EXHIBIT 99.3
FINANCIAL GUIDANCE SUMMARY
2006 Financial Guidance
(in millions, except per share amounts)
(in millions, except per share amounts)
Six Months Ended | Year Ended | |||||||||||||||||||
Six Months Ended | December 31, 2006 | December 31, 2006 | ||||||||||||||||||
June 30, 2006 | Range | Range | ||||||||||||||||||
Revenue | $ | 106.7 | $ | 137.0 | $ | 142.0 | $ | 243.7 | $ | 248.7 | ||||||||||
Earnings before interest, taxes, depreciation, amortization and other non-cash items (“Adjusted EBITDA”) (a) | 16.1 | 32.4 | 34.5 | 48.5 | 50.6 | |||||||||||||||
Adjusted EBITDA per diluted common share | $ | 0.28 | $ | 0.55 | $ | 0.58 | $ | 0.83 | $ | 0.87 | ||||||||||
Interest income | 2.9 | 1.7 | 2.0 | 4.6 | 4.9 | |||||||||||||||
Depreciation and amortization | 7.5 | 12.7 | 12.3 | 20.2 | 19.8 | |||||||||||||||
Non-cash advertising | 2.8 | 4.8 | 4.6 | 7.6 | 7.4 | |||||||||||||||
Non-cash stock-based compensation | 14.0 | 13.4 | 13.4 | 27.4 | 27.4 | (b) | ||||||||||||||
Income tax provision | — | 2.1 | 2.1 | 2.1 | 2.1 | |||||||||||||||
— | ||||||||||||||||||||
Net income (loss) | $ | (5.3 | ) | $ | 1.1 | $ | 4.1 | $ | (4.1 | ) | $ | (1.2 | ) | |||||||
Net income (loss) per common share: | ||||||||||||||||||||
Basic | $ | (0.09 | ) | $ | 0.02 | $ | 0.07 | $ | (0.08 | ) | $ | (0.02 | ) | |||||||
Diluted | $ | (0.09 | ) | $ | 0.02 | $ | 0.07 | $ | (0.08 | ) | $ | (0.02 | ) | |||||||
Weighted-average shares outstanding used in computing net income (loss) per common share: | ||||||||||||||||||||
Basic | 56.1 | 56.1 | 56.1 | 56.1 | 56.1 | |||||||||||||||
Diluted | 57.9 | 59.0 | 59.0 | 58.5 | 58.5 |
(a) | See Annex A — Explanation of Non-GAAP Financial Measures. | |
(b) | Includes approximately $24.0 or $0.41 to $0.43 per share relating to the adoption of FAS 123R on January 1, 2006. |
Supplementary 2006 Quarterly Guidance
(in millions, except percentages and per share amounts)
(in millions, except percentages and per share amounts)
Quarter Ended | Quarter Ended | |||||||||||||||
September 30, 2006 | December 31, 2006 | |||||||||||||||
Range | Range | |||||||||||||||
Revenue | $ | 64.0 | $ | 66.0 | $ | 73.0 | $ | 76.0 | ||||||||
Net income (loss) | (1.8 | ) | (0.4 | ) | 2.9 | 4.5 | ||||||||||
% of revenue | -2.8 | % | -0.6 | % | 4.0 | % | 5.9 | % | ||||||||
Net income (loss) per common share: | ||||||||||||||||
Basic | $ | (0.03 | ) | $ | (0.01 | ) | $ | 0.05 | $ | 0.08 | ||||||
Diluted | $ | (0.03 | ) | $ | (0.01 | ) | $ | 0.05 | $ | 0.08 | ||||||
Weighted-average shares outstanding used in computing net income (loss) per common share: | ||||||||||||||||
Basic | 56.1 | 56.1 | 56.1 | 56.1 | ||||||||||||
Diluted | 56.1 | 56.1 | 59.0 | 59.0 | ||||||||||||
% of revenue | ||||||||||||||||
Earnings before interest, taxes, depreciation, amortization and other non-cash items (“Adjusted EBITDA”) (a) | 20.7 | % | 21.5 | % | 26.2 | % | 26.7 | % | ||||||||
Stock-based compensation expense | -12.3 | % | -12.0 | % | -7.5 | % | -7.2 | % | ||||||||
Interest, taxes, depreciation, amortization and non-cash advertising | -11.2 | % | -10.1 | % | -14.7 | % | -13.6 | % | ||||||||
Net income (loss) | -2.8 | % | -0.6 | % | 4.0 | % | 5.9 | % | ||||||||
(a) | See Annex A — Explanation of Non-GAAP Financial Measures. |