were slipping Tuesday despite the company's delivering a handsome earnings beat that was buoyed in part by results of a recent acquisition.
For full-year 2006, the online media company posted earnings of $23.4 million, or 82 cents a share, on $72.7 million in revenue. The results include a noncash income tax benefit of $9.4 million, and the revenue reflects a $6.7 million contribution from the WeddingChannel business, which The Knot acquired in late summer.
The year before, The Knot posted earnings of $4 million, or 16 cents a share, on $51.4 million in revenue. Analysts were looking for full-year EPS of 43 cents on $72.6 million in revenue, according to the Thomson First Call consensus estimate.
For the fourth quarter, The Knot posted earnings of $14.6 million, or 45 cents a share, on $21.7 million in revenue. That compares with the $1.5 million, or 6 cents a share, the company delivered in the last three months of 2005, on $12.8 million in sales. Analysts were looking for fourth-quarter EPS of 11 cents, on $21.79 million in sales.
"Through our acquisition of WeddingChannel in September, we secured our leadership position in the online bridal media space and facilitated a significant expansion into the lucrative registry business," said CEO David Liu.
The Knot's stock was down $4.02, or 13.4%, at $26.05 in recent trading.