Click here to close now.




















Welcome!

Agile Computing Authors: Pat Romanski, Elizabeth White, Carmen Gonzalez, Samuel Scott, Gregor Petri

News Feed Item

Market Leader(R) Grows Revenue 32%

Second Consecutive Year of 30%+ Growth; With Similar Growth Expected in 2013

KIRKLAND, WA -- (Marketwire) -- 02/27/13 -- Market Leader, Inc. (NASDAQ: LEDR) today announced continued growth, financial and operational progress for the fourth quarter and year ended December 31, 2012.

Revenue Growth Continues for 12th Consecutive Quarter

  • Revenue increased 32% to $45 million from $34 million in 2011; quarterly revenue increased 27% to $12 million compared with the fourth quarter of 2011

  • Net loss for the year decreased to $7.8 million from $14.2 million in 2011; quarterly net loss decreased to $1.2 million from $4.1 million compared with the fourth quarter of 2011

  • Adjusted EBITDA increased to a positive $1.7 million in 2012, up $9.0 million from an Adjusted EBITDA loss of $7.3 million in 2011; quarterly Adjusted EBITDA increased to a positive $0.9 million compared with an Adjusted EBITDA loss of $0.8 million in the fourth quarter of 2011

  • Cash, cash equivalents and short-term investments totaled $22.2 million at the end of 2012

"2012 marked a major milestone for Market Leader, as we achieved our second consecutive year of more than 30% revenue growth," said CEO Ian Morris. "We continue to be very bullish about the opportunity in front of us, and we expect to achieve similar growth in 2013."

Strong Results Driven by Differentiated Strategy and Software Leadership
Market Leader's revenue growth has been driven in part by the success that customers are seeing with its software as a service (SaaS) based products. During 2012, Market Leader extended its sizable leadership in real estate software by making numerous enhancements to its already comprehensive SaaS platform. These significant enhancements include the integration of the industry's leading email and print marketing suite with its software platform, providing real estate professionals with a single, fully integrated and comprehensive solution that includes everything they need to grow and manage their businesses.

Unmatched Access to Real Estate Professionals Provides Unique Competitive Advantage
Market Leader's software leadership serves as the cornerstone of its strategy focused on establishing deep, long-term relationships with real estate professionals. Over the past two years, Market Leader has increased its customer base from less than 20,000 agents, to nearly 125,000. This strong growth began with the signing and rollout of the company's first national enterprise partner in 2011 and the success from this partnership has attracted the attention of other national franchises.

During 2012, Market Leader signed two more enterprise-wide agreements with two of the nation's leading real estate franchise companies. These new enterprise partnerships are expected to extend Market Leader's already unmatched access to real estate professionals.

Together with the company's social media network -- the largest of its kind in real estate with more than 330,000 professional members -- these partnerships give Market Leader access to more than one out of every three real estate professionals in North America and a unique competitive advantage that creates a low cost distribution channel for the company's premium services.

Premium Upsell Opportunities Expected to Drive Strong and Predictable Growth
Market Leader is in the early stages of monetizing this unique advantage, and expects that increasing its share of the nearly $24 billion that is spent on real estate marketing and technology services each year will be a significant source of continued and predictable growth for years to come. Of this large market, Market Leader's current product offerings are focused on the $11 billion that is spent by residential real estate professionals.

Market Leader estimates that it currently captures only a small portion of what's spent on these services by the nearly 125,000 customers already using the company's software platform to run their businesses. Market Leader provides its customers with the opportunity to enhance their software by upgrading to its premium products and services with just one click, and the company's recent growth demonstrates that its share of these dollars is growing, and it fully expects this to be a continued source of growth.

Real Estate Professionals Are Bullish About Market Conditions
Market Leader is seeing strong sales of its software and marketing products due to both the effectiveness of these solutions as well as improving real estate market conditions. Market Leader recently conducted a survey of the 330,000 members of its social media network to get their perspective on local market conditions and found that 84% expect their local markets to improve in 2013, both in terms of transactions and in terms of home prices. In fact, according to REAL Trends, existing homes sales for 2013 are projected to be at the highest level since 2006.

This renewed optimism is motivating agents and brokers to invest more in the tools that will help them grow their businesses, a trend that Market Leader expects will help drive increased sales and penetration of its premium products.

Conference Call
The company will host a conference call and live Webcast to discuss fourth quarter and 2012 annual results on Wednesday, February 27, 2013 at 4:30 p.m. Eastern time. To listen to the live conference call, please dial (719) 457-2661. A live Webcast of the call will be available from the Investor Relations section of the company's Web site at www.investor.marketleader.com. An audio replay of the call will also be available to investors beginning on February 27 at 7:30 p.m. Eastern time and ending on March 4 at 7:30 p.m. Eastern time by dialing (719) 457-0820 and entering the passcode 7746789#.

