Monster Takes Down ‘For Sale’ Sign, Hinting at Big New Initiatives Ahead

Monster logo 2011Efforts to sell all or part of Monster Worldwide have ended and the company is now focused on growing its business globally.

Monster’s Chairman and CEO Sal Iannuzzi told analysts this morning during a conference call reporting the company’s second-quarter financials, that “conversations did conclude” during the March-June period, which prompted Monster to resume its stock repurchase program.

The effort to sell Monster — technically a review of its “strategic alternatives” — was first announced in early 2012. Though multiple inquiries were made, and at least a couple competitors were rumored to have had talks, no purchase offer was ever made public. Monster did shutter some operations and sold its stake in ChinaHR.

Iannuzzi didn’t entirely put away the “For Sale” sign, noting that as a public company Monster is always ready to discuss opportunities. However, the company is now looking toward the future.

“We feel good about where we are,” Iannuzzi said, coyly telling analysts, “We have a number of very strategic initiatives on the way.” “I don’t want to be mysterious about it,” he said, but was, declining to offer all but the vaguest hint that these are “social and mobile initiatives.”

It will be several months before Monster is ready to unveil these initiatives. When the company is, he promised to host an “analysts’ day” to brief Wall Street. Until then, Iannuzzi added, he didn’t want to tip his hand to Monster’s competitors of which there are many, including LinkedIn, which will report its second=quarter results later today.

Job board Rev Q2 2013LinkedIn is expected by most analysts to show strong growth. The consensus is the company will report earnings per share of 31 cents, almost doubles last year’s second-quarter EPS of 16 cents.

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Monster beat Wall Street earnings expectations, but by reducing expenses. The company reported revenue of $200.1 million versus consensus expectations of $207.49 million. It earned 9 cents share, while analysts figured it would earn 8 cents.

Revenue was down in North America, where the U.S. is by far the largest contributor, and internationally on a year-over-year basis, and was down even when compared to the first quarter of this year  Overall, the company brought in 6 percent less in revenue than it did in Q1 and 11 percent less than in Q2 of 2012.

Stopping far short of predicting any sort of significant turnaround, Iannuzzi and CFO James Langrock said the U.S. and some parts of Europe are showing signs of “stabilization” and even some growth. Small businesses in the U.S., the primary users of online e-commerce (rather than negotiated contracts that large employers typically have) drove up that part of the business by 8 percent. Germany and the United Kingdom are also improving.

“Companies,” said Iannuzzi, “continue to hire. Just cautiously.”

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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