Earnings: TheStreet.com Q2 Beats Top Line Estimates; Net Income In line
This story was written by Joseph Weisenthal.
Considering all the natural challenges TheStreet.com (NSDQ: TSCM) is facing, this looks like a solid quarter Q2 revenue came in at $19.7 million, 32 percent over last year's $14.9 million, and nicely ahead of the $19.3 million analysts were expecting. Note, however, that $3 million came from its acquired Promotions.com unit, without which, revenue growth would have been a still respectable 12 percent. Net income of $2.3 million ($.07 per share) was in line with estimates. Ad revenue for the quarter was up 16 percent to $6.4 million. Paid services revenue was up 9 percent to $10.3 million. The company also continues to diversify away from financial advertisers. Non-financial advertising revenue was up 34 percent to, and currently makes up 45 percent of the total.
There's no outlook in the release, nor any discussion about the economy and its effect on advertising, so we'll be listening for that on the call. We'll also see if the company says anything about Mainstreet.com, which CEO Tom Clarke has talked up highly on past calls, but which recently had a shakeup.
One other note: The company noted yesterday in an SEC filing that it had extended the contract of founder and key personality Jim Cramer by one year.
Release | Webcast (11:00 AM ET)
By Joseph Weisenthal