Perion Network. (PERI) swung to a net loss for the quarter ended Dec. 31, 2016. The company has made a net loss of $16.76 million in the quarter, against a net profit of $0.32 million in the last year period. On the other hand, adjusted net income for the quarter stood at $9.22 million, or $0.13 a share compared with $6.52 million or $0.08 a share, a year ago.
Revenue during the quarter dropped 20.03 percent to $67.61 million from $84.54 million in the previous year period. Gross margin for the quarter expanded 43 basis points over the previous year period to 95.01 percent. Operating margin for the quarter stood at negative 3.29 percent as compared to a positive 6.49 percent for the previous year period.
Operating loss for the quarter was $2.23 million, compared with an operating income of $5.49 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $11.99 million compared with $13.52 million in the prior year period. At the same time, adjusted EBITDA margin improved 173 basis points in the quarter to 17.73 percent from 16 percent in the last year period.
Yacov Kaufman, Perion’s CFO and interim chief executive officer commented, "Perion delivered on its strategy set out in the beginning of the year, to diversify its business, expand its long-term growth opportunity and leverage its strong and stable cash flows. For the first time, advertising represented more than half our revenues, powering 25% year over year revenue growth this past quarter. Together with this growth, we generated an Adjusted EBITDA margin of 16%, and cash from operations, in the fourth quarter alone, was over $12.1 million."
Operating cash flow drops significantlyPerion Network has generated cash of $17.57 million from operating activities during the year, down 42.31 percent or $12.89 million, when compared with the last year. The company has spent $120.45 million cash to meet investing activities during the year as against cash inflow of $28.73 million in the last year.
Cash flow from financing activities was $19.20 million for the year as against cash outgo of $52.61 million in the last year period.
Cash and cash equivalents stood at $17.52 million as on Dec. 31, 2016, down 26.89 percent or $6.44 million from $23.96 million on Dec. 31, 2015.
Debt increases substantially
Perion Network has witnessed an increase in total debt over the last one year. It stood at $99.05 million as on Dec. 31, 2016, up 27.42 percent or $21.31 million from $77.73 million on Dec. 31, 2015.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
