Technology|IAC Revenue Beats on Strong Dating, Homeservices Business
(Reuters) – IAC/InterActiveCorp reported third-quarter revenue on Wednesday that edged past analysts’ estimates, driven by strong growth across all its businesses, including Tinder-owner Match Group and ANGI Homeservices.
Match Group, which contributes nearly half of IAC’s revenue, reported 22% rise in quarterly revenue while ANGI Homeservices, formed by merging IAC’s HomeAdvisor and consumer review platform Angie’s List, reported a rise of 18%, from a year earlier.
Earlier in October, IAC said it intends to spin off its ownership stake in Match Group resulting in the full separation of the two companies. The proposal came after an initial announcement from IAC in August where it said it intended to distribute its stake in Match group and ANGI Homeservices to its shareholders.
Speaking to Reuters, Chief Financial Officer Glenn Schiffman said the company will not turn its attention to ANGI until the Match spin-off is done.
The digital media company owns an 80.4% economic interest in Match and an 83.3% in ANGI, according to a regulatory filing in June.
IAC, owned by television giant Barry Diller, has a history of building businesses and later splitting them into separate companies.
Schiffman added that the company is actively looking for targets with a focus on consumer internet business.
The digital media company’s revenue rose about 13% to $1.25 billion, above analysts’ estimates of $1.24 billion, according to IBES data from Refinitiv.
Net income attributable to IAC shareholders fell to $128.5 million, or $1.35 per share, for the quarter ended Sept. 30, from $145.8 million, or $1.49 per share, a year earlier.
(Reporting by Ayanti Bera in Bengaluru; Editing by Shailesh Kuber)