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ORC Purchase Fuels infoUSA Growth, but Profits Fall

April 20 2007
Database marketing firm infoUSA delivered record revenues of $157.9m (up 53%) in the first quarter of 2007, with $48.1m generated by recently acquired MR agency, Opinion Research Corporation (ORC). However, profits fell 20% to $6.3m as higher expenses outweighed revenue growth.

Founder, Chairman and CEO of infoUSA, Vin Gupta said the ‘dramatic revenue growth’ was a direct result of its $134.4m purchase of ORC last December.

infoUSA's first quarter operating income was $14.8m (compared with $15.5m in Q1 2006), which included $1.6m for Opinion Research. Cost of goods and services more than doubled to $62.3m, from $25.7m. Selling, admin and general expenses grew 32% to $71.6m, from $54.1m last year. Earnings per share in Q1 2007 were $0.11, against $0.15 in the first quarter of 2006.

ORC is divided into the corporate market research division known as Opinion Research, and the government research division known as Macro International. ORC’s corporate web site is at www.opinionresearch.com , while infoUSA is online at www.infousa.com .