With that, I’ll turn the call over to Josef Mandelbaum, Chief Executive Officer. Josef, the call is yours…
Thank you Brett and good morning everyone. Welcome to our second quarter earnings call. This morning, I’d like to focus my comments on a review of our record second quarter and first-half results, and to highlight some of our exciting initiatives for the remainder of the year. I will then turn the call over to Yacov, for more details regarding the financial results before opening up the call for questions.
The second quarter was another great quarter for the company and the 26th consecutive quarter of growth on a year over year basis. After a lot of hard work and investment in our backend systems, as well as refining and optimizing our media buying capabilities, we seem to have hit an inflection point with our search business in the middle of the second quarter. We are very optimistic that this trend will continue in the second half of 2012 and beyond. Therefore, we are increasing our non-GAAP guidance for 2012 to the range of $50 - $52 million in revenue, and to $10.5 - $11.5 million in EBITDA.Non-GAAP Revenues in the second quarter increased by 53% year over year to $12.3 million dollars, primarily as a result of an increase in product and advertising revenues. Our product focused strategy enables us to continue to communicate with our users while increasing their life time value to Perion. Search revenue was up 15% compared to the previous quarter, as a result of steps taken to recapture the monetization of our existing users and better protect the monetization of our new users. In addition, we have significantly enhanced our ability to track our marketing efforts and rapidly adjust our programs to maximize their effectiveness. This in turn has dramatically improved the return on our investment.