Acxiom Revenue Up, Profits Down

Share this content:
Acxiom Corp.'s revenue rose but profits fell for the second-quarter fiscal 2006 ended Sept. 30, the Little Rock, AR, company said in its earnings report released late Wednesday.


Revenue was $330.5 million for Q2 2006, up 11 percent from $299.1 in the previous year's quarter. Profits were $7.1 million, or 8 cents per share, versus $18.5 million, or 20 cents per share, in Q2 2005.


The earnings reflect pre-tax charges of $15.8 million associated with restructuring that stemmed from shortfalls in Q1.


"During our second quarter, we saw 11 percent year-over-year revenue improvement, the expense-reduction initiative we announced in June produced better than expected results, our business in Europe improved, and we signed a number of large, new deals," company leader Charles D. Morgan said in a statement. "These results give us an encouraging outlook for the third and fourth quarters."


Meanwhile, investment firm ValueAct Capital Partners LP still looks to gain control of Acxiom. Earlier this year, ValueAct stated its intent to issue an offer of $23 per share for all outstanding shares of common stock.


The letter, dated June 3, from San Francisco-based ValueAct Capital managing partner Jeffery W. Ubben criticized Acxiom's financial management and board of directors for failing to increase shareholder value. ValueAct owns 10 percent of Acxiom's stock.


Kristen Bremner covers list news, insert media, privacy and fundraising for DM News and DMNews.com. To keep up with the latest developments in these areas, subscribe to our daily and weekly e-mail newsletters by visiting www.dmnews.com/newsletters.


Loading links....

Sign up to our newsletters

Company of the Week

We recently were named B2B Magazine's Direct Marketing Agency of the Year, and with good reason: We make real, measureable, positive change happen for our clients. A full-service agency founded in 1974, Bader Rutter expertly helps you get the right message to the right audience at the right time through the right channels. As we engage our clients' audiences along their journey, direct marketing (email, direct mail, phone, SMS) and behavioral marketing (SEM, retargeting, contextual) channels deliver information relevant to the needs of each stage. We are experts at implementing and leveraging marketing technologies such as CRM and marketing automation in order to synchronize sales and marketing communications. Our team of architects and activators plan, execute, measure and adjust in real time to ensure the strategy is working as needed and change things if it's not.

Find out more here »

DMN's Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here