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Quarterly revenue of $26.7 million vs. $30.8 million in prior year
Quarterly adjusted EBITDA of $1.0 million, 11th consecutive quarter of positive results
BUFFALO, N.Y., Aug. 6, 2013 (GLOBE NEWSWIRE) -- Synacor, Inc. (Nasdaq:SYNC), leading provider of next-gen startpages, award-winning TV Everywhere solutions, and cloud-based Identity Management (IDM) services across multiple devices for cable, satellite, telecom and consumer electronics companies, today announced its financial results for the second quarter of 2013.
"While our second quarter results met our guidance, I believe we have more potential than this quarter reflects," said Synacor CEO Ron Frankel. "In 2013, we continue to invest significantly in new products that deliver compelling experiences on three platforms: smartphones, tablets, and traditional laptop/desktop computers. We have significant demand for these new products, and I expect they will drive growth in 2014. While our sales pipeline is strong, the timing of launches is often difficult to predict. As a result, we are lowering our guidance for 2013 but remain confident in the long-term prospects for Synacor as we look forward to growth in 2014."
Q2 2013 Financial ResultsRevenue: For the second quarter of 2013, total revenue was $26.7 million, compared to $30.8 million in the second quarter of 2012. Search and display advertising revenue was $21.4 million, compared to $25.4 million in the second quarter of 2012. Subscription-based revenue was $5.3 million, compared to $5.4 million in the second quarter of 2012.
Net Income: For the second quarter of 2013, net loss was $0.6 million, compared to a profit of $1.2 million in the second quarter of 2012. Diluted earnings per share, or EPS, was a loss of $0.02. Net income includes stock-based compensation expense of $0.6 million, or $0.02 per share, in the second quarter of 2013, as compared to $0.4 million, or $0.01 per share, in the second quarter of 2012. The diluted EPS calculation for the second quarter of 2013 is based on 27.3 million weighted average fully diluted common shares outstanding. The diluted EPS calculation for the second quarter of 2012 was based on 29.6 million shares.
Adjusted EBITDA: For the second quarter of 2013, adjusted EBITDA, which excludes stock-based compensation expense, was $1.0 million, or 4% of revenue, compared to $3.0 million, or 10% of revenue, in the second quarter of 2012.
Key Business Metrics: For the second quarter of 2013, Synacor averaged 20 million unique visitors per month, which was in line with the second quarter of 2012. Search queries were 177 million for the second quarter of 2013, compared to 238 million in the second quarter of 2012. Advertising impressions were 10.3 billion which was also in line with the second quarter of 2012.
Cash: For the second quarter of 2013, Synacor generated $0.5 million in cash from operating activities, compared to $4.0 million in the second quarter of 2012. The company ended the second quarter of 2013 with $37.7 million in cash and cash equivalents, compared to $35.1 million at the end of the second quarter of 2012.
"Synacor continues to be uniquely positioned to capitalize on our rich customer pipeline and new product initiatives," said Synacor CFO Bill Stuart. "We remain confident about our future and our market opportunity. We continue to build upon our strong technology and exceptional customer base and work through this transition year of 2013."