Trulia reported revenue of $18.5 million for the third quarter, up 76 from last year.
The company noted that it had adjusted EBITDA, a measure of cash flow, of $300,000. This was Trulia’s first quarter of positive adjusted EBITDA.
Pete Flint, CEO, Trulia commented that, in Trulia’s first quarter as a public company, the company delivered record traffic and record revenue contributing to its first quarter of positive adjusted EBITDA.
Mr Flint said: “Our ability to monetize our mobile traffic at rates higher than the Web puts us in an advantageous position, as our industry continues to migrate to mobile. Additionally, our competitive advantage continues to grow as the Trulia community contributed unique insights at a record pace of one new piece of user-generated content every 10 seconds during the quarter.”
Third Quarter 2012 Financial Highlights
- Total revenue for the third quarter of 2012 was $18.5 million, an increase of 76% year-over-year.
- Net loss attributable to common stockholders for the quarter was $1.7 million, compared with $1.5 million in the third quarter of 2011.
- Adjusted EBITDA for the quarter was $0.3 million, compared with -$0.4 million in the third quarter of 2011. This marked Trulia’s first quarter of positive adjusted EBITDA.
- Raised net proceeds of $89.4 million from the Company’s initial public offering in September.
Key Business Metrics
- Average monthly unique visitors in the quarter were 24.9 million, an increase of 50% from 16.6 million in the same period last year.
- Mobile monthly unique visitors in the quarter were 5.8 million, an increase of 129% from 2.5 million in the same period last year.
- Total subscribers at the end of the quarter were 22,763, a 34% increase from 16,935 in the same period last year.
- Average monthly revenue per subscriber for the quarter was $154, a 45% increase from $106 in the same period last year.
- New contributions to user-generated content totaled approximately 842,000 during the quarter, a 68% increase from approximately 500,000 in the same period last year. At the end of the third quarter of 2012, this amounted to a cumulative total of more than six million pieces.
Selected Business Highlights
Trulia announced several innovations during the quarter:
- Trulia Mobile Subscription Product Expansion: Trulia mobile subscription units were expanded to the Trulia iPad app and are now being served in the map view. Trulia also expanded the offering by launching a six-month subscription package.
- Commute Maps: Trulia rolled out its interactive Commute Maps, a way to visualize driving and public transit times to best help identify where you want to live in relation to where you commute everyday to work. Commute Maps are fully integrated into your home search along with Trulia’s crime maps, school maps and amenities.
- Expansion of Mobile Offering: Trulia launched the Trulia Real Estate App and the Trulia Rentals App for Amazon’s Kindle Fire HD introducing new apps for maps and location-based searching to take advantage of the Kindle Fire HD’s new features. Additionally, Trulia updated its Trulia Rentals app for Android Phones, and released a brand new rentals App for Android tablets.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, you can identify forward-looking statements because they contain words such as “may,” “will,” “should,” “expects,” “plans,” “anticipates,” “could,” “intends,” “target,” “projects,” “contemplates,” “believes,” “estimates,” “predicts,” “potential” or “continue” or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans or intentions. Forward-looking statements in this press release include, but are not limited to, our expectations regarding industry transition to mobile and the growth of our competitive advantage in user generated content. Our expectations and beliefs regarding these matters may not materialize, and actual results in future periods are subject to risks and uncertainties that could cause actual results to differ materially from those projected. These risks include our ability to monetize mobile products and services and whether users continue to contribute valuable content to our platform. The forward-looking statements contained in this press release are also subject to other risks and uncertainties, including those more fully described in our filings with the Securities and Exchange Commission, including our Prospectus related to our initial public offering of common stock filed pursuant to Rule 424(b) under the Securities Act of 1933 (Registration No. 333-183364). The forward-looking statements in this press release are based on information available to Trulia as of the date hereof, and Trulia disclaims any obligation to update any forward-looking statements, except as required by law.
Use of Non-GAAP Financial Measure: Adjusted EBITDA
Trulia’s stated results include certain non-GAAP financial measures, including Adjusted EBITDA. We define Adjusted EBITDA as net loss adjusted to exclude interest income, interest expense, depreciation and amortization, change in fair value of warrant liability, and stock-based compensation. Adjusted EBITDA excludes these expenses as they are often excluded by other companies to help investors understand the operational performance of their business, and in the case of stock-based compensation, can be difficult to predict. Trulia believes these adjustments provide useful comparative information to investors.
Trulia also considers this non-GAAP financial measure to be important because it provides a useful measure of the operating performance of the Company and is used by the Company’s management for that purpose. In addition, investors often use similar measures to evaluate the operating performance of a company. Non-GAAP results are presented for supplemental informational purposes only for understanding the Company’s operating results. The non-GAAP results should not be considered a substitute for financial information presented in accordance with generally accepted accounting principles, and may be different from non- GAAP measures used by other companies.