InterSearch Reports Preliminary Second Quarter Financial Results

  
    
  
  
    
      InterSearch Group, Inc. (AMEX:IGO), a leading operator of industry 
      specific destination portals such as www.Banks.com, 
      www.IRS.com and www.Camps.com 
      and provider of Internet search services, today announced 
      preliminary financial results for the second quarter ended June 30, 2007.
    
    
      InterSearch Group currently expects second quarter total revenue of 
      approximately $6.8 million to $7.0 million representing a 6% to 9% year 
      over year growth rate. Second quarter EBITDA1 
      is expected to be approximately $1.1 million - $1.2 million.
    
    
      “The shortfall in our expected revenue and 
      EBITDA was primarily the result of a one-time credit made to advertisers 
      in connection with a new traffic source which fell short of our quality 
      standards,” said Dan O'Donnell, Chairman and 
      Chief Executive Officer of InterSearch Group. “We 
      maintain a stringent set of quality standards in order to ensure a high 
      value proposition for our advertisers. Our data warehouse and extensive 
      set of analytical tools allowed us to detect, isolate, and terminate 
      this traffic source and proactively work with our advertisers and 
      network partners to remedy the issue and prevent future occurrences.”
    
    
      “Despite this one-time credit to advertisers, 
      our business remains very strong and traffic to our properties continues 
      to grow. We are especially pleased with progress of Banks.com. This 
      domain is gaining traction with users and advertisers, and is expected 
      to become a significant revenue contributor. We will provide a full 
      financial and operating update as well as guidance for the third quarter 
      ended September 30, 2007, on our regularly scheduled earnings call,” 
      concluded O’Donnell.
    
    
      These results are unaudited and preliminary and actual results may vary. 
      Final results for the second quarter ended June 30, 2007 will be 
      reported by InterSearch Group on August 14, 2007 and a conference call 
      regarding the final results will be held on such date.
    
    
      Forward Looking Statements
    
    
      This press release contains forward looking statements within the 
      meaning of the Private Securities Litigation Reform Act of 1995 that 
      involve substantial risks and uncertainties, including statements 
      regarding our expected financial results for the second quarter of 2007. 
      Forward looking statements, which are based on management’s 
      current expectations, are generally identifiable by the use of terms, 
      such as “anticipates,” 
      “believes,” “could,” 
      “estimates,” “expects,” 
      “intends,” “may,” 
      “plans,” “possible,” 
      “potential,” “predicts,” 
      “projects,” “should,” 
      “would” and 
      similar expressions. Forward looking statements contained in this press 
      release include statements regarding: guidance for second quarter 2007 
      with respect to revenue and EBITDA and expectations regarding growth 
      rate for second quarter 2007. The potential risks and uncertainties that 
      could cause actual results to differ materially from those expressed or 
      implied herein include, among others, untimely detection and termination 
      of traffic sources which fall short of our quality standards; 
      unanticipated slowdown in the travel and financial verticals; 
      uncertainties related to the acceptance by customers of our enhanced 
      versions of www.Banks.com and www.Camps.com; 
      unexpected diversion of advertising dollars away from the Internet; 
      slower than anticipated growth rate of InterSearch Group’s 
      advertising base; dependence on our search providers; and market 
      development of Internet advertising and paid search services. Further 
      information on the factors that could affect InterSearch Group’s 
      financial results is included in our filings with the Securities and 
      Exchange Commission, including our Annual Report on Form 10-KSB for the 
      fiscal year ended December 31, 2006, our quarterly reports on Form 10QSB 
      and our Current Reports on Form 8-K. Except as required by law, we 
      assume no responsibility to update these forward looking statements 
      publicly, even if new information becomes available in the future.
    
    
      Non-GAAP Financial Measures
    
    
      InterSearch Group’s management evaluates 
      and monitors performance for InterSearch Group primarily through EBITDA. 
      In addition, EBITDA is presented because management believes it is 
      frequently used by securities analysts, investors and others in the 
      evaluation of companies. EBITDA is calculated by adding income 
      taxes, interest expense, depreciation and amortization to net earnings. 
      EBITDA is not defined under GAAP2 
      and should not be considered in isolation or as a substitute for net 
      earnings and other consolidated earnings data prepared in accordance 
      with GAAP or as a measure of InterSearch Group’s 
      profitability.
    
    
      About InterSearch Group, Inc.
    
    
      InterSearch Group is a leading operator of industry specific destination 
      portals and provider of Internet search services through a combination 
      of traffic aggregation and proprietary websites, such as www.Banks.com, 
      www.IRS.com and www.Camps.com. 
      InterSearch Group operates in the fastest growing segments of Internet 
      commerce including paid search, direct navigation and online marketing 
      driving high quality traffic to advertisers and providing users with 
      quick access to pertinent products and services. Through its corporate 
      services division, InterSearch Group also provides Internet technology 
      related professional services to large corporations, predominantly in 
      the Financial Services industry. InterSearch Group is headquartered in 
      San Francisco, California at 222 Kearny Street, Suite 550, and can be 
      reached via telephone at 415-962-9700. More information about 
      InterSearch Group can be found at: www.InterSearch.com.
    
    
      1 EBITDA is a non-GAAP financial measure. This 
      measure may be different from non-GAAP financial measures used by other 
      companies. We encourage investors to review the section below entitled “Non-GAAP 
      Financial Measures” and to review the 
      reconciling adjustments between the GAAP and non-GAAP measures attached 
      to this press release.
    
    
      2 Generally Accepted Accounting Principles in 
      the United States of America.