Ivillage (NASDAQ:IVIL)
Historical Stock Chart
From Jun 2019 to Jun 2024
![Click Here for more Ivillage Charts. Click Here for more Ivillage Charts.](/p.php?pid=staticchart&s=N%5EIVIL&p=8&t=15)
Year-over-Year Fourth Quarter Revenue Increases 65%, With Full-Year 2005 Revenue Increasing 36% Compared to 2004
NEW YORK, Feb. 13 /PRNewswire-FirstCall/ -- iVillage Inc. (NASDAQ:IVIL), The Internet For Women(TM), a leading women's media company and the number one source for women's content and community online, today announced financial results for the fourth quarter and full-year ended December 31, 2005.
Fourth quarter 2005 revenue totaled $30.1 million, a 65% increase when compared to revenues of $18.2 million for the same period one year ago. Net income for the fourth quarter of 2005 was $8.8 million, or $0.12 per share, compared to net income of $2.4 million, or $0.03 per share, for the fourth quarter of 2004.
iVillage reported Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA)(1) of $11.1 million for the fourth quarter of 2005 compared to $3.2 million for the fourth quarter of 2004.
Douglas W. McCormick, Chairman & Chief Executive Officer, iVillage Inc., said, "Our record results continue to demonstrate the sustainable operating leverage we've established in our strong online platform. The online advertising marketplace remains robust and we believe we are well-positioned to accelerate growth through our leading women and health offerings. We continue to focus on initiatives that will set iVillage apart, including augmenting our video and multimedia content, implementing our aggressive search optimization strategy and growing our unique visitors and page views. With our resources and the profitable growth opportunities we are pursuing, we believe iVillage is on track to achieve another record performance in 2006."
Full-year 2005 revenue totaled $91.1 million, a 36% increase when compared to revenues of $66.9 million for the full-year 2004. Net income for the full-year 2005 was $9.5 million, or $0.12 per share, compared to net income of $2.7 million, or $0.04 per share, for the full-year 2004.
iVillage reported full-year 2005 EBITDA of $17.0 million, which includes approximately $0.5 million primarily in one-time legal expenses. This compares to $7.8 million in EBITDA for the full-year 2004.
As of December 31, 2005, iVillage had $55.9 million in cash and cash equivalents on its balance sheet. The Company continues to carry no debt.
First Quarter and Full-Year 2006 Business Outlook
For the first quarter of 2006, iVillage expects to generate revenues between $21.5 million and $23.5 million, which compares to $17.3 million in revenue for the first quarter of 2005. The Company currently anticipates reporting EBITDA between $1.5 million and $2.5 million for the first quarter of 2006, which compares to EBITDA of $0.1 million for the first quarter of 2005. Additionally, in the first quarter of 2006, iVillage expects to report a net loss of between $1.3 million and $0.3 million, which includes an estimated $0.8 million in non-cash, stock-based compensation expenses. This compares to a $1.3 million net loss for the first quarter of 2005.
For the full-year 2006, iVillage expects to generate revenue between $105.0 million and $113.0 million and EBITDA of between $24.0 million and $29.0 million. The Company also expects to report net income between $13.8 million and $18.8 million for the full-year 2006, which includes an estimated $3.2 million in non-cash, stock-based compensation expenses.
iVillage does not undertake any obligation to update its financial outlook, but reserves the right to do so at any time for any reason.
Metrics
* According to comScore Media Metrix, iVillage delivered approximately
14.5 million unique monthly visitors and the iVillage Network was the
41st most visited Web site in the U.S. in January 2006. According to
the same report, iVillage reaches approximately 8.5% of the total U.S.
online population and nearly 11% of U.S. women 18+ online monthly.
Visitors return more than 2 times per month on average.
* Also according to the comScore Media Metrix January 2006 report,
iVillage is the #1 women's community site, the #4 community site overall
and, when combined, the iVillage health properties rank 5th among the
most visited commercial, full-service health web properties and 8th
among the overall most visited health web properties.
* iVillage delivered approximately 362 million average monthly page views
for the fourth quarter of 2005.
2005 Highlights
* iVillage announced the renewal of a content publication agreement with
the MSN(R) network during the fourth quarter of 2005. Under the
agreement, MSN will continue to present select iVillage content on its
lifestyle channel, MSN Lifestyle, located at http://lifestyle.msn.com/.
