Marchex Sees Q4 Revenue of $38-39M vs $40.56M Est

Marchex, Inc.

today reported certain preliminary financial results for the quarter ended December 31, 2011. Marchex expects revenue will range from $38.8 million to $39.0 million for the fourth quarter of 2011 compared with $28.0 million for the same period of 2010 and compared with previous guidance of more than $40.0 million for the fourth quarter of 2011. In addition, Marchex estimates Adjusted OIBA will range from $5.3 million to $5.5 million in the fourth quarter of 2011 compared with $2.3 million for the same period of 2010 and compared with previous guidance of $5.4 million or more for the fourth quarter of 2011. This implies an Adjusted EBITDA range of $6.3 million to $6.5 million for the fourth quarter of 2011 compared with $3.4 million for the same period of 2010 and compared with previous guidance of $6.4 million or more for the fourth quarter of 2011. The following forward looking statements reflect Marchex's expectations as of January 25, 2012. For the fiscal year ending December 31, 2012, Marchex anticipates revenue will range from $150 to $160 million and adjusted EBITDA margins will range from 13% to 15%. For the first quarter of 2012, Marchex anticipates lower revenue than in the fourth quarter of 2011, largely due to weakness in non-call-driven sources. As noted, Marchex does have exposure to period-to-period variability with committed budgets from call advertisers, which can translate to variability in financial performance. Marchex expects quarterly revenue to sequentially improve throughout 2012 based on anticipated call-driven revenue growth.