About Market Leader, Inc.
Market Leader, founded in 1999, provides innovative online technology and marketing solutions for real estate professionals across the United States and Canada. The company serves nearly 125,000 real estate agents, brokerages and franchisors, offering complete end-to-end solutions that enable them to grow and manage their businesses. Market Leader's subscription-based real estate marketing software -- including websites, contact management, a marketing center, and lead generation services -- helps customers generate a steady stream of prospects, and provides the systems and training they need to convert those prospects into clients. In addition, the company's national consumer real estate sites, including www.RealEstate.com, give its customers access to millions of future home buyers and sellers, while providing consumers with free access to the information they seek.

For more information on Market Leader visit www.MarketLeader.com.

Forward-Looking Statements
This release contains forward-looking statements relating to the company's anticipated plans, products, services, and financial performance. The words "believe," "expect," "anticipate," "intend" and similar expressions identify forward-looking statements, but their absence does not mean the statement is not forward-looking. These statements and, specifically, statements or predictions about the company's potential market, product development plans, and future financial performance, are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that could cause actual results to differ materially from those anticipated in the forward-looking statements. Factors that could affect the company's actual results include its ability to retain and increase its customer base, including enterprise customers and real estate professionals, to sell premium products to real estate professionals associated with enterprise customers, to continue to grow revenues, to respond to competitive threats and real estate market conditions, to develop new products, and to develop new revenue sources from its RealEstate.com assets. Please refer to the company's most recent Form 10-K filed with the Securities and Exchange Commission for a more detailed description of these and other risks that could materially affect actual results. Given these risks and uncertainties, you should not place undue reliance on these forward-looking statements. The forward-looking statements are made as of today's date and the company assumes no obligation to update any such statements to reflect events or circumstances after the date hereof.

Non-GAAP Measure
Adjusted EBITDA is a non-GAAP financial measure provided as a complement to results in accordance with accounting principles generally accepted in the United States of America ("GAAP"). Adjusted EBITDA is not a substitute for measures determined in accordance with GAAP, and may not be comparable to Adjusted EBITDA as reported by other companies. Our use of the term "Adjusted EBITDA" refers to a financial measure defined as earnings or loss before net interest, income taxes, depreciation, amortization, net loss attributable to non-controlling interest, and stock-based compensation. We believe Adjusted EBITDA to be relevant and useful information to our investors as this measure is an integral part of our internal management reporting and planning process and is the primary measure used by our management to evaluate operating performance. Following is the reconciliation of net loss, the most comparable GAAP measure, to Adjusted EBITDA, for each of the periods presented (in thousands, unaudited):




                            Market Leader, Inc.
               NON-GAAP FINANCIAL MEASURE AND RECONCILIATION
                               (In thousands)
                                (unaudited)

                               Three months ended      Twelve months ended
                                  December 31,            December 31,
                             ----------------------  ----------------------
                                2012        2011        2012        2011
                             ----------  ----------  ----------  ----------

Net loss available to
 shareholders                $   (1,173) $   (4,094) $   (7,784) $  (14,245)
Adjustments:
  Stock-based compensation          540         412       3,249       1,499
  Depreciation and
   amortization of property
   and equipment                    735         625       2,901       2,537
  Amortization of intangible
   assets                           811         890       3,319       1,788
  Loss on asset disposition           -           -           -         174
  Contract termination
   charge                             -       1,450           -       1,450
  Other expense (income)              -         (37)         22         (87)
  Net loss attributable to
   noncontrolling interest            -         (17)          -        (398)
                             ----------  ----------  ----------  ----------
Adjusted EBITDA              $      913  $     (771) $    1,707  $   (7,282)
                             ==========  ==========  ==========  ==========



                            Market Leader, Inc.
                   CONSOLIDATED STATEMENTS OF OPERATIONS
                   (In thousands, except per share data)
                                (unaudited)

                               Three months ended      Twelve months ended
                                  December 31,            December 31,
                             ----------------------  ----------------------
                                2012        2011        2012        2011
                             ----------  ----------  ----------  ----------

