This Day On The Street
Continue to site right-arrow
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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

FriendFinder Networks' CEO Discusses Q2 2012 Results - Earnings Call Transcript

Stocks in this article: FFN

Thank you and welcome to the FriendFinder Networks second quarter 2012 earnings conference call, and my first as CEO. Before we get started, I would like to thank Marc Bell for his continued support and guidance, which has ensured a smooth transition into my new role as CEO. During today’s call, I will provide a high-level overview of the second quarter, discuss operational updates and review our strategic plans. I will then turn the call over to Ezra, our Chief Financial Officer, to review our financial results for the second quarter before opening up for questions.

During the first half of 2012, we undertook additional actions to further optimize our business, maximize our brand equity and retain greater control of our cost structure. Simply put, we have redirected our efforts to support the 100 primary brands that contribute approximately 90% of our total subscription-based services revenue. The consequence of the shift was to begin the process of closing nearly 5,000 co-brand sites during the quarter. Even though our affiliate network attracted thousands of new registrants per day to these sites, it became too cumbersome and is cost-prohibitive to continue to support them.

To further develop our primary brand, we continue to focus on improving our three core metrics. The first is member conversion, which is the percentage of our members who subscribe to our services. The second is renewals, which is the percentage of our subscribers who renew their subscription. This is a byproduct of our return metric. And the third is cost per gross addition, which is the customer acquisition cost we have discussed in detail on previous calls, and a direct indicator of our marketing efficiency. Member conversions and renewals are primarily driven by the products, which is why we are focusing our efforts on our core brands and we feel that is so important.

2 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

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.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs