LIVONIA, Mich. (AP) -- Valassis Communications Inc. reported Thursday that its fourth-quarter net income rose 38 percent despite a decline in revenue for the coupon company.
The results beat analyst expectations and its shares jumped 16 percent in afternoon trading.
The company's net income rose to $34.3 million, or 76 cents per share, in the October-December period, versus $24.8 million, or 47 cents per share, in the prior fourth quarter. Excluding costs tied to restructuring and other charges, Valassis earned 95 cents per share in the most recent quarter.
Its revenue fell nearly 6 percent to $595.3 million from $631.2 million. The decline was due in part to lower spending by consumer product companies that advertise with Valassis.
The quarter's results beat analyst expectations of 80 cents per share on revenue of $590.8 million, according to data from FactSet.
Lower expenses helped boost Valassis' results. Selling, general and administrative costs fell 7 percent to $89.3 million, and the company's interest expense fell 53 percent to $6 million. It also spent less on income taxes.
Valassis also said that it anticipates earning $3.07 per share for 2012. Analysts forecast $3.05 per share.
The company earned $113.4 million, or $2.33 per share for 2011. That's down from $385.4 million, or $7.42 per share, in 2010. Annual revenue fell roughly 4 percent to $2.24 billion from $2.33 billion.
Valassis, based in Livonia, Mich., creates advertising for consumer product makers and other companies.
Shares rose $3.60 to $26.44.
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