Liberty Interactive Misses Q2 Earnings - Analyst Blog

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Liberty Interactive Corp. ( LINTA ) reported mixed financial results for the second quarter of 2013. Quarterly net income was $120 million or 23 cents per share compared with $234 million or 42 cents per share in the year-ago quarter. Second-quarter 2013 earnings fell below the Zacks Consensus Estimate of 27 cents. Quarterly total revenue of $2,647 million reflected a yearly improvement of 11.9% and was well above the Zacks Consensus Estimate of $2,428 million.

Quarterly total operating income came in at $284 million compared with $290 million in the year-ago quarter. In the reported quarter, consolidated adjusted OIBDA was $455 million, remaining same year over year. In the reported quarter, Liberty Interactive repurchased approximately 9.6 million Class A shares for a total consideration of $219.6 million.  

In the first half of 2013, Liberty Interactive generated $446 million of cash compared with $730 million in the year-ago period. Free cash flow in the reported period was $310 million compared with $579 million in the prior-year period.

At the end of the first half of 2013, Liberty Interactive had total consolidated cash and marketable securities of $3,321 million compared with $4,479 million at the end of 2012. Liberty Interactive exited the reported quarter with $6,988 million of outstanding debt compared with $7,884 million at the end of 2012. The debt-to-capitalization ratio was 0.46 at the end of second-quarter 2013 compared with 0.45 at the end of 2012.

According to Internet Retailer, after Amazon.com Inc. ( AMZN ), QVC was the second-largest e-commerce retailer in the U.S. in 2012. QVC has become the market leader in the U.S. TV home-shopping business, far ahead of its nearest rivals, HSN Inc. ( HSNI ) and ValueVision Media Inc. ( VVTV ). Liberty Interactive currently has a Zacks Rank #3 (Hold).  

QVC Segment

Quarterly total revenue of the QVC segment was $1,961 million, down 1% year over year. Consolidated adjusted OIBDA was $434 million, down 1% year over year. Consolidated operating income was $285 million, down 5% year over year.

Quarterly revenues of QVC U.S. inched up 3% year over year to $1,312 million. Gross margin was 37.3% compared with 37.2% in the year-ago quarter. Adjusted OIBDA was $320 million, up 2% year over year. Operating income was $207 million, down 3.3% year over year.

Quarterly revenues of QVC International inched down 6% year over year to $649 million. Gross margin was 37.8% compared with 38.1% in the year-ago quarter. Adjusted OIBDA was $114 million, down 7% year over year. Operating income was $78 million, down 10% year over year.

eCommerce Segment

Quarterly revenues of the eCommerce Business segment were $439 million, up 12% year over year. Quarterly adjusted OIBDA was $26 million, up 13% year over year. Operating loss doubled year over year to $2 million in the reported quarter.



AMAZON.COM INC (AMZN): Free Stock Analysis Report

HSN INC (HSNI): Free Stock Analysis Report

LIBERTY M INT-A (LINTA): Free Stock Analysis Report

VALUEVISION CLA (VVTV): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , Business , Earnings , Stocks

Referenced Stocks: AMZN , HSNI , LINTA , VVTV

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