* During the third quarter of 2005, iVillage entered into a distribution
agreement with Yahoo! Search Marketing. The agreement, which went into
effect on September 1, 2005, brings Yahoo!'s comprehensive suite of
sponsored search, Content Match(TM) and Yahoo! Search products to
iVillage visitors.
* During the second quarter of 2005, iVillage acquired all of the
outstanding equity of HealthCentersOnline, Inc., a privately-held,
leading online destination for physician-edited information on health
conditions, treatments and preventative care for patients.
* Also during the second quarter of 2005, iVillage completed its
acquisition of the iVillage.co.uk website and certain related assets.
iVillage UK is one of the top destinations in the region for women.
* iVillage announced during the first quarter of 2005 that it had acquired
Healthology, Inc., a leading producer and distributor of streaming video
health programs and physician-authored articles on the Internet.
* Kicking off its 10-year anniversary, the Company relaunched iVillage.com
at the beginning of 2005. The redesigned site offers the latest trends
and news for women, enhanced navigation and new, customizable features.
Advertising & Sponsorship Highlights
* iVillage.com revenue increased approximately 68% for the full-year 2005
when compared to the full-year 2004(2).
* iVillage continued to receive substantial advertising commitments from
blue-chip advertisers, with Consumer Package Goods (CPG) and
Pharmaceutical/Healthcare categories showing the highest growth. Fourth
quarter advertisers included: American Express, AstraZeneca, Citibank,
Colgate-Palmolive, DreamWorks, General Mills, Kraft, Norelco, Pfizer,
Procter & Gamble, and Sony Pictures, among others.
* The Company continued to make strides and execute on its strategy to
develop and distribute compelling original multimedia and video features
that also are attractive advertising vehicles. iVillage recently
launched its first original Web TV show, "What Men Won't Tell You, but
Women Need to Know," hosted by Dr. Bob Berkowitz. Additionally, the
Company launched audio/slide shows based on two best-selling books,
"Teenage Waistland" and "A Day in the Life of the American Woman."
Conference Call
iVillage will hold a conference call to discuss its fourth quarter and full-year 2005 financial results today at 4:30 PM (EST). The conference call will be broadcast live on the Internet and will be available on iVillage's Investor Relations Web site, located at http://www.ivillage.com/investor, and on Street Events, located at http://www.streetevents.com/. A replay of the conference call will be available on the iVillage Investor Relations Web site approximately one hour after the call ends on Monday, February 13, 2006 until 5:30 PM (EST) on Monday, February 20, 2006. A transcript of the conference call will be available on the iVillage Investor Relations Web site thereafter.
About iVillage Inc.
iVillage is "the Internet for women" and consists of several online and offline media-based properties that seek to enrich the lives of women, teenage girls and parents through the offering of unique content, community applications, tools and interactive features. iVillage Inc. (NASDAQ:IVIL) was established in 1995 and is headquartered in New York City.
Average monthly page views for iVillage.com and its affiliate Web sites ("The iVillage Network") totaled 362 million for the quarter ended December 31, 2005. In January 2006, according to comScore Media Metrix, The iVillage Network ranked 41st among the top 100 Web and Digital Media properties with approximately 14.5 million unique visitors in the United States and had an average reach of approximately 8.5% of the total online population and nearly 11% of women 18+ online. Also, according to the same report, The iVillage Network was the number one "women's community site" and the number four "community site" overall on the Web.
For more information about iVillage, visit http://www.ivillage.com/.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995:
iVillage Inc. has included in this press release certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 concerning iVillage's business, operations and financial condition. The words or phrases "can be," "expects," "may affect," "anticipates," "may depend," "believes," "estimates," "plans," "projects" and similar words and phrases are intended to identify such forward-looking statements. These forward-looking statements are subject to various known and unknown risks and uncertainties and iVillage cautions you that any forward-looking information provided by or on behalf of iVillage is not a guarantee of future results, performance or achievements. Actual results could differ materially from those anticipated in these forward-looking statements due to a number of factors, some of which are beyond iVillage's control. In addition to those risks discussed in iVillage's other press releases, public filings and statements by iVillage's management, factors that may cause iVillage's actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied in such forward looking statements include: (i) the volatile and competitive nature of the Internet industry and the media industry, (ii) changes in domestic and foreign economic, political and market conditions, (iii) the effect of federal, state and foreign regulation on iVillage's business, (iv) the impact of recent and future acquisitions and joint ventures on iVillage's business and financial condition, (v) iVillage's ability to establish and maintain relationships with advertisers, sponsors, and other third-party providers and partners, (vi) iVillage's ability to maintain or increase user traffic levels, (vii) the loss of one or more of iVillage's major customers, (viii) the effect of seasonal fluctuations in traditional online advertising purchasing patterns on iVillage's results of operations and (ix) the impact of pending litigation on iVillage's business, results of operations and financial condition. All such forward-looking statements are current only as of the date on which such statements were made. iVillage does not undertake any obligation to publicly update any forward-looking statement to reflect events or circumstances after the date on which any such statement is made or to reflect the occurrence of unanticipated events.
