IAC/InterActive Swings to Loss on Charges

IAC/InterActiveCorp., which last year spun off its dating websites Match Group Inc., on Tuesday reported it swung to a loss in the December quarter as it booked more than $100 million in charges.

It was the first reporting period since Match went public in November. Match separately reported a 26% drop in quarterly earnings.

IAC shares, down 19% over the past 12 months, fell 1.7% to $50 in late trading. Meanwhile, Match fell 3.2% to $11.80, below its $12 initial public offering price.

Billionaire Barry Diller's Internet conglomerate, which retains majority control of Match through its ownership of Class B shares, plans to focus operations on digital media, building on existing properties such as the Daily Beast, About.com, Dictionary.com and Investopedia.

The New York City company has signaled that it will carry on its acquisitive drive. In November, IAC disclosed an unsuccessful offer for consumer-review site Angie's List Inc., and a month later it emerged as a potential buyer for Yahoo Inc.'s core Internet business.

Over all, IAC reported a loss of $31.8 million, or 38 cents a share, compared with a year-earlier profit of $70.2 million, or 78 cents a share. The results included an $88 million charge in the publishing segment and a $14.1 million goodwill charge in its other segment, which largely comprises Ask.com, CityGrid and ASKfm.

Excluding stock-based compensation and other items, IAC reported a profit of 75 cents a share, down from $1 a share a year earlier.

Revenue rose 2.2% to $848.7 million.

Analysts surveyed by Thomson Reuters had projected 93 cents a share on $865.5 million in revenue.

Meanwhile, Match reported that fourth-quarter profit fell to $35.6 million, or 16 cents a share. Excluding stock-based compensation and other items, profit was 24 cents a share, down from 32 cents a year earlier.

Revenue rose 12% to $267.6 million.

Analysts surveyed by Thomson Reuters projected 20 cents a share on $277.3 million.

Write to Maria Armental at [e-mail]

(END) Dow Jones Newswires

February 02, 2016 18:25 ET (23:25 GMT)

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