Actually not a bad quarter. I skipped the conference call, but all things considered both the operations and the balance sheet, on a cursory basis, look OK.
From the press release:
Outlook:
- The company expects revenue growth of 2% to 3% for the quarter ending December 31, 2001, with continued increases for the quarter ending March 31, 2002.
- The company expects to generate positive cash flow from operations for the remainder of the fiscal year.
- Hoover's expects to be profitable, on a GAAP basis, for the quarter ending March 31, 2002.
- Assuming no extraordinary events, such as a significant increase in the company stock buyback program, Hoover's expects to maintain cash balances from $30 million to $31 million.
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Nothing earth-shattering, but if they can maintain around $2 per share in cash, the joint s/b OK. If ad revenues in dot.com land ever improve, they will be in tall cotton. The emphasis on the recurring enterprise subscription business should serve them well during this period.
At some point in time, "the second wave" of the internet will become more apparent, at which point HOOV should finally be an acquisition candidate (assuming its core business is nicely cash flowing). Just MHO. |
