Marchex reported its earnings after the market closed today for the 2nd Quarter, ending June 30, 2010.
Here are the highlights:
Revenue was $21.4 million for the second quarter of 2010, compared to $21.1 million for the same period of 2009.
Looks like the company lost over $4M in the 2Q 2010 compared to losing just $1.5M in 2Q 2009.
GAAP net loss was $3.2 million for the second quarter of 2010 or $0.10 per diluted share, compared to GAAP net loss applicable to common stockholders of $1.2 million or $0.04 per diluted share for the same period of 2009.
Adjusted operating income (loss) before amortization was ($1.8) million for the second quarter of 2010, compared to $1.5 million for the same period of 2009.
Adjusted EBITDA was ($0.5) million in the second quarter of 2010, compared to $3.1 million for the same period of 2009.
Revenue from Local Advertising Services, for the second quarter of 2010,was $14.9 million.
For the second quarter of 2010, revenue from Publishing, was $6.5 million.
During the second quarter of 2010, Marchex sold a small number of non-strategic domains that yielded $700,000.
There is still significant demand for high quality domains and Marchex believes that will remain the case for the foreseeable future.
| Three Months Ended | ||||||||
| June 30, | ||||||||
| 2009 | 2010 | |||||||
| Revenue | $ | 21,081,073 | $ | 21,393,353 | ||||
| Expenses: | ||||||||
| Service costs (1) | 11,024,516 | 13,655,544 | ||||||
| Sales and marketing (1) | 3,682,352 | 3,511,375 | ||||||
| Product development (1) | 3,446,317 | 4,326,330 | ||||||
| General and administrative (1) | 3,987,195 | 4,289,559 | ||||||
| Amortization of intangible assets from acquisitions | 1,334,585 | 710,907 | ||||||
| Total operating expenses | 23,474,965 | 26,493,715 | ||||||
| Gain on sales and disposals of intangible assets, net | 854,616 | 690,244 | ||||||
| Loss from operations | (1,539,276 | ) | (4,410,118 | ) | ||||
| Interest income (expense) and other, net | (18,939 | ) | 36,945 | |||||
| Loss before provision for income taxes | (1,558,215 | ) | (4,373,173 | ) | ||||
| Income tax benefit | (390,058 | ) | (1,245,557 | ) | ||||
| Net loss | (1,168,157 | ) | (3,127,616 | ) | ||||
| Dividends paid to participating securities | (49,846 | ) | (48,115 | ) | ||||
| Net loss applicable to common stockholders | $ | (1,218,003 | ) | $ | (3,175,731 | ) | ||
| Basic and diluted net loss per share applicable to Class A and Class B common stockholders | $ | (0.04 | ) | $ | (0.10 | ) | ||
| Dividends paid per share | $ | 0.02 | $ | 0.02 | ||||
Just what you love to see as a shareholder. A nice slow sell off of assets. I mean “non-strategic” domains.
The Fat Cats have sold all year long “Great vote of confidence”:
Jul 21, 2010HOROWITZ RUSSELL C
Officer25,493IndirectAutomatic Sale at $4.58 per share.$116,757
Jul 20, 2010HOROWITZ RUSSELL C
Officer81,112IndirectAutomatic Sale at $4.30 per share.$348,781
Jun 29, 2010HOROWITZ RUSSELL C
Officer23,578IndirectAutomatic Sale at $4 per share.$94,312
May 27, 2010BERK MATTHEW
Officer5,000DirectAutomatic Sale at $5 per share.$25,000
May 27, 2010HOROWITZ RUSSELL C
Officer30,000IndirectAutomatic Sale at $4.84 per share.$145,200
May 26, 2010HOROWITZ RUSSELL C
Officer60,000IndirectAutomatic Sale at $4.75 per share.$285,000
May 11, 2010CHRISTOTHOULOU PETER
Officer57,984DirectAutomatic Sale at $4.87 per share.$282,382
May 10, 2010CHRISTOTHOULOU PETER
Officer23,266DirectAutomatic Sale at $4.91 per share.$114,236
May 7, 2010WISEHART MANUEL W
Apr 26, 2010BERK MATTHEW
Officer5,000DirectAutomatic Sale at $5.26 per share.$26,300
Apr 22, 2010KEISTER JOHN
Officer20,000DirectAutomatic Sale at $4.99 per share.$99,800
Apr 22, 2010HOROWITZ RUSSELL C
