TheStreet.com 2Q Revenue Climbs 32% (Update)

Updated from 8:00 a.m. EDT

TheStreet.com (TSCM Quote), the publisher of this Web site, said second-quarter revenue rose 32% from the same period a year ago, driven by growth in its marketing-services segment.

For the quarter ended June 30, the New York-based financial media company reported revenue of $19.7 million, compared with $14.9 million for the year-earlier period. The revenue figure represented a record of $31 per thousand page views, though depreciation and amortization costs related to "business combinations" ate away at profit.

Net income fell to $2.3 million, or 7 cents a share, from $3.6 million, or 12 cents a share, in the prior year, as those noncash charges more than tripled to $1.58 million. Earnings before interest, taxes, depreciation and amortization, excluding stock compensation of $1 million, totaled $4.6 million, an increase of 16% from adjusted EBITDA of $3.9 million in the second quarter of 2007.

Still, investors were pleased, sending shares up more than 14% in morning trading, on core results that beat Wall Street expectations. Analysts surveyed by Thomson Reuters were expecting earnings of 7 cents a share and revenue of $19.3 million. TheStreet.com eased off of earlier highs, recently trading up 68 cents, or 10.1% at $6.75.

"Our second-quarter results confirm that our decision to position TheStreet.com network as the leading online destination for 'all things money' continues to resonate with the advertising community," said Thomas J. Clarke Jr., chairman and chief executive of TheStreet.com said in a statement. "With a record number of unique visitors, the highest monetization rate in our history and our continued strength with non-financial advertisers, we are well positioned to take advantage of the opportunities before us."