For the fourth quarter aQuantive continued to report strong growth, aided by cross-selling by its three operating units, resulting in 30 or so customer wins during the quarter, writes ClickZ. Fourth-quarter profit was up 63 percent on revenue growth of 44 percent, but the company said 1Q06 adjusted earnings would not meet Wall Street's expectations, reports the Associated Press. Beating analysts' expectations, net income for the quarter was up $11.6 million, or $.15 per share, compared with $7.1 million, or $.10 per share in 4Q04. Revenues for the quarter were $87.5 million, up 44 percent from the $60.7 million in the year-ago period.
For all of 2005, aQuantive's profit fell to $35.2 million, or 48 cents per share, from $42.9 million, or 62 cents per share, in 2004; however, revenue nearly doubled - to $308.4 million from $157.9 million the year before.
CEO and President Brian McAndrews said brand marketers represent an "increasing minority" of digital media spending, compared with direct marketers.
aQuantive's digital marketing services, including Avenue A/Razorfish, brought in revenues of $53.9 million in Q4, but its operating income of $11.4 million was comparable to the Atlas technology unit's, despite Atlas's revenues of $25.7 million.