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AOL manages best quarterly revenue growth in last 8 years

by on09 February 2013 2836 times
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AOL, once a leading global provider of Internet services reported the first quarterly revenue growth in eight years. In the fourth quarter of last year the company operated with $600 million in revenue, compared with $576 million in the same period a year earlier. This is significantly better than the estimates of analysts who had expected revenue of $573 million. Operating profit also rose by 24%, from 54.8 to 68.2 million.

Most responsible for this overall growth is AOL's global advertising networks, which rose 13% from a year earlier. Ad revenue grew 31%, while revenue from searches rose 17%. On the negative side, revenue from subscriptions have fallen 10%, but it's better than the previous year when revenue fell 18%.

For the whole of the 2012 AOL reported small decline, from 2.2 billion in the 2011 to 2.19 billion dollars. But the company believes that this year they will achieve a growth of traffic on an annual basis. Maybe if they work out.

[Ed – back in the late 90s we used to refer to AOL as Almost On Line it was a reference to the major complaint about not being able to connect over dial-up with the service. Of course with the launch of high-speed internet it was expected that AOL would die off. The need for this type of service was not expected to continue. Unfortunately quite a few people are not able to separate the internet and AOL. They still think that they need the one to get to the other… Perhaps this ignorance is what has allowed AOL to grow another part of their business and stay afloat. Maybe one day AOL will drop their online network and only push ads…]

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Last modified on 09 February 2013
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