Spark Networks Fourth Quarter 2009 Financials

On March 4th, 2010 Spark Networks reported quarter 4 earnings for 2009 and their year end results (which was on Dec. 31, 2009). Revenue for the fourth quarter was $11.1 million which was a decrease of 16% from the same quarter last year. Spark Networks reported a lost for this quarter of $9.6 million and for the full year, a net loss of $6.4 million. Total revenue for 2009 was $45.4 million; in 2008 it was $53.7 million. CEO Adam Berger is quoted in the press release about this the losses:

It’s no surprise to anyone following us this past year that 2009 was extremely challenging for us as revenue declined by 21% with nearly half of the decline coming from our highly profitable Jewish Networks segment ... We accelerated our cost cutting program to offset the revenue decline but were unable to overcome the $8.9 million contribution1 decline and ended up suffering a $5.7 million decline in Adjusted EBITDA

Average paying subscribers for Spark Networks was 168,646 for quarter 4 2009 which is a 5 percent decrease when compared to quarter 4 in 2008. For the full year, average paying subscribers was 166,267. This is down 11 percent from 186,957 in 2008.

While Jewish Networks revenue fell 11 percent to $7.1 million, their subscribers grew by 4 percent to 90,567 in quarter 4. Average paying subscribers for General Market Networks (Spark.com and others) was 9,594. This is a decrease of 58 percent when compared to the fourth quarter of 2008. The Other Affinity Networks (MingleMatch) had better subscriber news and posted a 4 percent increase in subscribers to 67,725 during quarter 4 2009.

While Spark Networks continues to struggle, their balance sheet shows as of December 31, 2009 cash and cash equivalents of $6.2 million with no outstanding debt.

For the full 2009 Q4 release visit Spark Networks News Room.

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