Marchex posts 4Q profit despite drop in revenue

SEATTLE

Advertising company Marchex Inc. on Thursday reported fourth-quarter results above analyst estimates, even though revenue sank by nearly a third.

For the three months ending Dec. 31, the company said it earned $36,000, or less than a penny per share, compared with a loss of $128.5 million, or $3.66 per share, for the same period in 2008. The fourth quarter of 2008 included a $176.7 million impairment charge.

Excluding one-time charges, the company earned 4 cents per share in latest quarter, compared with profit of 9 cents per share in the last quarter of 2008.

Analysts polled by Thomson Reuters expected profit of 3 cents per share, excluding items.

Quarterly revenue slid to $23.4 million from $34.8 million. Analysts expected revenue of $22.5 million.

For the full year, the company lost $2.1 million, or 7 cents per share, on revenue of $93.3 million. That compares with a loss of $127.9 million, or $3.52 per share, on revenue of $146.4 million in 2008.

Marchex anticipates first-quarter revenue of $22 million to $23 million. Analysts predict $21.4 million in revenue.

Shares of Marchex closed down 26 cents, or 4.7 percent, at $5.32. The stock has ranged from $2.98 to $5.90 over the past year.