IAC/Interactive Corp (IAC) Tops Q3 EPS
IAC/Interactive Corp (NASDAQ: IAC) reported Q3 EPS of $2.04, $2.61 better than the analyst estimate of ($0.57). Revenue for the quarter came in at $788.4 million versus the consensus estimate of $766.69 million.
- IAC announced it is considering a spin-off of its ownership stake in Vimeo to its shareholders; IAC also entered into an agreement to raise $150 million at Vimeo at an enterprise value of approximately $2.75 billion.
| · | ANGI Homeservices revenue increased 9% to $389.9 million. |
o Marketplace Monetized Transactions increased 8% to 4.7 million and Marketplace Transacting Service Professionals increased 9% to 207,000.
| · | Vimeo revenue increased 44% to $75.1 million and subscribers grew 21% to 1.46 million. Operating loss was $3.3 million and Adjusted EBITDA was $3.4 million, the first quarter of positive Adjusted EBITDA. |
| · | Dotdash revenue increased 26% to $50.8 million, the 14th consecutive quarter of double-digit revenue growth. Operating income increased 219% to $11.8 million and Adjusted EBITDA increased 130% to $16.2 million. |
| o | On September 22, 2020, Dotdash completed the acquisition of Simply Recipes and Serious Eats, leading food and recipe sites that will join Dotdash’s growing food portfolio alongside The Spruce Eats. |
| · | Search revenue was $145.2 million, operating loss was $53.0 million and Adjusted EBITDA was $11.9 million. Search operating loss reflects $64.0 million of goodwill and intangible asset impairments. |
| · | Subsequent to Q3 2020, Care.com completed the acquisition of LifeCare, a leading provider of family care benefits. |
| · | Net income includes a $227.7 million after-tax unrealized gain to reflect the value of our investment in MGM Resorts International as of September 30, 2020. IAC currently owns 59 million shares of MGM Resorts International. |
| · | For the nine months ended September 30, 2020, net cash provided by operations was $168.0 million and Free Cash Flow was $126.4 million. |
For earnings history and earnings-related data on IAC/Interactive Corp (IAC) click here.