Marchex Reports Earnings: Revenue Up & $2.1 Million In Domains Sold In 4th Quarter

Marchex, Inc. a member of our Domain Parking Stock Index, reported its results for the full year ended December 31, 2010 after the market closed today.

Here are the highlights of the 4th Quarter 2010 Results

Revenue was $28.0 million for the fourth quarter of 2010, compared to $23.4 million for the same period of 2009.

GAAP net income applicable to common stockholders was $593,000 for the fourth quarter of 2010 or $0.02 per diluted share.

This compares to GAAP net loss applicable to common stockholders of $14,000 or $0.00 per diluted share for the same period of 2009.

Adjusted operating income before amortization was $2.3 million for the fourth quarter of 2010, compared to $2.1 million for the same period of 2009. A reconciliation of non-GAAP adjusted operating income before amortization to GAAP operating income is included in the financial tables attached to this release.

Adjusted EBITDA was $3.4 million in the fourth quarter of 2010, compared to $3.6 million for the same period of 2009.

Revenue for the year ended December 31, 2010 was $97.6 million, compared to $93.3 million in 2009.

GAAP net loss applicable to common stockholders was $3.2 million or $0.10 per diluted share for 2010. This compares to GAAP net loss applicable to common stockholders of $2.2 million or $0.07 per diluted share in 2009.

Adjusted operating income before amortization was $3.0 million for 2010, compared to $6.8 million in 2009. A

Adjusted EBITDA was $7.9 million for 2010, compared to $13.0 million in 2009.

Operating Highlights:

Local Advertising Services: For the fourth quarter of 2010, revenue from Local Advertising Services, which includes Marchex’s Call Advertising products, was $21.6 million. In the fourth quarter, Marchex added more than 10,000 new advertisers utilizing its call advertising products and ended the quarter with more than 95,000 advertisers. With the recent announcement with Yellow Pages Group Canada (YPG) to drive calls to all of their 370,000 business customers beginning in April 2011, as well as other strategic relationships in development, Marchex expects its advertiser base will grow by hundreds of thousands from current levels.

Publishing: For the fourth quarter of 2010, revenue from Publishing, which is Marchex’s proprietary local and category websites that fulfill advertiser campaigns, was $6.3 million.

During the fourth quarter of 2010, Marchex sold a small number of non-strategic domains that yielded $2.1 million.”

Shares of Marchex were down over 3% in after market trading closing at $8.80