Dice Has Tough Quarter, But Does Better Than Expected

Dice HoldingsShares of Dice Holdings, owner of IT job board Dice.com, closed up almost 5 percent today, following news this morning that the company had a better quarter than Wall Street expected.

The company reported earning 5 cents a share or $3 million versus the average 2 cents a share analysts had estimated it would report for the quarter ended Sept. 31.  Though revenue was down a third to $26.7 million from last year’s $39.6 million, expenses were cut by 28 percent. The $3 million profit was just under half the $6.4 million Dice earned for the same quarter in 2008.

Revenue at the DCS unit which includes the company’s flagship Dice.com and also ClearanceJobs.com, declined from $27.2 million to $19.5 million. The company also took a $900,000 hit from an unfavorable exchange rate during part of the year, particularly in its eFinancial Careers operations, which have a strong overseas presence.

Despite the tough economy, company executives predicted Dice will do better for the year than analysts expect.

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Officials predict revenue of $25 million for the current quarter and $108.3 million for the year. A Thomson Reuters survey of analysts expects the company’s 12 month revenue to be closer to $106 million.

In announcing the financial results, company Chairman, President, and CEO Scot Melland said, “The tone of our customer conversations improved during the third quarter as some customers and prospects became more optimistic about the business climate. This mild improvement is not consistent across geographies or customer segments, but it is encouraging.”

John Zappe is the editor of TLNT.com and a contributing editor of ERE.net. John was a newspaper reporter and editor until his geek gene lead him to launch his first website in 1994. He developed and managed online newspaper employment sites and sold advertising services to recruiters and employers. Before joining ERE Media in 2006, John was a senior consultant and analyst with Advanced Interactive Media and previously was Vice President of Digital Media for the Los Angeles Newspaper Group.

Besides writing for ERE, John consults with staffing firms and employment agencies, providing content and managing their social media programs. He also works with organizations and businesses to assist with audience development and marketing. In his spare time  he can be found hiking in the California mountains or competing in canine agility and obedience competitions.

You can contact him here.

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