Liberty Interactive Corporation (“Liberty”) (Nasdaq: LINTA, LINTB, LVNTA, LVNTB) today reported third quarter results. Highlights include (1):
- Grew consolidated QVC revenue by 2% and adjusted OIBDA (2) by 6%
- Grew QVC US revenue by 3% and adjusted OIBDA by 7%
- QVC.com revenue as a percent of total US revenue increased to 39%, a 4 point increase
- Operating income increased 11%
- Recapitalized our common stock into two tracking stocks, Liberty Interactive Group and Liberty Ventures Group
- Shareholder value creation of $2.6 billion
- Successfully completed rights offering at Liberty Ventures Group, raising $328 million
“QVC continues to produce strong results, especially on a constant currency basis, despite a challenging macroeconomic environment, and we are pleased with the performance of our newest market, China,” stated Greg Maffei, Liberty President and CEO. “We successfully completed the recapitalization of the company’s common stock into two tracking stocks, which increased shareholder value by $2.6 billion. Our share repurchases were lower this quarter, as we were out of the market for six weeks due to the recapitalization. But, we remain committed to repurchases at the Liberty Interactive Group and the board of directors has increased our repurchase authorization by $1 billion.”
LIBERTY INTERACTIVE GROUP - Liberty Interactive Group’s revenue increased 3% to $2.2 billion in the third quarter, adjusted OIBDA increased 5% to $397 million and operating income decreased 14% to $193 million. The increase in revenue was due to favorable results at QVC and the eCommerce companies. The increase in adjusted OIBDA for the quarter was due to favorable results at QVC, which was offset by unfavorable results at the eCommerce companies. The decrease in operating income for the quarter was primarily due to unfavorable results at the eCommerce companies and the impairment of goodwill of one of the eCommerce companies during the quarter.
QVCQVC's consolidated revenue increased 2% in the third quarter to $1.9 billion. During the same period, adjusted OIBDA increased 6% to $397 million and operating income increased 11% to $260 million.