InsWeb Reports First Quarter 2008 Results

Apr 20,2008 00:00 by CNN.com

InsWeb Corp. (NASDAQ: INSW), a leading online insurance marketplace, today announced results for the first quarter ended March 31, 2008.

Revenues for the first quarter of 2008 were a record $13.0 million, an increase of approximately 61% as compared to $8.1 million in the first quarter of 2007. Net income for the first quarter of 2008 was approximately $0.7 million, or $0.12 per diluted share, as compared to net income in the first quarter of 2007 of approximately $0.4 million, or $0.09 per diluted share.

Adjusted EBITDA, a non-GAAP financial measure used by InsWeb's management and defined below, amounted to approximately $1.0 million in the first quarter of 2008, a new record and reflecting increases of 55% and 39% as compared to $0.6 million and $0.7 million in the fourth quarter and first quarter of 2007, respectively.

"As previously announced, during this seasonally strong first quarter we further benefited from new traffic arrangements, continued progress in agent adoption of our AgentInsider® program and our expanded relationship with NetQuote, which was not in effect during the first quarter of last year," stated InsWeb Chairman & CEO Hussein Enan. "Overall, traffic increased by more than 130% sequentially and 160% over the first quarter of 2007, while per consumer acquisition costs decreased by 12% sequentially and 21% compared to a year ago. That clearly demonstrates our ability to achieve very significant and profitable growth once we reach a critical mass of providers using our platform, our most impactful endeavor, and one on which the entire company is focused."

"Our first quarter results have set the stage for strong growth in fiscal 2008, and we are reaffirming our guidance for revenues and net income to increase roughly 25% over the prior year, excluding one-time gains or losses," concluded Mr. Enan.

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