Worldwide expansion in Personals grew paid subscribers by 23% over the prior year period, to 1.3 million. Due partly to raising prices. International paid subscribers grew by 20% due to continued expansion in several markets, most notably Scandinavia and Spain. Profit margin declines reflect significantly higher marketing spending internationally as well as increased operating costs related to Chemistry.com, which launched nationally during the quarter. Operating income for the current period was further impacted by amortization of non-cash marketing expense of $3 million.
Personals revenue grew 35% over 2005 to $73 million for the quarter. We’ll see how Chemistry’s hard marketing launch effects the numbers in a few quarters.
Media & Advertising revenue up 1208%, mostly due to Ask Jeeves acquisition.
Full details at IAC.
