Second Quarter Results
Revenue from Continuing Operations of $200 million
GAAP EPS from Continuing Operations of $0.04
Non-GAAP EPS from Continuing Operations of $0.09
Non-GAAP Operating Expenses declined by 11% year over year
Careers – North America Non-GAAP EBITDA margin of 28%
Cash Flows Generated from Operations of $15.4 million, which included approximately $10 million of restructuring payments
Repurchased 4.4 Million Shares of Common Stock
Corporate Restructuring Efforts to Improve Profitability Substantially Completed
Monster Worldwide, Inc. (NYSE: MWW) today reported financial results for the second quarter ended June 30, 2013.
“We are aggressively pursuing the execution of our business strategy and are also developing a number of new strategies to better position the Company for sustained, long term revenue growth in the evolving job market. Over 200 million people have registered on the Monster Worldwide network and we continue to drive quality job applies to our customers,” said Sal Iannuzzi, chairman, president and chief executive officer of Monster Worldwide. “While the global economy has continued to put pressure on our business, with Europe being our weakest region, we were encouraged to see some stabilizing trends in each of our major markets during the quarter. Our second quarter results demonstrate our ability to control costs and protect profitability, even in a challenging market environment. And consistent with our objective to enhance shareholder returns, we successfully repurchased $23 million worth of our shares.”
Second Quarter 2013 Results
Revenue from continuing operations was $200 million, compared to second quarter 2012 revenue of $225 million. Historical data on revenue from continuing operations for prior quarters is available in the Company’s supplemental financial information.
Consolidated GAAP operating expenses from continuing operations of $192 million compares to $210 million in the second quarter 2012. Net income from continuing operations for the second quarter was $4.1 million, or $0.04 per share, which included $5.4 million of non-recurring charges, compared to $9.0 million, or $0.08 per share in the second quarter 2012, which included $1.9 million of non-recurring charges.
Non-GAAP net income from continuing operations was $9.6 million or $0.09 per share, compared to $10.9 million, or $0.10 per share in the second quarter 2012. Non-GAAP operating expenses of $183.6 million decreased 11% year over year. Non-GAAP EBITDA margin of 19%, led by Careers-North America with a 28% Non-GAAP EBITDA margin, increased from 18% in the second quarter of 2012. Pro-forma items are described in the "Notes Regarding the Use of Non-GAAP Financial Measures" and are reconciled to the GAAP measure in the accompanying tables.
Net cash provided by operating activities in the quarter was $15.4 million and is net of approximately $10 million cash costs associated with the Company’s restructuring efforts. Deferred revenue was $329 million compared to $352 million as of December 31, 2012. The Company ended the quarter with total available liquidity of$258 million.
During the second quarter 2013, Monster repurchased 4.4 million shares of its common stock at an average cost of $5.35 per share, for a total of $23 million.
The Company’s corporate restructuring initiatives were substantially completed in the second quarter and the desired savings have been achieved.
Six Months Results
Monster Worldwide reported total revenue of $412 million for the first six months ended June 30, 2013 compared to $458 million in the same period last year, a 10% decrease. Monster Careers revenue decreased 10% to $375 million compared with $419 million in the 2012 period. Internet Advertising & Fees reported revenue of$37 million compared to $39 million in the prior year period. The Company reported earnings from continuing operations of $15.3 million, or $0.14 per share, compared to $22.4 million, or $0.19 per share, in the prior period.
Company Provides Q3 EPS Guidance
Third quarter 2013 EPS from continuing operations is expected to be in the range of $0.06 to $0.10.
Conference Call and Webcast
Second quarter 2013 results will be discussed on Monster Worldwide’s quarterly conference call on August 1, 2013 at 8:30 AM ET. A live webcast of the conference call can be accessed online through the Investor Relations section of the Company’s website at http://ir.monster.com. To join the conference call by telephone, please dial (888) 696-1396 or (706) 758-9636 and reference conference ID# 97827231.
A presentation of financial slides will be referenced during the conference call and will be viewable through the live webcast. A PDF of the financial presentation can also be accessed directly through the Company’s Investor Relations website at http://ir.monster.com.
The Company has also made available certain supplemental financial information which can be accessed directly through the Company’s Investor Relations website at http://ir.monster.com.
For a replay of the conference call, please dial (855) 859-2056 or (404) 537-3406 and reference ID# 97827231. This number is valid until midnight on August 15, 2013.