ValueClick has just announced their Q2 results, and things are looking pretty average for the Westlake Village people (sorry, could not help it!) – their overall figures are within the expected range.
Here’s a summary, without going into much details:
– Revenue of $163.8 million was one percent below the low end of the $166 to $170 million guidance range issued on May 6, and within the $163 to $164 million range provided in the Company’s July 17 preliminary results press release;
– Adjusted-EBITDA(1) of $43.5 million was above the $40 to $42 million guidance range issued on May 6; and
– Diluted net income per common share of $0.17 was above the high end of the $0.15 to $0.16 guidance range issued on May 6.
“While increased macroeconomic uncertainty makes revenue growth more challenging for the second half of the year, we are taking meaningful steps to preserve margins and drive long-term growth and shareholder value,” said Tom Vadnais, chief executive officer of ValueClick. “We are accelerating initiatives to increase synergies among our businesses, and we have been active in our stock repurchase program since our July 17 pre-announcement. We believe ValueClick’s long-term prospects are bright, and we are committing resources to realize the opportunities in front of us while driving bottom line results.”
Second Quarter 2008 Results
Revenue for the second quarter of 2008 was $163.8 million, an increase of $15.2 million, or 10 percent, from $148.7 million for the second quarter of 2007. Second quarter 2008 results include three months of operations from MeziMedia, which was acquired in July 2007.
Income before income taxes for the second quarter of 2008 was $29.3 million compared to $29.4 million for the second quarter of 2007. Amortization of intangible assets increased to $7.8 million for the second quarter of 2008 from $5.5 million for the second quarter of 2007, primarily due to the impact of the MeziMedia acquisition. Adjusted-EBITDA for the second quarter of 2008 was $43.5 million, an increase of 12 percent compared to $38.8 million for the second quarter of 2007.
Net income for the second quarter of 2008 was $16.5 million, or $0.17 per diluted common share, compared to $17.6 million, or $0.17 per diluted common share, for the second quarter of 2007.
The consolidated balance sheet as of June 30, 2008 includes $191 million in cash, cash equivalents and marketable securities, $706 million in total stockholders’ equity and no long-term debt.
Stock Repurchase Program Update
Today, ValueClick also provided an update on its Stock Repurchase Program. Year-to-date through July 30, the Company has repurchased approximately 10.6 million shares for $134.2 million, including 7.4 million shares repurchased for $79.5 million since the Company’s July 17 announcement of preliminary results for the second quarter of 2008 and revised fiscal year 2008 guidance. As of July 30, up to $21.8 million of ValueClick’s capital may be used to repurchase shares of the Company’s common stock under the Stock Repurchase Program.
Business Outlook
The following statements are based on current expectations. These statements are forward-looking, and actual results may differ materially. These statements do not include the potential impact of any mergers, acquisitions or other business combinations that may be completed after the date of this release. Actual stock-based compensation expense may differ from these estimates based on the timing and amount of stock awards granted, the assumptions used in stock award valuation and other factors. Actual income tax expense may differ from these estimates based on tax planning, changes in tax accounting rules and laws, and other factors.
