FOSTER CITY, Calif., April 30, 2013 (GLOBE NEWSWIRE) -- QuinStreet, Inc. (Nasdaq:QNST), a leading Internet performance marketing company, today announced its financial results for its third quarter of fiscal 2013. The Company reported total revenue of $79.0 million. Adjusted EBITDA was $12.4 million, or 16% of revenue. The Company reported GAAP net loss of $2.2 million, or ($0.05) per diluted share. Adjusted net income for the quarter was $6.8 million, or $0.16 per diluted share. Adjusted net income excludes stock-based compensation expense and amortization of intangible assets, net of estimated tax. Revenue for the Education client vertical was $35.2 million. Revenue for the Financial Services client vertical was $32.2 million. Revenue for Other client verticals was $11.6 million. QuinStreet generated $10.2 million of operating cash flow and $8.2 million of normalized free cash flow. The Company closed the quarter with $114 million in cash and marketable securities, growing net cash to $16 million. Reconciliations of adjusted net income to net income, adjusted EBITDA to net income, and normalized free cash flow to net cash provided by operating activities are included in the accompanying tables. "Financial results came in at the higher end of the outlook we provided last quarter due to strong execution in our core client verticals," commented Doug Valenti, QuinStreet CEO. "We continued to make good progress on initiatives to return to growth. Looking ahead, we expect June quarter revenue to be in the range of $72 to $77 million, consistent with typical seasonality. Adjusted EBITDA margin is expected to be in the mid-teens. While we work to restore growth, we continue to manage the Company with characteristic financial discipline, generating attractive EBITDA and free cash flow margins, with minimal non-discretionary demands for capital." Non-GAAP Financial Measures This release and the accompanying tables include a discussion of adjusted EBITDA, adjusted net income, adjusted diluted net income per share, free cash flow and normalized free cash flow, all of which are non-GAAP financial measures that are provided as a complement to results provided in accordance with accounting principles generally accepted in the United States of America ("GAAP"). The term "adjusted EBITDA" refers to a financial measure that we define as net income less provision for taxes, depreciation expense, amortization expense, stock-based compensation expense, interest and other income (expense), net, and impairment of goodwill. The term "adjusted net income" refers to a financial measure that we define as net income (loss) adjusted for amortization expense, stock-based compensation expense and impairment of goodwill, net of estimated taxes. The term "adjusted diluted net income per share" refers to a financial measure that we define as adjusted net income divided by weighted average diluted shares outstanding. The term "free cash flow" refers to a financial measure that we define as net cash provided by operating activities, less capital expenditures and internal software development costs. "Normalized free cash flow" refers to free cash flow adjusted for changes in operating assets and liabilities net of estimated taxes related to impairment of goodwill and the impact from excess tax benefits from stock-based compensation. These non-GAAP measures should be considered in addition to results prepared in accordance with GAAP, but should not be considered a substitute for, or superior to, GAAP results. In addition, our definition of adjusted EBITDA, adjusted net income, adjusted diluted net income per share, free cash flow and normalized free cash flow may not be comparable to the definitions as reported by other companies.