As a result of our focus on improving bottom-line results, we expect to swing to Adjusted Net Income in the first quarter of 2013 followed by a return to positive cash flow from operations in the second quarter
“As a result of our focus on improving bottom-line results, we expect to swing to Adjusted Net Income in the first quarter of 2013 followed by a return to positive cash flow from operations in the second quarter, and steady cash flow growth through the remainder of the year. We expect at least $5 million in Adjusted Net Income for 2013,” added Ken Cragun, Local Corporation chief financial officer.
Monetizing Graph Search For Facebook And Local Corporation Investors
January 28, 2013 |
Now that the initial noise about Facebook, Inc. (NASDAQ:FB) and its beta project Graph Search is over, investors have the opportunity to digest and understand that this is not a traditional search on the Internet, but instead an algorithm to use a Facebook base of friends to uncover critical information like "Where's a good place to rent a bike in Grand Rapids, MI?" For someone sitting in New Orleans, this question has no relevance unless that person plans a trip to the Midwest soon. Bottom line - Graph Search is local search.
Of the hundreds of opinions preceding and immediately after the Facebook announcement, only a handful seemed to understand the implications, or lack of them, for search. Out of Facebook's total number of members only 100,000, or 0.01%, will trial Graph Search so its purpose as a meaningful search engine, if there is any at all, is years away. However, there is tremendous upside to Local Corporation (NASDAQ:LOCM) because any information culled from Facebook friends is bound to be skimpy and of dubious fact. Friends will inevitably turn to the Facebook search engine Bing, with which Local has an advertising partnership. And later when searching locally, they will ultimately use the flagship-site of Local Corp.
Source: Seeking Alpha and read the complete text on this site