SOURCE: SNAP Interactive, Inc.
October 11, 2010 10:50 ET
SNAP Interactive Provides Third Quarter 2010 Revenue Guidance
NEW YORK, NY--(Marketwire - October 11, 2010) - SNAP Interactive, Inc. ("SNAP" or the "Company") (OTCBB: STVI), a leading social dating application provider with more than 25 million installs across its social dating applications, announced today unaudited revenue guidance for the quarter ended September 30, 2010.
SNAP anticipates revenue of more than $1,650,000 for the quarter ended September 30, 2010, compared to $801,120 for the quarter ended September 30, 2009, an increase of more than 100%. This also represents the largest quarterly revenue total in the company's history.
Revenues are primarily generated from subscriptions and premium sales on SNAP's AreYouInterested.com social dating brand. Due to GAAP accounting, revenues from multi month subscriptions are recognized over the length of the subscription term rather than when purchased. Because the majority of our subscription sales occurred from subscriptions with a term of three or six months, we apportion that revenue over the duration of the subscription term even though it is collected in full at the time of purchase. As a result, a portion of the gross cash receipts from subscription sales may not be recognized in the quarter in which the subscription was actually purchased. The difference between the gross cash receipts collected and the recognized revenue from those sales during that reporting period per our financials will appear as deferred revenue.
About SNAP Interactive, Inc.
SNAP Interactive, Inc. is a leading provider of online dating applications for social networking websites and mobile platforms. SNAP has developed two social dating applications built on Facebook® Platform which have more than 25 million installations on Facebook. SNAP's portfolio is highlighted by the AreYouInterested.com? brand which consists of AreYouInterested.com, the AreYouInterested? iPhone Dating Application, and the AreYouInterested? Facebook Application. For more information visit www.snap-interactive.com.
Facebook® is a registered trademark of Facebook Inc. iPhone™ is a trademark of Apple Inc.
Forward-Looking Safe Harbor Statement:
This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. By their nature, forward-looking statements and forecasts involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the near future. There are a number of factors that could cause actual results and developments to differ materially from forecasted results. These risks and uncertainties include our ability to: attract members; convert members into paying subscribers and retain our paying subscribers; our ability to successfully implement our current long-term growth strategy; as well as product demand, market competition, fluctuations in advertising payouts, reliance on credit card processors and related necessary merchant account approvals, delays in website & application development, technical issues beyond our control, reliance on the various platforms that we build applications on, and risks inherent in our operations. For a discussion of these risks and uncertainties, please see our filings with the Securities and Exchange Commission. Our public filings with the SEC are available from commercial document retrieval services and at the website maintained by the SEC at http://www.sec.gov.