Revenues                     $   12,037  $    9,484  $   44,988  $   34,025
Expenses:
  Sales and marketing (1)         7,263       6,638      28,989      27,757
  Technology and product
   development (1)                2,347       2,272       9,713       8,209
  General and administrative
   (1)                            2,054       1,757       7,828       6,840
  Depreciation and
   amortization of property
   and equipment                    735         625       2,901       2,537
  Amortization of intangible
   assets                           811         890       3,319       1,788
  Loss on asset disposition           -           -           -         174
  Contract termination
   charge                             -       1,450           -       1,450
                             ----------  ----------  ----------  ----------
    Total expenses               13,210      13,632      52,750      48,755
                             ==========  ==========  ==========  ==========
  Loss from operations           (1,173)     (4,148)     (7,762)    (14,730)
  Interest income, net                8           1          32          60
                             ----------  ----------  ----------  ----------
Loss before income tax
 expense                         (1,165)     (4,147)     (7,730)    (14,670)
  Income tax expense
   (benefit)                          8         (36)         54         (27)
                             ----------  ----------  ----------  ----------
Net loss before
 noncontrolling interest         (1,173)     (4,111)     (7,784)    (14,643)
  Net loss attributable to
   noncontrolling interest            -         (17)          -        (398)
                             ----------  ----------  ----------  ----------
Net loss available to Market
 Leader                      $   (1,173) $   (4,094) $   (7,784) $  (14,245)
                             ==========  ==========  ==========  ==========

Net loss per share - basic
 and diluted                 $    (0.04) $    (0.16) $    (0.30) $    (0.56)
                             ==========  ==========  ==========  ==========

Number of shares used in per
 share calculations              26,487      25,380      25,944      25,222
                             ==========  ==========  ==========  ==========

(1) Stock-based compensation is included in the expense line items above in
 the following amounts:

                             ----------  ----------  ----------  ----------
                                 2012        2011        2012        2011
                             ----------  ----------  ----------  ----------

  Sales and marketing        $      172  $      209  $    1,639  $      680
  Technology and product
   development                       96          40         345         180
  General and administrative        272         163       1,265         639
                             ----------  ----------  ----------  ----------
                             $      540  $      412  $    3,249  $    1,499
                             ==========  ==========  ==========  ==========



                            Market Leader, Inc.
                   CONDENSED CONSOLIDATED BALANCE SHEETS
                     (In thousands, except share data)
                                (unaudited)
                                                 December 31,  December 31,
                                                 ------------  ------------
                                                     2012          2011
                                                 ------------  ------------
Assets
Current assets:
  Cash and cash equivalents                      $     11,165  $      7,958
  Short-term investments                               11,034        15,141
  Accounts receivable, net of allowance of $14
   and $36, respectively                                  854           729
  Prepaid expenses and other current assets               999         1,733
                                                 ------------  ------------
  Total current assets                                 24,052        25,561
Property and equipment, net of accumulated
 depreciation of $15,941 and $19,187,
 respectively                                           5,486         4,507
Intangible assets, net of accumulated
 amortization of $13,306 and $9,988,
 respectively                                           7,672        10,762
Goodwill                                                1,861         1,861
                                                 ------------  ------------
    Total assets                                 $     39,071  $     42,691
                                                 ============  ============

Liabilities and Shareholders' Equity
Current liabilities:
  Accounts payable                               $        978  $      1,120
  Accrued compensation and benefits                     3,194         2,599
  Accrued expenses and other current liabilities        1,195         2,224
  Deferred rent, current portion                          177           230
  Deferred revenue                                      1,126         1,056
                                                 ------------  ------------
    Total current liabilities                           6,670         7,229
Deferred rent, less current portion                         -           249
Other noncurrent liabilities                            1,100            95
                                                 ------------  ------------
    Total liabilities                                   7,770         7,573
Shareholders' equity:
  Preferred stock, par value $0.001 per share,
   stated at amounts paid in; authorized
   30,000,000 shares; none issued and
   outstanding
                                                            -             -
  Common stock, par value $0.001 per share,
   stated at amounts paid in; authorized
   120,000,000 shares; issued and outstanding
   26,634,447 and 25,397,448 shares at December
   31, 2012 and December 31, 2011, respectively

                                                       78,040        74,073
Accumulated deficit                                   (46,739)      (38,955)
                                                 ------------  ------------
    Total shareholders' equity                         31,301        35,118
                                                 ------------  ------------
      Total liabilities and shareholders' equity $     39,071  $     42,691
                                                 ============  ============



                            Market Leader, Inc.
                   CONSOLIDATED STATEMENTS OF CASH FLOWS
                               (In thousands)
                                (unaudited)
                                                     Twelve months ended
                                                        December 31,
                                                 --------------------------
                                                     2012          2011
                                                 ------------  ------------

