Bankrate reported commissions for signing up new credit cardholders for issuers of $60.1 million for the fourth quarter, compared to $62.8 million in the prior quarter. Total revenue for Q4/14 is approximately $136.5 million.
Revenues of $136.5 million are up 11.6% year-on-year (YOY). Bankrate’s compound annual growth rate (CAGR) is 15.13% since 3nd-of-year (EOY) 2009.
Q4/14 GAAP net income for the fourth quarter of 2014 is expected to be between $8.5 million and $8.9 million, which includes the impact of approximately $4.1 million of legal and other expenses and the internal review of the Company’s financial statements for fiscal years 2011, 2012 and 2013. Adjusted EBITDA margin for the fourth quarter of 2014 is expected to be between 24% and 25%, which also includes the impact of the approximately $4.1 million of legal and other expenses described above.
Both revenue from continuing operations and Adjusted EBITDA margin exclude Bankrate’s China operations, which are classified as discontinued operations. The Company expects to report cash and cash equivalents at the end of the fourth quarter of approximately $141.7 million.
Bankrate also notes in regard to its credit card business that owned and operated sites’ organic card offer clicks increased approximately 10% versus the prior year quarter.
2010: $77.2 million
2011: $113.8 million
2012: $93.2 million
2013: $122.3 million
2014: $136.5 million
Also Bankrate acquired Wallaby (December 1, 2014), a provider of personal finance mobile and desktop applications that give consumers access to a comprehensive set of financial resources which maximizes their credit card rewards and spending. Wallaby’s personalized real time recommendations include which credit card to use at the point of sale. Wallaby had over 108,000 users as of December 31, 2014.
As previously announced, the Securities and Exchange Commission and the United States Department of Justice are conducting investigations relating to the Company’s financial reporting. The Company is cooperating with these investigations.
In connection with these matters and developments in the ongoing investigations, on September 14, 2014, the Company’s Audit Committee concluded that the Company’s previously issued financial statements for each of fiscal years 2011, 2012 and 2013 should no longer be relied upon pending the conclusion of a full internal review of these matters, which is ongoing. The Bankrate Audit Committee has retained its own independent counsel and independent forensic accountants.
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