IAC/InteractiveCorp swung to a third-quarter loss amid costs related the company's August breakup into five publicly traded companies.The Internet conglomerate reported net loss of $14.8 million, or 11 cents a share, compared with net income of $70.5 million, or 47 cents a share, a year earlier.
Revenue rose 10% to $369.3 million.
Profit at the company's media and advertising segment, which includes search engine Ask.com, more than doubled despite revenue increasing just 2% as marketing spending was slashed and amortization costs fell. The Match segment, including dating services Match.com and Chemistry.com, saw revenue grow 5% on a 6% increase in international subscribers, but earnings fell 18% on higher amortization costs.
IAC was left as a collection of more than 35 Internet companies, as media mogul and Chief Executive Barry Diller looks to prove the condensed business can operate more efficiently. The split was a test of whether a slimmer IAC could temper investor frustration with the company's jumble of assets, which have included Internet businesses, cable-television networks, travel services and mortgage lending, and reverse a long-declining stock price.
Another question is what IAC will do with the $1.3 billion in cash that it wrung from its spinoffs. IAC officials have said the company plans to be restrained, pledging to limit deal prices to $100 million or less.
