MeetMe Inc. (NASDAQ: MEET)
Meetme, Inc. (NASDAQ:MEET), the public market leader for social discovery, today reported financial results for its second quarter ended June 30, 2015. Business Wire
MEET Earnings and Outlook
Mobile revenue was $8.3 million an increase of 47% from second quarter 2014. Total revenue was $11.1 million which is an increase of 4% from second quarter of 2014. Adjusted EBITDA was $2.9 million or a 26% margin, an increase of 288% year over year.
MeetMe CEO’s Comments
Geoff Cook, Chief Executive Officer of MeetMe, stated, “Mobile engagement continued to grow during the second quarter, with our mobile daily active users increasing 26% year over year and our total mobile monthly users increasing 42% year over year. We also achieved multiple milestones during the quarter, including surpassing 25 million chats in a single day, up more than 100% from a year ago, and reaching 20 million installs of our flagship Android app. Additionally, we saw increased international growth, with approximately 20,000 new international users joining every day during the quarter, up more than 100% versus a year ago.
During the quarter, we successfully transitioned our mobile advertising inventory management to an in-house solution and have benefited from this change with much stronger click-through-rates and increased mobile revenue. From July 1 through July 26, our click-through-rate (CTR) increased 62% over the average in April, the month in which we began making mobile ad logic changes. During the same period our daily mobile app ad revenue increased 50%. By optimizing for the performance of our mobile advertising, we believe we have substantially increased the overall value of our inventory.” Business Wire
MEET gapped up in price today to open at $2.00 up from yesterday’s close of $1.81 which is a 10% increase. Taking a look at the daily chart we can see the stock last reached these levels on June 24 when it reached a high of $2.00 up from June 23 close of 1.44, based on higher second quarter guidance numbers. Since then the stock traded down and leveled off around the $1.60 price level. Taking a look further down the daily chart we find a high of $2.22 on March 5th. That price level is interesting as in today’s pre market trading the stock reached a high of $2.20. This could be a significant price resistance for the stock and will be interesting to see if it can break thru this price off the opening bell trading. The stock has a relatively low float of 32 million shares making it an interesting candidate for the gap and go strategy. There can be two ways to go about trading it waiting for the pre market high of $2.20 to break for entry or for the more risk inclined going long off the bell and book some profits around the $2.20 level or look for possible add on to position.
MeetMe, Inc. owns and operates a social network for meeting new people on the Web and on mobile platforms in the United States. The company operates MeetMe.com that provides users with access to various multilingual menu of resources, which promote social interaction, information sharing, and other topics of interest. It offers online marketing capabilities, which enable marketers to display their advertisements in different formats and in different locations. The company was formerly known as Quepasa Corporation and changed its name to MeetMe, Inc. in June 2012. MeetMe, Inc. was founded in 1997 and is headquartered in New Hope, Pennsylvania. Yahoo Finance