Cash flows from operating activities:
  Net loss                                       $     (7,784) $    (14,643)
  Adjustments to reconcile net loss to net cash
   provided by (used in) operating activities:
    Depreciation and amortization of property
     and equipment                                      2,901         2,537
    Amortization of intangible assets                   3,319         1,788
    Stock-based compensation                            3,249         1,499
    Loss on asset disposition                               -           174
    Changes in certain assets and liabilities,
     net of assets acquired and liabilities
     assumed
      Accounts receivable, net of allowance              (125)         (563)
      Prepaid expenses and other current assets           681          (106)
      Accounts payable                                    100          (378)
      Accrued compensation and benefits                   594           720
      Accrued expenses and other current
       liabilities                                     (1,023)          907
      Deferred rent                                      (302)         (262)
      Deferred revenue                                     70           539
                                                 ------------  ------------
        Net cash provided by (used in) operating
         activities                                     1,680        (7,788)
                                                 ------------  ------------

Cash flows from investing activities:
  Purchases of short-term investments                 (18,102)      (20,329)
  Sales of short-term investments                      21,958        33,647
  Purchases of property and equipment                  (3,900)       (2,857)
  Cash paid for acquisition of RealEstate.com               -        (8,250)
  Cash paid for acquisition of SharperAgent, net
   of cash acquired                                         -        (1,656)
  Cash paid for acquisition of kwkly                        -          (750)
                                                 ------------  ------------
        Net cash used in investing activities             (44)         (195)
                                                 ------------  ------------

Cash flows from financing activities:
  Value of equity awards withheld for tax
   liability and award exercises                         (554)         (260)
  Proceeds from exercises of stock options              2,125            20
  Acquisition of noncontrolling interest in
   ActiveRain                                               -          (446)
  Principal payment on note payable                         -           (60)
                                                 ------------  ------------
        Net cash provided by (used in) financing
         activities                                     1,571          (746)
                                                 ------------  ------------

        Net increase (decrease) in cash and cash
         equivalents                                    3,207        (8,729)

Cash and cash equivalents at beginning of period        7,958        16,687

                                                 ------------  ------------
Cash and cash equivalents at end of period       $     11,165  $      7,958
                                                 ============  ============

Investor Contact:
Mark Lamb
Director of Investor Relations
Market Leader, Inc.
425.952.5801
[email protected]

Investor Relations Firm:
PondelWilkinson Inc.
Roger Pondel/Laurie Berman
310.279.5980
[email protected]

Press Contact:
Matt Heinz
Heinz Marketing for Market Leader, Inc.
877.291.0006
[email protected]

