AUSTIN, Texas, Feb. 6, 2014 /PRNewswire/ -- RetailMeNot, Inc. (NASDAQ:SALE), which operates the world's largest digital coupon marketplace, reported its financial results for the fourth quarter and fiscal year ended December 31, 2013.

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Fourth Quarter Key Metrics and Financial Results Highlights

(All comparisons are made to the fourth quarter of 2012)

• Net revenues for the fourth quarter were $78.5 million, an increase of 55% compared to $50.8 million.
• Organic net revenues increased 50%.  Organic net revenues exclude net revenues from acquired businesses not owned during both comparative periods.
• Mobile net revenues totaled $11.7 million, up 179% compared to $4.2 million.  
• Net revenues from international markets totaled $16.3 million, up 85% compared to $8.8 million.
• Net income for the fourth quarter was $13.8 million, up 79% compared to net income of $7.7 million.
• Adjusted EBITDA for the fourth quarter was $31.0 million, up 43%, representing 39% of net revenues, compared to $21.7 million, or 43% of net revenues.
• Visits to our websites grew 24% to 184.1 million, compared to 148.4 million. 
• Net revenues per visit grew 25% to $0.426, compared to $0.342.

Full Year 2013 Key Metrics and Financial Results Highlights

(All comparisons are made to the full year of 2012)

• Net revenues for the full year were $209.8 million, an increase of 45% compared to $144.7 million.
• Organic net revenues increased 41%. 
• Mobile net revenues totaled $26.6 million, up 213% compared to $8.5 million. 
• Net revenues from international markets totaled $43.3 million, up 75% compared to $24.7 million.
• Net income for the full year was $31.5 million, up 21% compared to net income of $26.0 million.
• Adjusted EBITDA for the full year was $81.3 million, up 15%, representing 39% of net revenues, compared to $70.4 million, or 49% of net revenues.
• Visits to our websites grew 21% to 560.4 million, compared to 464.2 million.
• Net revenues per visit grew 20% to $0.374, compared to $0.312.

"Our strong performance in 2013 was enabled by the investments we have made in people, technology and marketing to position the company for long-term growth.  In the fourth quarter in particular, we saw these investments pay off in our strong performance as a solid e-commerce environment and a shorter holiday shopping season saw heavy retailer promotional activity," said Cotter Cunningham, founder, president and CEO, RetailMeNot, Inc. "Looking into 2014, we remain committed to making investments that will focus on delivering the highest value content for consumers, strengthening our community and enhancing our web and mobile offerings to position the company for long-term growth."

Fourth Quarter Business Highlights and Key Strategic Announcements

• On December 11, 2013, RetailMeNot completed a follow-on offering at a price to the public $26 per share of 7,207,207 shares of its Series 1 common stock, including the under-writers' exercise of their option to purchase additional shares.
• As of December 31, 2013, more than 13.7 million apps had been downloaded globally between RetailMeNot.com, VoucherCodes.co.uk, Poulpeo.com, and Bons-de-Reduction.com, up from 4.5 million as of December 31, 2012.  During the fourth quarter, mobile app sessions totaled 116.5 million, versus 16.7 million during the fourth quarter of 2012.
• As of December 31, 2013, RetailMeNot had 17.1 million global subscribers to a newsletter or store alert, up 106% year over year.
• RetailMeNot expanded geo-targeting capabilities to cover a combination of over 6,000 malls and shopping centers.

Quarterly Conference Call

RetailMeNot will host a webcast to discuss its fourth quarter 2013 financial results and business outlook today at 8:30 a.m. Eastern Time (7:30 a.m. Central Time).  A live webcast of the conference call can be accessed within the investor relations section of the RetailMeNot website at http://investor.retailmenot.com. This webcast will contain forward-looking statements and other material information regarding the company's financial and operating results. Additionally, in advance of the conference call RetailMeNot will post fourth quarter 2013 Management Commentary that can be accessed at http://investor.retailmenot.com. 

Following completion of the call, a recorded replay of the webcast will be available on the website at http://investor.retailmenot.com. For those without access to the Internet, a replay of the call will be available beginning at 7:30 p.m. Central Time on February 6, 2014 through February 13, 2013 at 11:59 p.m. Central Time. To listen to the telephone replay, call (855) 859-2056 within the US or (404) 537-3406 internationally, access code 32119876.

About RetailMeNot, Inc.

RetailMeNot, Inc. (www.retailmenot.com/corp/) operates the world's largest digital coupon marketplace. The company enables consumers across the globe seeking to save money to find hundreds of thousands of digital coupons from retailers and brands. RetailMeNot, Inc. experienced more than 500 million visits to its websites in the last twelve months. The RetailMeNot, Inc. portfolio includes www.RetailMeNot.com, the largest digital coupon marketplace in the United States; www.RetailMeNot.ca in Canada; www.VoucherCodes.co.uk, the largest digital coupon marketplace in the United Kingdom; www.Deals.com in Germany; www.Actiepagina.nl, a leading digital coupon site in the Netherlands; Bons-de-Reduction.com and www.Ma-Reduc.com, leading digital coupon sites in France; www.Poulpeo.com, a leading digital coupon site with cash back in France; and www.Deals2Buy.com, a leading discount offer site in North America. RetailMeNot, Inc. went public in July 2013 and is listed on the NASDAQ stock exchange under the ticker symbol "SALE." Investors interested in learning more about the company can visit: http://investor.retailmenot.com/.

