Eyeblaster IPO Filing Shows Steady Profits, But Stalled Growth

Back in October 2008, Eyeblaster filed for an initial public offering, but backed out because of the deteriorating environment for tech IPOs. Now it's trying again.

In its SEC filing yesterday, the company's financial report shows steady profits with considerable cash on hand.

Over the past three years, Eyeblaster's annual revenue has climbed slightly - growing from $44.7 million in 2007 to $63.8 million in 2008, and then stalling in 2009, when it reached only $65 million.

Meanwhile the company is spending aggressively on sales and marketing. Its investment in that area grew from $23.5 million in 2007 to $36.5 million in 2009 - a rise of $13 million or 55 percent. Yet it's remained profitable, with $8.2 million in net income in 2009.

Notably, Eyeblaster says it has no debt and has about $34.6 million in cash on hand.

CEO and President Gal Trifon's compensation was valued at $964,332 last year, a combination of salary, stock option awards, and other payments. Compensation for other top execs included: Joe Girling, general manager of international ($593,470) and CFO Sarit Firon ($497,904).

Eyeblaster's filing rattles off a long list of competitors, including Google-owned DoubleClick, Microsoft-owned Atlas, Gannett-owned Pointroll, Eyewonder, and ValueClick's MediaPlex, as well as Web analytics vendors.

"Google and Microsoft have significantly greater name recognition and greater financial, technical and marketing resources than we do," Eyeblaster stated. "Microsoft also has a longer operating history and more established relationships with customers." The filing went on to note that both companies have an easier time attracting and retaining customers.

In 2009, Eyeblaster said 7,000 brand advertisers and 3,350 media agencies in 55 countries had used its products.