ValueClick, 24/7 Real Media Report Earnings

ValueClick raises full-year guidance; 24/7 takes hit on SOX compliance costs.

ValueClick blew by its own guidance for the third quarter, posting a profit of $7.6 million, or $0.09 per share, more than three times higher than the year-ago period. Meanwhile, 24/7 Real Media lost $1.7 million, or $0.04 per share.

“Our better-than-expected third quarter results demonstrate the continued success of our multi-channel approach,” said James Zarley, chairman and CEO of ValueClick. Zarley said the company was getting “good traction” in its media and affiliate marketing businesses.

The company brought in revenues of $43.5 million in the quarter, having earlier given guidance of $37 to $39 million.

The good performance, and an improved outlook for the fourth quarter, prompted the company to raise guidance for the full year 2004. For the fourth quarter, ValueClick expects revenue of around $47 million, which would result in net income per share of $0.10.

For the full year, ValueClick raised its revenue guidance from $150 to $154 million to around $162 million. For 2005, ValueClick confirmed its previously issued guidance of approximately $210 million in revenue, resulting in net income per share of between $0.34 and $0.36.

24/7 Real Media, for its part, reported revenue in the third quarter grew to $20.8 million, as compared to $12 million for the year-ago period. Revenue also grew sequentially, rising 6.2 percent from the second quarter.

The company said its net loss was negatively affected by one-time costs related to compliance with the requirements of Sarbanes-Oxley.

Revenue for the company’s media solutions division, which includes the 24/7 Web Alliance network of Web sites, came in at $12.1 million. The sale of one of 24/7’s biggest publishers, Lycos, to South Korea’s Daum Communications, resulted in some uncertainty for the division, but company executives said they were confident in not only holding onto Lycos but potentially beginning to serve Daum as well.

The search solutions unit pulled in revenue of $4.1 million in the quarter. The search unit includes the recently-acquired Decide Interactive and 24/7 Search.

Technology revenue climbed to $4.6 million in the period, driven by impression growth from hosted products and new client wins, the company said.

24/7 Real Media expects fourth quarter income to come in between $26 million and $28 million, and full-year revenue to be in the range of $84 million to $86 million.

Subscribe to get your daily business insights

Whitepapers

US Mobile Streaming Behavior
Whitepaper | Mobile

US Mobile Streaming Behavior

5y

US Mobile Streaming Behavior

Streaming has become a staple of US media-viewing habits. Streaming video, however, still comes with a variety of pesky frustrations that viewers are ...

View resource
Winning the Data Game: Digital Analytics Tactics for Media Groups
Whitepaper | Analyzing Customer Data

Winning the Data Game: Digital Analytics Tactics for Media Groups

5y

Winning the Data Game: Digital Analytics Tactics f...

Data is the lifeblood of so many companies today. You need more of it, all of which at higher quality, and all the meanwhile being compliant with data...

View resource
Learning to win the talent war: how digital marketing can develop its people
Whitepaper | Digital Marketing

Learning to win the talent war: how digital marketing can develop its peopl...

2y

Learning to win the talent war: how digital market...

This report documents the findings of a Fireside chat held by ClickZ in the first quarter of 2022. It provides expert insight on how companies can ret...

View resource
Engagement To Empowerment - Winning in Today's Experience Economy
Report | Digital Transformation

Engagement To Empowerment - Winning in Today's Experience Economy

1m

Engagement To Empowerment - Winning in Today's Exp...

Customers decide fast, influenced by only 2.5 touchpoints – globally! Make sure your brand shines in those critical moments. Read More...

View resource