Falling revenue did not prevent Digital River, Inc. (NASDAQ:DRIV) from reporting a slight profit increase in the first quarter. Digital River, Inc provides end-to-end global e-commerce and marketing solutions to a variety of companies in software, consumer electronics, computer games, video games, and other markets.
Digital River Earnings Cheat Sheet for the First Quarter
Results: Net income for Digital River, Inc. rose to $7.02 million (18 cents/share) vs. $6.97 million (18 cents/share) in the same quarter a year earlier. A rise of 0.7% from the year earlier quarter.
Revenue: Fell 0.5% to $98.2 million YoY.
Actual vs. Wall St. Expectations: DRIV reported adjusted net income of 31 cents per share. By this measure, the company beat the mean analyst estimate of 28 cents/share. Estimates ranged from 27 cents per share to 34 cents per share.
Quoting Management: “Our first quarter earnings exceeded expectations,” said Joel Ronning, Digital River’s CEO. “We saw strength across multiple geographies and vertical markets and continued to win new business in software, consumer electronics and games. At the same time, we are leveraging our World Payments solution to further diversify into markets such as e-retail, travel, entertainment and online services. We are maintaining our optimistic outlook for 2011 as evidenced by our strong second quarter revenue guidance.”
Competitors to Watch: Microsoft Corporation (NASDAQ:MSFT), Akamai Technologies, Inc. (NASDAQ:AKAM), EasyLink Services Intl. Corp. (NASDAQ:ESIC), PFSweb, Inc. (NASDAQ:PFSW), eBay Inc. (NASDAQ:EBAY), GSI Commerce, Inc. (NASDAQ:GSIC), Oracle Corporation (NASDAQ:ORCL), Premiere Global Services, Inc. (NYSE:PGI), Tier Technologies, Inc. (NASDAQ:TIER), and Symantec Corporation (NASDAQ:SYMC).
Today’s Performance: Shares of DRIV are up 0.06% in after hours trading.