SOURCE: Webxu, Inc.

Webxu, Inc.

April 10, 2012 06:00 ET

Webxu Reports 2011 Financial Results Showing Fast-Paced Exponential Revenue Growth

LOS ANGELES, CA--(Marketwire - Apr 10, 2012) - Webxu, Inc. (OTCBB: WBXU), a media company that owns and operates a network of consumer branded websites and businesses focused on Customer Acquisition, E-Commerce and Social Media, today reported financial results for its fourth quarter and year ended December 31, 2011.

In its first full year of operations, Webxu has progressed from a preliminary concept stage to a fully operating company with revenues of over $26 million and approximately $2.1 million in EBITDA, both measured on a pro forma basis for 2011.

Matt Hill, Chairman and CEO of Webxu, commented, "We are extremely pleased at the substantial progress we have made in the very short time since Webxu incorporated in 2010. In 2011, we took the company public, acquired and successfully integrated two businesses that provide a strong opportunity for organic growth, and delivered sequential quarterly growth. As we plan to continue our pace in 2012, we remain focused on successfully executing our strategic plan. Along with our organic growth strategy, we recently signed a LOI with a current strategic and synergistic acquisition that we expect to bring significant top and bottom line growth in 2012. We believe that we are well positioned to become a significant player in the digital media space."

2011 Financial Highlights:

Net revenue on a GAAP basis in the fourth quarter of 2011 was approximately $4.7 million, compared to net revenue on a GAAP basis in the preceding quarter of approximately $2.2 million.

Gross margin in the fourth quarter of 2011 was approximately 34%, compared to approximately 32% in the preceding quarter.

Total shares outstanding at December 31, 2011 were approximately 20.5 million common shares.

About Webxu, Inc.
Webxu, Inc. (WBXU) is a media company that owns and operates a network of consumer branded websites and businesses focused on Customer Acquisition, E-Commerce and Social Media. Through its network of websites, Webxu generates revenue by providing advertiser clients with targeted consumer traffic. Webxu is headquartered in Los Angeles, CA. For more information about Webxu visit http://www.webxu.com.

Cautionary Language Regarding Forward-Looking Statements
This release and any attachments contain forward-looking statements within the meaning of the "safe harbor" provisions of the Federal securities laws, including Section 21E of the Securities Exchange Act of 1934, that involve risks and uncertainties. Words such as "will," "believe," "intend," "potential" and similar expressions are intended to identify forward-looking statements. These forward-looking statements include the quotations from management in this press release, as well as any statements regarding the Company's anticipated financial results and strategic and operational plans. The Company's actual results may differ materially from those anticipated in these forward-looking statements. Factors that may contribute to such differences include, but are not limited to: the Company's ability to deliver an adequate rate of growth and manage such growth; the impact of changes in government regulation and industry standards; the Company's ability to maintain and increase the number of visitors to its websites; the Company's ability to identify and manage acquisitions; the impact of the current economic climate on the Company's business; the Company's ability to attract and retain qualified executives and employees; the Company's ability to compete effectively against others in the online marketing and media industry; the impact and costs of any failure by the Company to comply with government regulations and industry standards; and costs associated with defending intellectual property infringement and other claims. More information about potential factors that could affect the Company's business and financial results is contained in the Company's latest annual report. These forward looking statements are made as of today's date and, except as otherwise required by law, the Company does not intend and undertakes no duty to release publicly any updates or revisions to any forward-looking statements contained herein to reflect events or circumstances after the date hereof.

Contact Information

  • Webxu Media Contact
    Michelle Stoler
    Email Contact

    Investor Relations Contact
    MKR Group, Inc.
    Charles Messman and Todd Kehrli
    323-468-2300
    Email Contact