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Constant Contact Management Discusses Q2 2012 Results - Earnings Call Transcript

During this call, we will refer to certain non-GAAP financial measures. These financial measures are not prepared in accordance with generally accepted accounting principles. A reconciliation to the most directly comparable GAAP financial measure is available in the press release announcing our second quarter 2012 financial results. The press release is also available on the Investor Relations section of our website at www.constantcontact.com. Also available for download is a presentation and our historical financial and operating metrics.

With that, now let me turn the call over to Gail.

Gail F. Goodman

Thanks, Jerry, and thanks to everyone joining us on the call to review our second quarter financial results. Revenue of $62.1 million and adjusted EBITDA of $8.1 million were both consistent with our expectations. We are pleased with the results of our Email Marketing business and excited by the early progress of our more recently launched offerings.

Our investments in driving ARPU and improving customer retention rates continue to yield meaningful results, and our confidence in the business is causing us to, again, raise our guidance for the year.

We have a number of exciting growth initiatives at Constant Contact. On this call, we'll highlight SinglePlatform and Social Campaigns.

Let me start with SinglePlatform. The acquisition of SinglePlatform marked another big step forward in Constant Contact's transformation to a multi-product company. One of the more significant challenges and opportunities for small businesses is being found by new customers across the myriad of search engines, websites, directories and mobile applications. Accurate rich listings, everywhere that consumers are searching are a necessity for small businesses. SinglePlatform solves this problem in a simple yet powerful way. The company allows small businesses to provide and update information in one place. SinglePlatform then distributes their Digital Storefront to more than 200 million consumers through its 100-plus publisher relationships. This network generated roughly 7 million digital storefront views for SinglePlatform listings in June alone.

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