comScore Revenues Soar but Legal Costs Dent Profits

Online measurement specialist comScore has reported a 33% revenue increase to $232.4m for the full year 2011, with Q4 revenue up 22% to $62.6m. However, fourth quarter loss climbed from $0.5m the previous year to $3.3m, with costly litigation with Nielsen taking its toll.

Back in March, Nielsen claimed that comScore had infringed one of its measurement patents. comScore then countersued with the same charge, and the case was finally settled in December, with Nielsen acquiring $19m of comScore common stock in the process. The litigation and related settlement cost $7.8m in the quarter, and a total of $16.5m over the course of 2011.

comScore's full year GAAP loss before income taxes was $18.8m and GAAP net loss was $15.8m. Non-GAAP net income in the fourth quarter of 2011 was $11.8m, while adjusted EBITDA was $15.4m; an increase of 34% from adjusted EBITDA of $11.5m in the fourth quarter of 2010.

Dr Magid Abraham, President and CEO, commented: 'In 2011, comScore invested in integrating acquisitions and developing innovative new products. We are entering 2012 with a broad and deep portfolio of products that we believe can significantly enhance our competitive advantages and help drive increased client adoption of those products. We now look forward to achieving the benefits of our recent investments in the coming periods and expect that our efforts will progressively prompt increased sales and margin growth.'

The company is projecting revenue growth in the range of 19% to 21% for the full year 2012.

Web site: www.comscore.com .