New York – Shares of AOL spiked more than 13 percent by midday Wednesday after the company reported a 10 percent jump in ad revenue and profits that exceeds consensus analyst estimates in the fourth quarter.
Ad revenue was $364.8 million for the period, up from $331.6 million the year before, helping to offset an 18 percent drop in subscriber revenue.
Net income was $22.8 million, or $0.23 a share, or $0.06 higher than Wall Street estimates, according to a survey of analysts by Thomson Financial.
“AOL took a large step forward in Q4 and I am very pleased with the way we ended the year,” said Tim Armstrong, the company’s chairman and CEO. “Our Q4 results highlight AOL’s ability to methodically improve our consumer offering and financial performance.”
This article was also published in Potomac Tech Wire.
AOL’s investor relations release – http://tinyurl.com/6p4aq5x
Photo by Flickr user Jason Persse, used under Creative Commons license