ValueClick's Profit Slumps
SAN FRANCISCO - Online marketing services firm ValueClick (VCLK) matched earnings estimates for second quarter, but the company guided the Street lower for its third-quarter and full-year results.
ValueClick said it earned $16.5 million in the second quarter, or 17 cents a share, a drop from $17.6 million, or 17 cents a share, a year ago. That was in line with analysts' estimates.
Revenue grew to $163.8 million in the second quarter vs. $148.7 million a year ago, falling 1% below the company's low end of guidance. Analysts had anticipated revenue of $165 million.
"While increased macroeconomic uncertainty makes revenue growth more challenging for the second half of the year, we are taking meaningful steps to preserve margins and drive long-term growth and shareholder value," said Chief Executive Tom Vadnais in a statment. "We are accelerating initiatives to increase synergies among our businesses, and we have been active in our stock repurchase program since our July 17 pre-announcement. We believe ValueClick's long-term prospects are bright, and we are committing resources to realize the opportunities in front of us while driving bottom line results."For the third quarter, ValueClick expects to earn 14 cents to 15 cents a share on revenue in the range of $150 million and $156 million. Analysts had expected earnings of 16 cents on revenue of $162 million. The company reiterated its full-year revenue guidance of $655 million to $675 million and earnings in the range of 69 cents and 71 cents. That fell short of analysts' full year revenue guidance of $689 million on earnings of 74 cents. Shares of ValueClick were off more than 4% in recent after-hours trading to $11.39.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
24/7 market commentary from Jim Cramer and 20+ veteran Wall Street gurus. Get access to the latest trading ideas on stocks, options, and ETFs as well as a real-time forum to see the pros exchanging their investment ideas.
- Jim Cramer + 20 Wall Street pros
- Intraday commentary & news
- Real-time trading forum
- Actionable trade ideas
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV