Business Context and Reporting Period
Company: Marchex, Inc.
Filing Type: Form 8-K (Current Report)
Date of Report: August 5, 2004
Reporting Period: Quarter ended June 30, 2004
This filing announces financial results for the quarter ended June 30, 2004, via a press release furnished as Exhibit 99.1. The company is incorporated in Delaware and headquartered in Seattle, Washington.
Key Financial Metrics
The filing text does not provide specific numerical values for revenue, profit, cash flow, margins, debt, or liquidity. It references a press release (Exhibit 99.1) containing the full financial data.
The company reports the following non-GAAP supplemental measures:
- Operating Income Before Amortization (OIBA): Loss from operations before stock-based compensation and amortization of intangible assets.
- Adjusted OIBA: OIBA further excluding acquisition-related retention consideration (related to the Enhance transaction) and facility relocation expenses.
Material Changes and Unusual Items
The filing highlights specific non-recurring items excluded from Adjusted OIBA to facilitate historical comparisons:
- Facility Relocation Expense: Recognized in the six months ended June 30, 2004.
- Acquisition-Related Retention Consideration: Earn-out incentives related to the Enhance transaction for calendar year 2004.
The text does not explicitly state the magnitude of changes versus the prior comparable period.
Guidance, Outlook, and Management Commentary
Management utilizes OIBA and Adjusted OIBA as primary metrics for evaluating business performance, making operating decisions, internal budget planning, and management evaluation. The company asserts these measures are useful because they reflect consolidated operating results while excluding non-cash and non-recurring expenses, though they acknowledge limitations regarding stock-based compensation and acquisition accounting.
The filing does not contain specific forward-looking guidance or risk factors beyond the standard disclaimer that non-GAAP measures should not be considered in isolation or as a substitute for GAAP results.
Investor Verification Checklist
- Review Exhibit 99.1 (Press Release) for specific GAAP revenue, net income, and cash flow figures.
- Verify the reconciliation table between GAAP and non-GAAP measures (OIBA and Adjusted OIBA) included in Exhibit 99.1.
- Confirm the exact dollar amounts of the facility relocation expense and Enhance transaction earn-out consideration.
- Assess the impact of stock-based compensation on the reported GAAP loss from operations.