BOCA RATON, Fla. — FriendFinder Networks Inc. on Monday said it had a 52 percent hike in net income in the first quarter and that its net loss decreased 55 percent.
While the Penthouse publisher and social network giant swung to a net loss of $3.7 million in the first quarter ending March 31, that figure improved a loss of $8.3 million in year-ago figures. The Boca Raton, Fla.-based company recently raised $50 million in gross proceeds from its initial public offering.
“We had a strong 1st quarter, highlighted by a 33 percent increase in adjusted EBITDA (earnings before interest, tax, depreciation and amortization) and a 60 percent increase in our adjusted cash flow,” said Marc Bell, FriendFinder Networks' CEO.
“During the quarter, we realized further efficiencies in our advertising spend and we are seeing a nice ramp up in revenue from our newly released websites such as NoStringsAttached.com and YarrGame.com.
"In addition, our affiliate incentives appear to be well-received by the affiliate community, which we expect will drive revenue and subscriber increases going forward."
FriendFinder said revenue for the first quarter of 2011 was $83.5 million, while income from operations for the same quarter was $19.7 million, an increase of $6.7 million, or 51.5 percent, compared to $13 million for the first quarter of 2010.
"We are committed to focusing our efforts on revenue growth, both organically and through acquisitions," Bell said. "We are currently considering several acquisition candidates that could jumpstart our growth.”