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
SYS-CON Events announced today that the "Second Containers & Microservices Expo" will take place November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Containers and microservices have become topics of intense interest throughout the cloud developer and enterprise IT communities.
In his session at @ThingsExpo, Lee Williams, a producer of the first smartphones and tablets, will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ETwater. He will explain how M2M controllers work through wirelessly connected remote controls; and specifically delve into a retrofit option that reverse-engineers control codes of existing conventional controller systems so they don't have to be replaced and are instantly converted to become smart, connected devices.
Akana has announced the availability of the new Akana Healthcare Solution. The API-driven solution helps healthcare organizations accelerate their transition to being secure, digitally interoperable businesses. It leverages the Health Level Seven International Fast Healthcare Interoperability Resources (HL7 FHIR) standard to enable broader business use of medical data. Akana developed the Healthcare Solution in response to healthcare businesses that want to increase electronic, multi-device access to health records while reducing operating costs and complying with government regulations.
The 17th International Cloud Expo has announced that its Call for Papers is open. 17th International Cloud Expo, to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, APM, APIs, Microservices, Security, Big Data, Internet of Things, DevOps and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal today!
SYS-CON Events announced today that IceWarp will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. IceWarp, the leader of cloud and on-premise messaging, delivers secured email, chat, documents, conferencing and collaboration to today's mobile workforce, all in one unified interface
SYS-CON Events announced today that Micron Technology, Inc., a global leader in advanced semiconductor systems, will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Micron’s broad portfolio of high-performance memory technologies – including DRAM, NAND and NOR Flash – is the basis for solid state drives, modules, multichip packages and other system solutions. Backed by more than 35 years of technology leadership, Micron's memory solutions enable the world's most innovative computing, consumer,...
SYS-CON Events announced today the Containers & Microservices Bootcamp, being held November 3-4, 2015, in conjunction with 17th Cloud Expo, @ThingsExpo, and @DevOpsSummit at the Santa Clara Convention Center in Santa Clara, CA. This is your chance to get started with the latest technology in the industry. Combined with real-world scenarios and use cases, the Containers and Microservices Bootcamp, led by Janakiram MSV, a Microsoft Regional Director, will include presentations as well as hands-on demos and comprehensive walkthroughs.
SYS-CON Events announced today that Pythian, a global IT services company specializing in helping companies leverage disruptive technologies to optimize revenue-generating systems, has been named “Bronze Sponsor” of SYS-CON's 17th Cloud Expo, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Founded in 1997, Pythian is a global IT services company that helps companies compete by adopting disruptive technologies such as cloud, Big Data, advanced analytics, and DevOps to advance innovation and increase agility. Specializing in designing, imple...
With the Apple Watch making its way onto wrists all over the world, it’s only a matter of time before it becomes a staple in the workplace. In fact, Forrester reported that 68 percent of technology and business decision-makers characterize wearables as a top priority for 2015. Recognizing their business value early on, FinancialForce.com was the first to bring ERP to wearables, helping streamline communication across front and back office functions. In his session at @ThingsExpo, Kevin Roberts, GM of Platform at FinancialForce.com, will discuss the value of business applications on wearable ...
17th Cloud Expo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterprises are using some form of XaaS – software, platform, and infrastructure as a service.
The 3rd International WebRTC Summit, to be held Nov. 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA, announces that its Call for Papers is now open. Topics include all aspects of improving IT delivery by eliminating waste through automated business models leveraging cloud technologies. WebRTC Summit is co-located with 15th International Cloud Expo, 6th International Big Data Expo, 3rd International DevOps Summit and 2nd Internet of @ThingsExpo. WebRTC (Web-based Real-Time Communication) is an open source project supported by Google, Mozilla and Opera that aims to enable bro...
WebRTC services have already permeated corporate communications in the form of videoconferencing solutions. However, WebRTC has the potential of going beyond and catalyzing a new class of services providing more than calls with capabilities such as mass-scale real-time media broadcasting, enriched and augmented video, person-to-machine and machine-to-machine communications. In his session at @ThingsExpo, Luis Lopez, CEO of Kurento, will introduce the technologies required for implementing these ideas and some early experiments performed in the Kurento open source software community in areas ...
Consumer IoT applications provide data about the user that just doesn’t exist in traditional PC or mobile web applications. This rich data, or “context,” enables the highly personalized consumer experiences that characterize many consumer IoT apps. This same data is also providing brands with unprecedented insight into how their connected products are being used, while, at the same time, powering highly targeted engagement and marketing opportunities. In his session at @ThingsExpo, Nathan Treloar, President and COO of Bebaio, will explore examples of brands transforming their businesses by t...
SYS-CON Events announced today that HPM Networks will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. For 20 years, HPM Networks has been integrating technology solutions that solve complex business challenges. HPM Networks has designed solutions for both SMB and enterprise customers throughout the San Francisco Bay Area.
While many app developers are comfortable building apps for the smartphone, there is a whole new world out there. In his session at @ThingsExpo, Narayan Sainaney, Co-founder and CTO of Mojio, will discuss how the business case for connected car apps is growing and, with open platform companies having already done the heavy lifting, there really is no barrier to entry.
Too often with compelling new technologies market participants become overly enamored with that attractiveness of the technology and neglect underlying business drivers. This tendency, what some call the “newest shiny object syndrome,” is understandable given that virtually all of us are heavily engaged in technology. But it is also mistaken. Without concrete business cases driving its deployment, IoT, like many other technologies before it, will fade into obscurity.
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 17th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal an...
With the proliferation of connected devices underpinning new Internet of Things systems, Brandon Schulz, Director of Luxoft IoT – Retail, will be looking at the transformation of the retail customer experience in brick and mortar stores in his session at @ThingsExpo. Questions he will address include: Will beacons drop to the wayside like QR codes, or be a proximity-based profit driver? How will the customer experience change in stores of all types when everything can be instrumented and analyzed? As an area of investment, how might a retail company move towards an innovation methodolo...
As more intelligent IoT applications shift into gear, they’re merging into the ever-increasing traffic flow of the Internet. It won’t be long before we experience bottlenecks, as IoT traffic peaks during rush hours. Organizations that are unprepared will find themselves by the side of the road unable to cross back into the fast lane. As billions of new devices begin to communicate and exchange data – will your infrastructure be scalable enough to handle this new interconnected world?
The Internet of Things is in the early stages of mainstream deployment but it promises to unlock value and rapidly transform how organizations manage, operationalize, and monetize their assets. IoT is a complex structure of hardware, sensors, applications, analytics and devices that need to be able to communicate geographically and across all functions. Once the data is collected from numerous endpoints, the challenge then becomes converting it into actionable insight.