Marchex Q2 Revenue Falls 6%, Swings to Net Loss; Guides Q3 Pro Forma Revenue $16M-$16.5M
MCHX sits 32% above its 52-week low of $1.322 on light trading volume (0.2× avg).
Summary
Marchex reported Q2 revenue of $11.0M, down 6% year-over-year, and swung to a net loss of $0.4M from a profit a year earlier. Pro forma revenue including the recently acquired Archenia was $15.5M. The company guided Q3 pro forma combined revenue to $16.0M-$16.5M and adjusted EBITDA of $2.3M-$2.5M. This follows the July 1 completion of the Archenia acquisition, which is expected to expand capabilities and revenue opportunities. The revenue decline and net loss are material for a company with a market cap around $78M, and the guidance provides a concrete outlook for the combined entity.
At the time of this announcement, MCHX was trading at $1.75 on NASDAQ in the Technology sector, with a market capitalization of approximately $77.6M. The 52-week trading range was $1.32 to $2.09. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Reuters.