WebMediaBrands Inc. Reports Results
For Its Fourth Quarter Ended December 31, 2011;
Fourth Quarter Revenues Increase 26%
Annual Revenues Increase 39%
New York, NY - February 28, 2012 - WebMediaBrands Inc., (Nasdaq: WEBM) today reported results for the quarter ended December 31, 2011.
Highlights for the fourth quarter of 2011 include:
- Revenues for the fourth quarter of 2011 were $3.4 million compared to revenues of $2.7 million for the same period in 2010, an increase of 26%, and included $584,000 from Inside Network, which we acquired in May 2011. Revenues from education and advertising, excluding the impact of the Inside Network acquisition, increased 43% and 17%, respectively, compared to the same period last year. Inside Network's market research and data services business, which includes AppData, contributed $397,000 in revenues during the fourth quarter of 2011.
- Loss from continuing operations for the fourth quarter of 2011 was $9.1 million, and included a non-cash impairment charge of $8.3 million related to the write-down of goodwill, compared to a loss of $465,000 for the same period last year. Non-GAAP income from continuing operations, excluding interest, taxes, impairment, depreciation, amortization and stock-based compensation, or EBITDA, was $149,000 during the fourth quarter of 2011, compared to a loss of $832,000 for the same period last year. We track this metric and present it here because we believe it helps in the analysis of the performance of our core operations. Stock-based compensation expense was $619,000 during the fourth quarter of 2011 compared to $93,000 during the fourth quarter 2010.
"Our fourth quarter demonstrated continued progress towards being cash flow positive with significant year-over-year and sequential quarterly revenue growth and our first quarter, since the acquisition of Mediabistro, with positive EBITDA on a consolidated basis," stated Alan M. Meckler, Chairman and CEO of WebMediaBrands, Inc. "The acquisition of Inside Network has expanded our product offerings, and revenues from Inside Network's research and advertising businesses have continued to grow. We anticipate significant growth from all of our divisions in 2012 led by our in-depth strength in covering Facebook, social media, apps and the Semantic Web," added Meckler.
WebMediaBrands Inc. 4th Quarter 2011 Financial Results Conference Call Alert
WebMediaBrands Inc. invites you to participate in its conference call reviewing 2011 fourth quarter results on Tuesday, February 28, 2012 at 5:00 pm EDT.
The conference call number is 877-604-9668 for domestic participants and 719-325-4835 for international participants; confirmation code "4721927". Please call five minutes in advance to ensure that you are connected prior to the presentation. The conference call replay will be available until Monday, March 5, 2012. Replay call numbers are 888-203-1112 for domestic participants and 719-457-0820 for international participants; confirmation code "4721927".
About WebMediaBrands Inc.
WebMediaBrands Inc. (Nasdaq: WEBM) (http://www.webmediabrands.com), headquartered in New York, NY, is a leading Internet media company that provides content, education, and career services to social media, traditional media, and creative professionals through a portfolio of vertical online properties, communities, and trade shows. The Company's online business includes: (i) mediabistro.com, a leading blog network providing content, education, community, and career resources (including the industry's leading online job board) about major media industry verticals including new media, social media, Facebook, TV news, advertising, public relations, publishing, design, mobile; (ii) InsideNetwork.com, a leading network of online properties providing original market research, data services, news, and job listings on the Facebook platform, on social gaming, and on mobile applications ecosystems; and (iii) SemanticWeb.com, a leading blog providing content, education, community resources and career resources on the commercialization and application of Semantic Technologies, Linked Data and Big Data. The Company's online business also includes community, membership and e-commerce offerings including a freelance listing service, a marketplace for designing and purchasing logos (stocklogos.com) and premium membership services. The Company's trade show and educational offerings include conferences, online and in-person courses, and video subscription libraries on topics covered by the Company's online business.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release that are not historical facts are "forward-looking statements" under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. The potential risks and uncertainties address a variety of subjects including, for example: risks associated with acquisitions, including integration of operations; general economic conditions; the competitive environment in which WebMediaBrands competes; and the unpredictability of WebMediaBrands's future profitability, revenues, expenses, cash flows and stock price. For a more detailed discussion of such risks and uncertainties, refer to WebMediaBrands's reports filed with the Securities and Exchange Commission pursuant to the Securities Exchange Act of 1934. The forward-looking statements included herein are made as of the date of this press release, and WebMediaBrands assumes no obligation to update the forward-looking statements after the date hereof, except as required by law.
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