TechTarget Earnings: Here’s Why Investors are Ambivalent Now
TechTarget, Inc. (NASDAQ:TTGT) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.
TechTarget, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 62.5% to $0.03 in the quarter versus EPS of $0.08 in the year-earlier quarter.
Revenue: Decreased 12.4% to $23.1 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: TechTarget, Inc. reported adjusted EPS income of $0.03 per share. By that measure, the company beat the mean analyst estimate of $0.02. It missed the average revenue estimate of $23.29 million.
Quoting Management: “We believe we hit the bottom of the cycle in Q1 of 2013. While the IT market remains weak, the healthy growth that we are experiencing with our International operations and new IT Deal Alert™ service is providing light at the end of the tunnel,” said Greg Strakosch, TechTarget CEO. “We expect improved results in the second half of 2013, which will create the foundation for our forecasted return to growth in 2014.”
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