TMCnet News
Acxiom Posts 1st Quarter Results [Professional Services Close - Up](Professional Services Close - Up Via Acquire Media NewsEdge) Acxiom, on August 4, reported financial results for its first quarter ended June 30. First Quarter Financial Highlights -Total revenue was down 6 percent compared to the first quarter of fiscal 2014 as a result of expected IT Infrastructure Management declines and European restructuring. -Marketing and Data Services revenue was $187 million, slightly down compared to the first quarter of fiscal 2014. -IT Infrastructure Management revenue was down, as expected, approximately 20 percent compared to the same period a year ago. -Gross media spend through the Audience Operating System was approximately $28 million, up 87 percent compared to the fourth quarter of last year. -GAAP operating income and diluted earnings per share were down due to one-time expenses associated with business separation and transformation activities. -Net loss per diluted share from continuing operations was $0.08 compared to earnings per share of $0.17 a year ago. Unusual items and non-cash compensation expense impacted GAAP earnings per share by $0.21 in the quarter. Unusual items included expenses associated with the Company's restructuring activities, separation and transformation initiatives, and the acquisition of LiveRamp, Inc. -Operating cash flow from continuing operations was $149 million for the trailing twelve months, down 11 percent compared to the same period a year ago. Free cash flow to equity was $56 million for the trailing twelve-month period compared to $70 million for the comparable period. The decline was primarily due to cash restructuring and separation and transformation expenses and higher capital spending. -Non-GAAP operating income and diluted earnings per share were down primarily due to the declines in the IT Infrastructure Management business. -Excluding unusual items and non-cash compensation expense, diluted earnings per share were $0.13 compared to $0.19 a year ago. -Excluding unusual items and non-cash compensation expense, operating income was $19 million, down from $27 million for the same period last year. The change was due to the expected declines in the IT Infrastructure Management business and, to a lesser extent, higher R&D expenses. -The Company reiterates its full year revenue and earnings per share guidance. According to a release from the Company, during the quarter, it announced its acquisition of LiveRamp. In addition, Acxiom completed the sale of its U.K. call center business, 2Touch. As a result, 2Touch results for the current and prior years are presented as discontinued operations in the consolidated statement of operations. Revenue and expenses related to discontinued operations are netted and presented on one line, net of tax, in the statement of operations. "The integration of LiveRamp is off to a great start," said Acxiom CEO Scott Howe. "This quarter we added 7 new AOS clients and are in the process of introducing LiveRamp to our customer base. Exciting opportunities lie ahead as we build toward a connected ecosystem of customers, publishers and marketing applications." First Quarter Business Highlights -The Company sold its U.K. call center operation, 2Touch, to Parseq to increase its focus on its core Marketing and Data Services business. -Acxiom signed several Marketing and Data Services agreements during the quarter including new database contracts with Zurich- based ACE Insurance Group and Australia-based Sevenwest Media Group, and renewals with Virgin Media and First National Bank of Omaha. -Acxiom signed 7 new AOS agreements during the quarter with several companies including Carrefour Media, J. Jill, a global investment management firm and airline. -Subsequent to quarter end, Acxiom completed its acquisition of LiveRamp, a service for onboarding customer data into digital marketing applications. Acxiom is an enterprise data, analytics and software-as-a- service company. More information and complete details: www.Acxiom.com ((Comments on this story may be sent to [email protected])) (c) 2014 ProQuest Information and Learning Company; All Rights Reserved. |