|Page (1) of 1 - 11/16/09||email article||print page|
SNAP Interactive Announces Third Quarter 2009 Operating ResultsRevenue of $801,120 -- Seventh Consecutive Profitable Quarter (November 16, 2009)
NEW YORK, NY -- (Marketwire) -- 11/16/09 -- SNAP Interactive, Inc. ("SNAP" or the "Company") (OTCBB: STVI), a leading provider of online dating applications for social networking websites, today announced operating results for the quarter ended September 30, 2009.
-- Q3 2009 revenue increased to $801,120 as compared to $784,242 in Q2 2009 -- Seventh consecutive profitable quarter -- Began testing new revenue opportunities focused around subscriptions and virtual gifts
(A comprehensive description of results follows below.)
"We are excited to report our seventh consecutive quarter of operational profit," stated SNAP President & CEO Clifford Lerner. "We were able to maintain profitability while continuing to focus on growing the company and expanding our products and user base. Development continued on the 'AreYouInterested?' brand enabling singles to meet on all platforms including the AreYouInterested? Facebook application, AreYouInterested.com website and AreYouInterested? iPhone application."
Lerner continued, "With nearly 3 million monthly active users and very limited spending on user acquisition to date, we are aggressively pursuing non-advertising based monetization opportunities, including virtual gifts and subscriptions. We plan to roll out these features to our user base over the next several months."
Comprehensive Operational Results Description
Revenue increased from $1,924,483 for the nine months ended September 30, 2008 to $2,354,334 for the nine months ended September 30, 2009, an increase of $429,851. Revenue decreased from $871,324 for the three months ended September 30, 2008 to $801,120 for the three months ended September 30, 2009, a decrease of $70,204. These revenues are primarily generated from advertisements and premium features placed on our various applications.
The increase in revenue for the nine months ended September 30, 2009 was primarily due to higher engagement on our applications as compared to the same time period in 2008 as well as more revenue-generating premium features which were only available for a small amount of the same time period in 2008. The decrease in revenue for the three months ended September 30, 2009 as compared to the same period in 2008 is primarily due to decreased advertising payouts as well as the revenue recognition impact of our shift to a subscription model in which revenue is recognized on a deferred basis when subscriptions occur over more than a single month.
Net Income decreased to $135,638 for the nine months ended September 30, 2009 from $745,654 for the nine months ended September 30, 2008, a decrease of $610,016. Net Income decreased to $22,736 for the three months ended September 30, 2009 from $410,283 for the three months ended September 30, 2008, representing a decrease of $387,547.
The decrease in net income was primarily due to the provision for income taxes which were not incurred during most of the same period last year due to a Net Operating Loss carry-forward from previous quarters, increased expenses due to the hiring of additional staff and the overall expansion of our operations, as well as decreased advertising payouts and the revenue recognition impact of our shift to a subscription model in which revenue is recognized on a deferred basis when subscriptions occur over more than a single month.
About SNAP Interactive, Inc.
Incorporated in Delaware and headquartered in New York City, SNAP Interactive, Inc. is a leading provider of online dating applications for social networking websites and mobile platforms. SNAP has developed two dating applications built on Facebook® Platform which have more than 18 million installations on Facebook. They have also launched dating applications on MySpace Developer Platform, Bebo, and Hi5 Developer Platform. SNAP's portfolio also includes an online dating site for singles called AreYouInterested.com that utilizes Facebook Connect to share content with their Facebook friends and an iPhone application for mobile dating called 'Are You Interested?' For more information visit www.snap-interactive.com.
Facebook® is a registered trademark of Facebook Inc.
iPhone(TM) is a trademark of Apple Inc.
Forward-Looking Safe Harbor Statement:
This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. By their nature, forward-looking statements and forecasts involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the near future. There are a number of factors that could cause actual results and developments to differ materially from forecasted results. These risks and uncertainties include product demand, market competition, fluctuations in advertising payouts, delays in website & application development, technical issues beyond our control, reliance on the various platforms that we build applications on, and risks inherent in our operations. For a discussion of these risks and uncertainties, please see our filings with the Securities and Exchange Commission. Our public filings with the SEC are available from commercial document retrieval services and at the website maintained by the SEC at http://www.sec.gov. All traffic statistics are recent averages.
SNAP Interactive, Inc.
Copyright @ Marketwire
Related Keywords: facebook, online dating, iphone, singles, personals, free online dating, applications, iphone apps, Sales, Applications, Advertising, Productivity Applications, Networking, Other Applications, Marketwire, Inc., Apple Computer, Social Networking,