(1) To supplement its consolidated financial statements presented in
accordance with generally accepted accounting principles ("GAAP") in
the United States, iVillage uses non-GAAP measures of operating
results and net income, such as EBITDA (defined by iVillage as
Earnings (Loss) Before Interest, Taxes, Depreciation and
Amortization), which are adjusted from results based on GAAP to
exclude certain expenses. These non-GAAP adjustments are provided to
enhance individuals' overall understanding of the Company's current
financial performance and its prospects for the future. Specifically,
iVillage believes the non-GAAP financial measures provide useful
information to both management and investors by excluding certain
expenses that are not indicative of the Company's core operating
results. In addition, since iVillage has historically reported
non-GAAP results to the investment community, the Company believes the
inclusion of non-GAAP financial measures provides consistency in its
financial reporting. Further, these non-GAAP results are one of the
primary indicators management uses for planning and forecasting in
future periods, as well as for executive compensation. The
presentation of this additional information is not meant to be
considered in isolation or as a substitute for results prepared in
accordance with GAAP. Please refer to iVillage's unaudited
consolidated financial statements accompanying this press release for
a reconciliation of any non-GAAP financial measures included in this
press release to the corresponding GAAP financial measures. Although
EBITDA is frequently used as a measure of operating performance, it is
not necessarily comparable to other similarly titled captions of other
companies due to differences in methods of calculation.
(2) Please see the attached financial tables for a reconciliation of
iVillage.com revenue.
iVillage Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(in thousands, except per share amounts)
(unaudited)
Three months ended Year ended
December 31, December 31,
2005 2004 2005 2004
Revenues $30,111 $18,200 $91,061 $66,903
Operating
expenses:
Editorial, product
development and
technology 8,257 6,639 33,702 28,903
Sales and marketing 7,324 5,352 26,865 19,022
General and administrative 3,439 2,994 13,535 11,227
Depreciation and
amortization 2,393 1,114 8,906 6,011
Total operating expenses 21,413 16,099 83,008 65,163
Income from operations 8,698 2,101 8,053 1,740
Interest income, net 452 338 1,561 642
Other income, net 28 110 96 207
Gain on sale of joint
venture interest -- 76 101 395
Income from continuing
operations before
income taxes 9,178 2,625 9,811 2,984
Provision for income taxes (355) (307) (355) (307)
Income from continuing
operations $8,823 2,318 9,456 2,677
Discontinued operations 25 69 25 69
Net income $8,848 $2,387 $9,481 $2,746
Basic (per share data):
Income from continuing
operations $0.12 $0.03 $0.13 $0.04
Income from discontinued
operations $0.00 $0.00 $0.00 $0.00
Net income $0.12 $0.03 $0.13 $0.04
Diluted (per share data):
Income from continuing
operations $0.11 $0.03 $0.12 $0.04
Income from discontinued
operations $0.00 $0.00 $0.00 $0.00
Net income $0.11 $0.03 $0.12 $0.04
Weighted-average shares of
common stock outstanding
used in computing basic
net income per share 72,634 71,668 72,307 65,054
Weighted-average shares of
common stock outstanding
used in computing diluted
net income per share 77,363 75,829 76,587 69,853
iVillage Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(in thousands)
(unaudited)
December 31, December 31,
2005 2004
ASSETS:
Current assets:
Cash and cash equivalents $55,881 $83,046
