ValueClick (Nasdaq: VCLK) Preliminary Q4 2009 Results

Announces Divestiture of Web Clients

WESTLAKE VILLAGE, Calif. -- ValueClick, Inc. (Nasdaq: VCLK) today announced the divestiture of the Web Clients promotional lead generation business. The divestiture is a continuation of the Company’s strategy to focus on growing its core online marketing services and technology businesses through organic initiatives and acquisitions.

“Given the growth and synergy opportunities in our core businesses and the acquisition opportunities in the market, the time is right to divest Web Clients”

“Given the growth and synergy opportunities in our core businesses and the acquisition opportunities in the market, the time is right to divest Web Clients,” said Tom Vadnais, chief executive officer of ValueClick. “Our preliminary fourth quarter results illustrate the success of our continuing operations, and our stock repurchase program activity shows our confidence in the competitive position of our core businesses going forward.”

The terms of the transaction are detailed in the Company’s Form 8-K to be filed today with the Securities and Exchange Commission. In accordance with GAAP, ValueClick will present the Web Clients business as discontinued operations and will restate the Company’s historical financial statements and segment operating results to reflect this change.

Preliminary Fourth Quarter Results, Stock Repurchase Program Update

Today, ValueClick also announced preliminary revenue and adjusted-EBITDA1 results for the quarter ended December 31, 2009. The following tables illustrate preliminary fourth quarter and fiscal year 2009 and 2008 revenue and adjusted-EBITDA with Web Clients treated as discontinued operations:

For the fourth quarter of 2009, the Company’s display, affiliate marketing and technology businesses performed above the Company’s expectations, with sequential revenue growth from the third quarter of 2009 of 30 percent, 20 percent, and 13 percent, respectively.

During the fourth quarter, ValueClick repurchased 3.6 million shares of its common stock for $35.1 million. As of today, up to an additional $69.9 million of the Company’s capital may be used to repurchase shares of the Company’s outstanding common stock under the Company’s stock repurchase program. The consolidated balance sheet as of December 31, 2009, which includes the impact of the fourth quarter stock repurchases, includes approximately $180 million in cash, cash equivalents and marketable securities and no debt.

ValueClick has yet to finalize its fourth quarter 2009 results. All figures in this release remain subject to the completion of normal year-end accounting procedures. The Company will release full fourth quarter and fiscal year 2009 results, including a reconciliation of GAAP net income from continuing operations to Adjusted-EBITDA as well as historical results of operations restated to reflect the discontinued operations treatment of Web Clients, after the market close on February 16. Details regarding the Company’s fourth quarter 2009 conference call will be published in a separate press release.

Source: ValueClick, Inc. (Nasdaq: VCLK)