IAC(US:IAC)2024-05-07 20:06Financial Performance - IAC reported Q1 2024 revenue of $929.7 million, a decrease of 14% from $1,084.3 million in Q1 2023[3] - Total operating loss improved by 56% to $59.2 million compared to a loss of $135.6 million in Q1 2023[3] - Adjusted EBITDA for Q1 2024 increased 372% to $43.0 million, up from $9.1 million in Q1 2023[3] - IAC reported total revenue of $929.7 million for Q1 2024, a decrease of 14.3% compared to $1.1 billion in Q1 2023[32] - IAC's net earnings attributable to shareholders decreased to $45.0 million in Q1 2024, down from $417.8 million in Q1 2023[32] - IAC's diluted earnings per share for Q1 2024 was $0.51, a significant decrease from $4.57 in Q1 2023[32] - Net earnings for Q1 2024 were $44.972 million, a significant decrease from $415.319 million in Q1 2023[34] Revenue Breakdown - Dotdash Meredith's digital revenue grew by 13% to $209 million, offsetting a 10% decline in print revenue[4] - Angi Inc. revenue decreased 14% year-over-year to $305 million, with a notable 18% growth in international markets[4] - Emerging & Other revenue fell 34% to $127 million, impacted by the sale of Roofing and Mosaic Group assets[4] - Dotdash Meredith's total digital revenue increased by 13% to $209.3 million in Q1 2024, up from $184.8 million in Q1 2023[25] - Angi Inc. total revenue decreased by 14% to $305.4 million in Q1 2024, down from $355.5 million in Q1 2023[25] - Pro Forma Angi Inc. Net Revenue for Q1 2024 was $305.4 million, down from $351.8 million in Q1 2023[37] Cash Flow and Investments - Free cash flow for Q1 2024 increased to $48.3 million, up from $3.3 million in Q1 2023[15] - IAC's cash and cash equivalents increased to $1.5 billion as of March 31, 2024, compared to $1.3 billion at the end of 2023[33] - Net cash provided by operating activities increased to $64.054 million in Q1 2024 from $25.167 million in Q1 2023[34] - Net cash provided by investing activities rose to $172.221 million in Q1 2024, compared to $51.974 million in Q1 2023[34] - Total cash provided (used) in Q1 2024 was $210.301 million, contrasting with a cash usage of $18.834 million in Q1 2023[34] - Capital expenditures in Q1 2024 were $15.712 million, a decrease from $21.863 million in Q1 2023[34] Debt and Taxation - IAC's long-term debt remained stable at $2.0 billion, with Dotdash Meredith holding $1.5 billion and Angi Group holding $500 million[23] - The company recorded an income tax provision of $54.7 million for Q1 2024, resulting in an effective tax rate of 55%[14] Investments and Market Position - IAC's unrealized gain on investment in MGM Resorts International decreased by 77% to $163.8 million[3] - IAC holds 64.7 million shares of MGM, valued at $2.7 billion as of May 3, 2024, compared to a purchase cost of $1.3 billion[4] - The unrealized gain on investment in MGM Resorts International was a loss of $163.751 million in Q1 2024, compared to a loss of $704.840 million in Q1 2023[34] Business Strategy and Market Trends - IAC's businesses, including Angi Inc. and Dotdash Meredith, are focused on expanding their digital reach and monetizing their products and services through various channels[62] - The company anticipates trends in the industries it operates in, with a focus on adapting to changes in consumer behavior and technology[62] - IAC's strategy includes maintaining financially-disciplined opportunism while evolving its portfolio of businesses[63] - The company emphasizes the importance of protecting user data and systems from cyberattacks, which is critical for maintaining consumer trust[62] - IAC's future financial performance is subject to various risks, including economic trends and competition in the digital space[62]