Acxiom revenue up
by October 26, 2011 5:35 pm 88 views
Editor’s note: Roby Brock, with our content partner Talk Business, wrote this report. He can be reached at [email protected]
With his first full quarter under his belt, new Acxiom Corp. CEO Scott Howe described the company’s financial performance as "in line with expectations."
The Little Rock-based data marketer posted net income of $12.3 million on improved revenue of $300 million. One year ago, Acxiom recorded a $13.2 million profit on sales and income of $291.7 million.
Earnings per diluted share was 15 cents, below analysts’ estimates of 17 cents per share.
“The second quarter was in line with expectations and demonstrates Acxiom’s continuing role as a strong technology and strategic partner for our clients,” said Howe, a former Microsoft executive who was selected to head Acxiom this summer. “It also indicates we’re practicing good financial stewardship, which helps fuel our continuing innovation. Accelerating top-line growth and margins must be a focus of our future efforts.”
Some second quarter operational highlights noted by the firm included:
• Information Services: Revenue for the quarter ended Sept. 30 was $230.7 million, up 2.2% compared to $225.6 million for the quarter ended Sept. 30, 2010. Income from operations for the current second quarter was $23.2 million, up 1.1% compared to $23 million in the prior-year second quarter.
• Information Products: Revenue for the quarter increased 5.0% to $69.4 million, compared with $66.1 million in the second quarter a year ago. Income from operations for the quarter was $8.2 million, compared to $4.4 million in the second quarter of the previous year.
• Debt prepayment: The company prepaid $75 million of its term loan due March 15, 2015 in the current quarter.
• Share repurchase: The company instituted a share repurchase program during the quarter and has repurchased 3.7 million shares for $39.1 million, of which $5.0 million was accrued as of September 30, 2011 and paid in October.
Acxiom’s stock (NASDAQ: ACXM) closed trading on Tuesday at $11.63 per share, up 82 cents.