This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

XO Group Reports First Quarter 2012 Financial Results

XO Group Inc. (NYSE: XOXO,, formerly The Knot, Inc., the premier media and technology company devoted to weddings, pregnancy, and everything in between, today reported financial results for the three months ended March 31, 2012.

First Quarter Summary Results

Total revenue for the first quarter was $29.8 million, up 8.1% compared to the prior year. The results were again led by local online advertising, and publishing and other, which grew 20.1% and 15.9%, respectively, year over year. National online advertising declined 3.5%. The e-commerce and registry businesses were also down, 1.7% and 10.2% year over year, respectively.

For the quarter ended March 31, 2012, gross margin improved by 275 basis points over the prior year partially due to improvements in the e-commerce business as it recovered from the inefficiencies related to back-end system improvements initiated last year. The Company’s operating profit was $0.6 million compared to an operating loss of $1.1 million in the prior year quarter. The $1.7 million increase in operating profit was due to revenue growth and improved gross margins across all business lines which were partly offset by an increase in expenses including compensation, investment in in China, and rent. Net income for the quarter was $0.4 million or $0.02 per diluted share, compared to a net loss of $0.7 million or a loss of $0.02 per diluted share in the prior year quarter.

The Company’s balance sheet at March 31, 2012 reflects cash and cash equivalents of $68.7 million, down $8.7 million from $77.4 million at December 31, 2011. Cash declined during the first quarter, primarily due to the repurchase of 1.4 million shares of common stock for $12.7 million and capital expenditures of $0.6 million.

“We entered the year with strong momentum in the local online advertising business and our magazine business, which continued throughout the first quarter, although our national online advertising and e-commerce businesses continue to be challenged. We are working to drive profitable growth across the Company even as we invest in new products for our audience and advertisers,” said Chief Executive Officer David Liu.

1 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 17,798.49 -14.90 -0.08%
S&P 500 2,090.11 +1.24 0.06%
NASDAQ 5,127.5250 +11.3820 0.22%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs