Exhibit 99.3
FINANCIAL GUIDANCE SUMMARY
2007 Financial Guidance
(in millions, except per share amounts)
(in millions, except per share amounts)
Year Ended | ||||||||
December 31, 2007 | ||||||||
Range | ||||||||
Revenue | $ | 336.0 | $ | 352.0 | ||||
Earnings before interest, taxes, depreciation, amortization and other non-cash items (“Adjusted EBITDA”) (a) | 77.0 | 84.0 | ||||||
Adjusted EBITDA per diluted common share | $ | 1.28 | $ | 1.40 | ||||
Interest, taxes, depreciation, amortization and other non-cash items (b) | ||||||||
Interest income | 10.0 | 10.5 | ||||||
Depreciation and amortization | (31.5 | ) | (30.5 | ) | ||||
Non-cash advertising | (5.5 | ) | (5.0 | ) | ||||
Non-cash stock-based compensation | (24.0 | ) | (23.0 | ) | ||||
Income tax provision | (5.0 | ) | (7.0 | ) | ||||
Net income | $ | 21.0 | $ | 29.0 | ||||
Net income per common share: | ||||||||
Basic | $ | 0.37 | $ | 0.51 | ||||
Diluted | $ | 0.35 | $ | 0.48 | ||||
Weighted-average shares outstanding used in computing net income per common share: | ||||||||
Basic | 57.0 | 57.0 | ||||||
Diluted | 60.0 | 60.0 |
(a) | See Annex A — Explanation of Non-GAAP Financial Measures | |
(b) | Reconciliation of Adjusted EBITDA to net income |
Supplementary 2007 Quarterly Guidance
(in millions, except percentages and per share amounts)
(in millions, except percentages and per share amounts)
Quarter Ended | Quarter Ended | Quarter Ended | Quarter Ended | |||||||||||||||||||||||||||||
March 31, 2007 | June 30, 2007 | September 30, 2007 | December 31, 2007 | |||||||||||||||||||||||||||||
Range | Range | Range | Range | |||||||||||||||||||||||||||||
Revenue | $ | 69.0 | $ | 71.0 | $ | 76.0 | $ | 78.0 | $ | 89.0 | $ | 94.0 | $ | 102.0 | $ | 109.0 | ||||||||||||||||
Net income (loss) | (3.8 | ) | (2.0 | ) | 2.5 | 3.7 | 7.7 | 9.3 | 14.6 | 18.0 | ||||||||||||||||||||||
% of revenue | -5.5 | % | -2.8 | % | 3.3 | % | 4.7 | % | 8.7 | % | 9.9 | % | 14.3 | % | 16.5 | % | ||||||||||||||||
Net income (loss) per common share: | ||||||||||||||||||||||||||||||||
Basic | $ | (0.07 | ) | $ | (0.04 | ) | $ | 0.04 | $ | 0.06 | $ | 0.14 | $ | 0.16 | $ | 0.26 | $ | 0.32 | ||||||||||||||
Diluted | $ | (0.06 | ) | $ | (0.03 | ) | $ | 0.04 | $ | 0.06 | $ | 0.13 | $ | 0.16 | $ | 0.24 | $ | 0.30 | ||||||||||||||
Weighted-average shares outstanding used in computing net income (loss) per common share: | ||||||||||||||||||||||||||||||||
Basic | 57.0 | 57.0 | 57.0 | 57.0 | 57.0 | 57.0 | 57.0 | 57.0 | ||||||||||||||||||||||||
Diluted | 60.0 | 60.0 | 60.0 | 60.0 | 60.0 | 60.0 | 60.0 | 60.0 | ||||||||||||||||||||||||
% of revenue | ||||||||||||||||||||||||||||||||
Earnings before interest, taxes, depreciation, amortization and other non-cash items (“Adjusted EBITDA”)(a) | 14.5 | % | 16.0 | % | 18.5 | % | 19.0 | % | 23.5 | % | 24.5 | % | 31.0 | % | 32.0 | % | ||||||||||||||||
Stock-based compensation expense | -8.3 | % | -7.7 | % | -7.9 | % | -7.4 | % | -7.9 | % | -7.1 | % | -5.2 | % | -4.6 | % | ||||||||||||||||
Non-cash advertising | -3.3 | % | -2.8 | % | 0.0 | % | 0.0 | % | 0.0 | % | 0.0 | % | -3.1 | % | -2.8 | % | ||||||||||||||||
Interest, taxes, depreciation and amortization | -8.4 | % | -8.3 | % | -7.3 | % | -6.8 | % | -7.0 | % | -7.5 | % | -8.4 | % | -8.1 | % | ||||||||||||||||
Net income (loss) | -5.5 | % | -2.8 | % | 3.3 | % | 4.7 | % | 8.7 | % | 9.9 | % | 14.3 | % | 16.5 | % | ||||||||||||||||
(a) | See Annex A — Explanation of Non-GAAP Financial Measures |