Demand Beat Expectations & Is Up Over 17% To $10.51 In After Hours Trading

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Share of Demand Media rockets up over 17% in after hours trading to $10.51 after reporting earnings that beat street expectations.

Revenue rose 32 percent to $79.5 million in the quarter ending June 30th.

Less advertising commissions, Demand Media’s revenue for the second quarter totaled $76.6 million; analysts were expecting $73.9 million.

The company reported a net loss of $2.4 million, or 3 cents per share, compares with a loss of $1.9 million in the year-ago quarter, or 75 cents per share.

Excluding one-time items, Demand Media earned 6 cents per share, which is a $.01 more than what analysts t were expecting.

Search engines generate more than 45% of the traffic to Demand Media’s websites, and 2/3rd of these came from Google.

Demand Media also signed a new three-year advertising agreement with Google.

Demand Media’s websites generated 2.6 billion page views, up 29% percent from the same quarter last year.

About Michael Berkens

Michael Berkens, Esq. is the founder and Editor-in-Chief of TheDomains.com. Michael is also the co-founder of Worldwide Media Inc. which sold around 70K domain to Godaddy.com in December 2015 and now owns around 8K domain names . Michael was also one of the 5 Judges selected for the the Verisign 30th Anniversary .Com contest.

Comments

  1. LS Morgan says

    Company: We have good news and bad news…
    Investor: What’s the good news?
    Company: We beat expectations.
    Investor: What’s the bad news?
    Company: No one expects anything from us…

    I know the first thing I look for when investing is finding a company that’s slowly but consistently losing my money.

    Seriously- what’s supposed to turn this ship around again?
    Because they went public and generated some cash by selling shares in a company that’s been losing money?

  2. Christian says

    “Revenue rose 32 percent to $79.5 million in the quarter ending June 30th.

    Less advertising commissions, Demand Media’s revenue for the second quarter totaled $76.6 million; analysts were expecting $73.9 million.”

    This sounds really really good considering what people were thinking just a few weeks ago.

  4. Snoopy says

    ….and now down 20%…market isn’t buying it. Look for this to drift lower in my view, horribly overpriced.