Officer45,000IndirectAutomatic Sale at $4.99 per share.$224,550
Apr 21, 2010KEISTER JOHN
Officer20,000DirectAutomatic Sale at $5.13 per share.$102,600
Apr 21, 2010HOROWITZ RUSSELL C
Officer45,000IndirectAutomatic Sale at $5.13 per share.$230,850
Mar 25, 2010HOROWITZ RUSSELL C
Officer59,277IndirectAutomatic Sale at $5.12 per share.$303,498
Mar 24, 2010BERK MATTHEW
Officer5,000DirectAutomatic Sale at $5.28 per share.$26,400
Mar 24, 2010HOROWITZ RUSSELL C
Officer30,723IndirectAutomatic Sale at $5.29 per share.$162,524
Mar 1, 2010CALDWELL ETHAN A
Officer7,500DirectAutomatic Sale at $5.23 per share.$39,225
Mar 1, 2010CALDWELL ETHAN A
Officer7,500DirectAcquisition (Non Open Market) at $0 per share.N/A
Feb 24, 2010BERK MATTHEW
Officer25,000DirectAutomatic Sale at $5.25 per share.$131,250
Feb 24, 2010CHRISTOTHOULOU PETER
Officer55,791DirectAutomatic Sale at $5.27 per share.$294,018
Feb 23, 2010CHRISTOTHOULOU PETER
Officer19,522DirectAutomatic Sale at $5.51 per share.$107,566
Feb 3, 2010HOROWITZ RUSSELL C
Officer48,000IndirectAutomatic Sale at $5.43 per share.$260,640
Feb 2, 2010CALDWELL ETHAN A
Officer7,500DirectAutomatic Sale at $5.51 per share.$41,325
Feb 2, 2010HOROWITZ RUSSELL C
Officer42,000IndirectAutomatic Sale at $5.50 per share.$231,000
Jan 11, 2010CALDWELL ETHAN A
Officer37,500DirectAutomatic Sale at $4.99 per share.$187,125
Jan 11, 2010HOROWITZ RUSSELL C
Officer90,000IndirectAutomatic Sale at $4.99 per share.$449,100
Jan 7, 2010CALDWELL ETHAN A
Officer7,500DirectAutomatic Sale at $4.90 per share.$36,750
Jan 6, 2010ARENDS MICHAEL A
Officer21,650DirectAutomatic Sale at $4.83 per share.$104,569
Jan 5, 2010ARENDS MICHAEL A
Officer1,049DirectAutomatic Sale at $5.01 per share.$5,255
Jan 5, 2010CHRISTOTHOULOU PETER
Officer37,500DirectAutomatic Sale at $4.97 per share.$186,375
Jan 4, 2010ARENDS MICHAEL A
Officer14,801DirectAutomatic Sale at $5.01 per share.$74,153
Can’t find a sinlge Insider buying.
*There is a few excersised options (purchases at .01 USD) by employees some just to dump it later .
http://finance.yahoo .com/q/it?s=MCHX+Insider+Transactions
These people have no idea how to run a business, surely this is going to get bought out or be in bankruptcy one day?
Its like watch a boat headed toward an iceberg…. btw if you want to buy aboatheadedtowardaniceberg.com from Marchex they are willing to let it go for 6 figures but they will not change course.
“During the second quarter of 2010, Marchex sold a small number of non-strategic domains that yielded $700,000.”
Is there a list somewhere of the names they sold ?
thanks
Gazzip
Every quarter Marchex sells domains it not unusual however I never see them listed anywhere
Same quarter last year it was $850K
Listed as:
“Gain on sales and disposals of intangible assets, net”
Marchex
Sooner than later it will be exMarch LMAOoooooooooo
If Marchex sold $700k in names it could mean anything from 14 names to 28 names, all at end user prices, period. I think they said they averaged $25k a sale but it seems they always quote big 5 or 6 figs no matter what the name is, so see 14 or 28 one number or the other.
And no they are not good names, I suspect the average $25k sale would garner $1,000 on the forums.
Why can’t publicly traded domain companies make money?
Marchex, Tucows, Dark Blue Sea, Live Current etc.
Maybe Frank Shilling, Rick Schwartz, Rick Latona, Larry Fisher, Zappy/Miller etc should get together and buy Marchex, fire everyone and just park the domains.
THEN Marchex would be profitable.
Not brain science.
Rob
Tucows is profitable and has a PE of 3.5
Internet Brands is also public and profitable.
I own stock for a while now and I’m up 38% or more on the year with them.
Andrew
We are working on adding this stock to the index