Operating Metrics

Visits. RetailMeNot defines a visit as a group of interactions that take place on one of RetailMeNot's websites within a given time frame as measured by Google Analytics, a product that provides digital marketing intelligence. A single visit can contain multiple page views, events, social interactions, custom variables and e-commerce transactions. A single visitor can open multiple visits. Visits can occur on the same day, or over several days, weeks or months. As soon as one visit ends, there is then an opportunity to start a new visit. A visit ends either through the passage of time or a campaign change, with a campaign generally meaning arrival via search engine, referring site or campaign-tagged information. A visit ends through passage of time either after thirty minutes of inactivity or at midnight Pacific Time. A visit ends through a campaign change if a visitor arrives via one campaign or source, leaves the site, and then returns via another campaign or source.  Visits for the period do not include interactions through our mobile applications.

Net Revenues Per Visit. Net revenues per visit is defined as net revenues for the period divided by visits for the period.

Non-GAAP Financial Measures

To provide investors with additional information regarding RetailMeNot's financial results, RetailMeNot has disclosed in the table below and elsewhere herein adjusted EBITDA, a non-GAAP financial measure. RetailMeNot has provided a reconciliation below of adjusted EBITDA to net income, the most directly comparable GAAP financial measure.  RetailMeNot defines adjusted EBITDA as net income plus depreciation, amortization of intangible assets, stock-based compensation expense, third-party acquisition-related costs, other non-cash operating expenses (including asset impairment charges and compensation-related charges associated with seller notes issued in connection with acquisitions), net interest expense, other non-operating income or expense (including changes in fair value of warrant liabilities and contingent consideration) and income taxes, net of any foreign exchange income or expense.

RetailMeNot discloses adjusted EBITDA because it is a key measure used by RetailMeNot and its board of directors to understand and evaluate RetailMeNot's financial and operating performance, establish budgets and operational goals and as an element in determining executive compensation.  RetailMeNot believes it also facilitates period-to-period comparisons of operations that could otherwise be masked by the effect of the expenses that RetailMeNot excludes in this non-GAAP financial measure and facilitates comparisons with other peer companies, many of which use similar non-GAAP financial measures to supplement their GAAP results.  However, adjusted EBITDA has limitations as an analytical tool, and you should not consider it in isolation or as a substitute for analysis of RetailMeNot's results as reported under GAAP. Because of these limitations, you should consider adjusted EBITDA alongside other financial performance measures, including various cash flow metrics, net income and RetailMeNot's other GAAP results.

Forward-looking Statements

This release contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical facts, included herein regarding RetailMeNot's strategy, future operations, future financial position, future net revenues, projected costs, prospects, plans and objectives of management are forward-looking statements. The words "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "will," "would," "target" and similar expressions (or the negative of these terms) are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These forward-looking statements include, among other things, statements about management's estimates regarding future net revenues and financial performance, visits and other statements about management's beliefs, intentions or goals. RetailMeNot may not actually achieve the expectations disclosed in the forward-looking statements, and you should not place undue reliance on RetailMeNot's forward-looking statements. These forward-looking statements involve risks and uncertainties that could cause actual results or events to differ materially from the expectations disclosed in the forward-looking statements, including, but not limited to, risks related to RetailMeNot's  ability to manage its growth, including accurately planning and forecasting its financial results; RetailMeNot's ability to attract visitors to its websites from search engines; RetailMeNot's ability to attract and retain paid retailers and maintain its relationships with performance marketing networks; RetailMeNot's ability to obtain and maintain digital coupon content and maintain the positive perception of its brand; RetailMeNot's need to monetize digital coupons available through its mobile solutions; the competitive environment for RetailMeNot's business; changes in consumer sentiment regarding RetailMeNot's use of cookies; RetailMeNot's need to manage regulatory, tax and litigation risks; RetailMeNot's ability to protect consumer data and its intellectual property; RetailMeNot's ability to manage international business uncertainties; the impact and integration of recent and future acquisitions; and other risks and potential factors that could affect RetailMeNot's business and financial results identified in RetailMeNot's filings with the Securities and Exchange Commission (the "SEC"), including its prospectus filed with the SEC pursuant to Rule 424(b)(4) on December 12, 2013. Additional information will also be set forth in RetailMeNot's future quarterly reports on Form 10-Q, annual reports on Form 10-K and other filings that RetailMeNot makes with the SEC. RetailMeNot does not intend or undertake any duty to release publicly any updates or revisions to any forward-looking statements contained herein.

Media Contact

Brian Hoyt
RetailMeNot, Inc.
bhoyt@rmn.com
(512) 777-2957

Investor Contact

Michael Magaro
RetailMeNot, Inc.
ir@rmn.com
(512) 777-2899

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SOURCE RetailMeNot, Inc.