Accounts receivable, net 20,820 9,708
Prepaid rent 318 318
Other current assets 5,374 3,740
Total current assets 82,393 96,812
Fixed assets, net 12,272 8,381
Goodwill and intangible assets, net 59,495 32,073
Prepaid rent, net of current portion 3,051 3,203
Other assets 104 79
Total assets $157,315 $140,548
LIABILITIES and STOCKHOLDERS' EQUITY:
Current liabilities:
Accounts payable and accrued expenses $11,735 $10,142
Deferred revenue 4,157 2,080
Other liabilities 144 168
Total current liabilities 16,036 12,390
Deferred rent, net of current portion 1,196 1,339
Total liabilities 17,232 13,729
Commitments and contingencies
Stockholders' equity 140,083 126,819
Total liabilities and stockholders' equity $157,315 $140,548
iVillage Inc. and Subsidiaries
Quarterly Income Statement
($ in million except for per share amounts)
(unaudited)
Mar-04 Jun-04 Sep-04 Dec-04 FY 04
Revenue $15.507 $16.498 $16.698 $18.200 $66.903
Growth q-q -2% 6% 1% 9%
Growth Y/y 23% 25% 23% 15% 21%
Editorial, product
development & technology 7.511 7.013 7.740 6.639 28.903
% of Revenues 48% 43% 46% 36% 43%
Sales and marketing 4.385 4.723 4.562 5.352 19.022
% of Revenues 28% 29% 27% 29% 28%
General and administrative 2.908 2.885 2.440 2.994 11.227
% of Revenues 19% 17% 15% 16% 17%
Depreciation and amortization 1.804 1.953 1.140 1.114 6.011
% of Revenues 12% 12% 7% 6% 9%
Total operating expenses 16.608 16.574 15.882 16.099 65.163
% of Revenues 107% 100% 95% 88% 97%
(Loss) income from operations (1.101) (0.076) 0.816 2.101 1.740
Interest income, net 0.018 0.050 0.236 0.338 0.642
Other income, net 0.052 0.034 0.011 0.110 0.207
Gain on sale of joint venture
interest 0.167 0.076 0.076 0.076 0.395
Provision for income taxes -- -- -- (0.307) (0.307)
(Loss) income from continuing
operations (0.864) 0.084 1.139 2.318 2.677
Discontinued operations -- -- -- 0.069 0.069
Net (loss) income $(0.864) $0.084 $1.139 $2.387 $2.746
Basic (per share data):
(Loss) income from continuing
operations $(0.01) $0.00 $0.02 $0.03 $0.04
Income from discontinued
operations -- -- -- 0.00 0.00
Net (loss) income $(0.01) $0.00 $0.02 $0.03 $0.04
Diluted (per share data):
(Loss) income from continuing
operations $(0.01) $0.00 $0.02 $0.03 $0.04
Income from discontinued
operations -- -- -- 0.00 0.00
Net (loss) income $(0.01) $0.00 $0.02 $0.03 $0.04
Weighted average shares of
common stock outstanding -
basic 58.4 59.1 70.9 71.7 65.1
Weighted average shares of
common stock outstanding -
diluted 58.4 64.4 75.2 75.8 69.9
Additional Financial
Information
Revenue from barter 0.844 1.119 1.204 1.363 4.530
% of Revenues 5% 7% 7% 7% 7%
Mar-05 Jun-05 Sep-05 Dec-05 FY 05
Revenue $17.274 $21.080 $22.596 $30.111 $91.061
Growth q-q -5% 22% 7% 33%
Growth Y/y 11% 28% 35% 65% 36%
Editorial, product
development & technology 8.239 8.921 8.285 8.257 33.702
% of Revenues 48% 42% 37% 27% 37%
Sales and marketing 5.936 7.001 6.604 7.324 26.865
% of Revenues 34% 33% 29% 24% 30%
General and administrative 2.989 3.572 3.535 3.439 13.535
% of Revenues 17% 17% 16% 11% 15%
Depreciation and amortization 1.804 2.311 2.398 2.393 8.906
% of Revenues 10% 11% 11% 8% 10%
Total operating expenses 18.968 21.805 20.822 21.413 83.008
% of Revenues 110% 103% 92% 71% 91%
(Loss) income from operations (1.694) (0.725) 1.774 8.698 8.053
Interest income, net 0.352 0.358 0.399 0.452 1.561
Other income, net -- 0.016 0.052 0.028 0.096
Gain on sale of joint venture
interest 0.076 0.025 -- -- 0.101
Provision for income taxes -- -- -- (0.355) (0.355)
(Loss) income from continuing
operations (1.266) (0.326) 2.225 8.823 9.456
Discontinued operations -- -- -- 0.025 0.025
Net (loss) income $(1.266) $(0.326) $2.225 $8.848 $9.481
