Ads Drive TheStreet.com Profit

Updated from 10:59 a.m. EST

TheStreet.com (TSCM - Cramer's Take - Stockpickr) said Thursday that its fourth-quarter net income more than doubled from the year-earlier period on strong advertising revenue.

Shares of the online provider of financial commentary, analysis, news and ratings recently were trading up 76 cents, or 7.3%, to $11.16.

The company, publisher of this Web site, reported net income of $4 million, a 125% increase over $1.8 million for the year-ago period on net revenue of $14.4 million, a 44% increase from $10 million from 2005. Earnings per share were 14 cents, doubled from 7 cents in the year-earlier period.

"In the fourth quarter we made solid progress within our strategy of increasing the Company's advertising-based revenue by delivering more content initiatives such as TheStreet.com TV and TheStreet.com Ratings on our free site," said Thomas J. Clarke, Jr., chairman and chief executive of TheStreet.com.

Fourth-quarter advertising revenue reached $4.8 million, a 49% increase over the $3.2 million recorded in the fourth quarter of 2005. Fourth-quarter subscription revenue was $8.8 million, a 36% increase over the $6.5 million recorded in the fourth quarter of 2005.

Cash, restricted cash and marketable securities stood at $46.6 million, and cash per share stood at $1.67 as of year-end. TheStreet.com has no long-term debt.

For the full year 2006, net revenue totaled $50.9 million, an increase of 51% from $33.7 million in 2005. Net income was $12.9 million, compared to net income of $200,000 in 2005. Net income from continuing operations for the year was $12.8 million, an increase of 123% from $5.8 million in 2005.