are always going to be in line with your competitors.  Your utility costs.  Your insurance costs.  Commission costs.  The big differentiating factor of a roadside billboard business is your land costs…we have always focused on trying to fix that land cost, or to have it grow less than our revenue growth…The more you can fix your primary controllable costs, the better.  We’ve spent a lot of time and capital buying easements under our billboard structures…and structuring leases in a way where the cost of that lease will not increase in accordance with revenue.

On Acquisitions

We have not made a ton of acquisitions this year.  In 2020 we have made a few small ones…Going forward we’ll see.  It really depends on family owned businesses deciding to sell…Most of the things that we are looking at, at present, are tuck-ins.  And that’s a much smaller dollar figure.  It’s a slightly different valuation than a big scaled operation which will have far more competition in buying.  It doesn’t make sense for somebody else to buy a rural tuck-in next to us…If a big one came about we’d look at it but we’re stringent on our pricing.

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