Basic (per share data):
(Loss) income from continuing
operations $(0.02) $(0.00) $0.03 $0.12 $0.13
Income from discontinued
operations -- -- -- 0.00 0.00
Net (loss) income $(0.02) $(0.00) $0.03 $0.12 $0.13
Diluted (per share data):
(Loss) income from continuing
operations $(0.02) $(0.00) $0.03 $0.11 $0.12
Income from discontinued
operations -- -- -- 0.00 0.00
Net (loss) income $(0.02) $(0.00) $0.03 $0.11 $0.12
Weighted average shares of
common stock outstanding -
basic 71.9 72.2 72.4 72.6 72.3
Weighted average shares of
common stock outstanding -
diluted 71.9 72.2 76.6 77.4 76.6
Additional Financial
Information
Revenue from barter 1.680 1.606 1.232 1.062 5.580
% of Revenues 10% 8% 5% 4% 6%
iVillage Inc. and Subsidiaries
Supplemental Financial Data
(in thousands)
(unaudited)
Three months ended Year ended
December 31, December 31,
2005 2004 2005 2004
EBITDA reconciliation:
Net income $8,848 $2,387 $9,481 $2,746
Addback: Depreciation and
amortization 2,393 1,114 8,906 6,011
Interest income, net (452) (338) (1,561) (642)
Other income, net (28) (110) (96) (207)
Gain on sale of
joint venture interest -- (76) (101) (395)
Provision for income taxes 355 307 355 307
Discontinued operations (25) (69) (25) (69)
EBITDA $11,091 $3,215 $16,959 $7,751
Revenues by property:
iVillage.com (1) $22,709 $12,520 $67,882 $40,377
Astrology.com 1,494 925 5,109 3,461
IVPN 3,920 2,921 13,779 18,662
PAG 1,988 1,834 4,291 4,403
Total revenues $30,111 $18,200 $91,061 $66,903
iVillage.com organic revenue
growth excluding recent
acquisitions and Hearst
advertising legacy deal:
iVillage.com (1) $22,709 $12,520 $67,882 $40,377
Less: Recent acquisitions (6,441) -- (16,921) --
Hearst advertising
legacy deal -- -- -- (1,443)
iVillage.com (1) organic
revenue growth excluding
recent acquisitions and
Hearst advertising
legacy deal $16,268 $12,520 $50,961 $38,934
iVillage.com (1) organic
revenue growth % excluding
recent acquisitions and
Hearst advertising
legacy deal 30% 31%
(1) Included in iVillage.com revenues are iVillage.com, Healthology, Inc.,
HealthCentersOnline, Inc., iVillage Limited, Promotions.com,
Substance.com, Women.com and GardenWeb properties and gURL.com,
iVillage Consulting and iVillage Solutions divisions.
iVillage Inc. and Subsidiaries
Quarterly Supplemental Financial Data
($ in million except for per share amounts)
(unaudited)
Mar-04 Jun-04 Sep-04 Dec-04 FY 04
EBITDA reconciliation:
Net (loss) income $(0.864) $0.084 $1.139 $2.387 $2.746
Addback: Depreciation and
amortization 1.804 1.953 1.140 1.114 6.011
Interest income,
net (0.018) (0.050) (0.236) (0.338) (0.642)
Other income, net (0.052) (0.034) (0.011) (0.110) (0.207)
Gain on sale of
joint venture
interest (0.167) (0.076) (0.076) (0.076) (0.395)
Provision for
income taxes -- -- -- 0.307 0.307
Discontinued
operations -- -- -- (0.069) (0.069)
EBITDA $0.703 $1.877 $1.956 3.215 $7.751
Mar-05 Jun-05 Sep-05 Dec-05 FY 05
EBITDA reconciliation:
Net (loss) income $(1.266) $(0.326) $2.225 $8.848 $9.481
Addback: Depreciation and
amortization 1.804 2.311 2.398 2.393 8.906
Interest income,
net (0.352) (0.358) (0.399) (0.452) (1.561)
Other income, net -- (0.016) (0.052) (0.028) (0.096)
Gain on sale of
joint venture
interest (0.076) (0.025) -- -- (0.101)
Provision for
income taxes -- -- -- 0.355 0.355
Discontinued
operations -- -- -- (0.025) (0.025)
EBITDA 0.110 1.586 4.172 11.091 16.959
First Call Analyst:
FCMN Contact: edj@abmac.com
DATASOURCE: iVillage Inc.
CONTACT: Carl R. Fischer IV of iVillage Inc., +1-212-600-6502,
; or Carina Davidson, , or Eliza
Johnson, , both of The Abernathy MacGregor Group,
+1-212-371-5999, for iVillage Inc.
Web site: http://www.ivillage.com/