This story was written by Joseph Weisenthal.
United Online (NSDQ: UNTD), the owner of a dial-up business, Classmates.com and eventually flower company FTD, announced Q1 revenue of $121.8 million, a 6 percent slide from $129.9 million in the year-ago quarter. Net income was basically flat at $13 million ($.19 per share), although on an adjusted basis ex-stock based compensation and other expenses, net income was up 20 percent to $22.2 million. The company's Classmates.com still hasn't fallen off the cliff that many have expected, as it grew revenue by 22 percent in the quarter. ISP revenue shrunk 20 percent though. Unlike rival dial-up firm Earthlink (NSDQ: ELNK)whose earnings managed to increase on cost cuttingop income at the unit dropped 21 percent.
Looking forward, the company expects revenue of $117-$121 million in the coming quarter, which, at the midpoint, is right around existing analyst estimates.
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By Joseph Weisenthal