Business
QuinStreet Reports Third Quarter Fiscal Year 2020 Financial Results
FOSTER CITY, Calif., May 6, 2020 /PRNewswire/ -- QuinStreet, Inc. (Nasdaq: QNST), a leader in performance marketplace products and technologies, today
About this update from Quinstreet, Inc.
[{"type":"text","content":"FOSTER CITY, Calif., May 6, 2020 /PRNewswire/ -- QuinStreet, Inc. (Nasdaq: QNST), a leader in performance marketplace products and technologies, today announced financial results for the third quarter ended March 31, 2020. \nFor the third quarter, the Company reported record quarterly revenue of $128.7 million, an increase of 11% year-over-year. During the third quarter, the Company successfully divested its B2B client vertical and Brazil operations. \nRevenue in the third quarter, excluding divested businesses, was $126.3 million, representing an increase of 15% year over year. \nGAAP net income was $13.9 million, or $0.26 per diluted share. \nAdjusted net income for the third quarter was $7.0 million, or $0.13 per diluted share. \nAdjusted EBITDA for the third quarter was $9.3 million, or 7% of revenue.\nDuring the third quarter, the Company generated $15.2 million in operating cash flow and closed the period with $97.1 million in cash and equivalents. \n\"QuinStreet business fundamentals and financial position remain strong and resilient, despite coronavirus,\" stated Doug Valenti, CEO of QuinStreet. \"We remain highly confident in our business opportunity, strategies and initiatives. We are also confident in our ability to navigate near-term disruptions caused by coronavirus. Our recent execution has been outstanding. And our balance sheet is strong, with cash approaching $100 million and no bank debt.\"\n\"Fiscal Q3 results were impacted by coronavirus-related drops in client marketing budgets and consumer traffic. Those effects accelerated during the quarter. Year-over-year growth in revenue excluding divested businesses went from 20% in January to 9% in March. Adjusted EBITDA margin similarly softened from 10% in January to an average of 6% in February and March, due to the same effects.\" \n\"Our Insurance client vertical has been performing best in the face of coronavirus. Auto insurance, our biggest business, grew 30% year-over-year.\"\n\"QRP also continues to progress well, and promises to be one of the most exciting business opportunities in the history of the Company, with a strong value proposition for agency clients, and big scale and SaaS-like margins for QuinStreet. Among its many advantages, QRP increases agent productivity, and helps agencies more effectively work remotely and serve consumers online. Launched ...