Classmates.com 2004 Annual Report Download - page 22

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The following amounts are in thousands, except per share data:
(1)
Six Months
Ended
December 31,
2003(2)
Year Ended June 30,
Year Ended
December 31,
2004(1)
2003(3)
2002(4)
2001(5)
2000
Consolidated Statements of
Operations Data:
Total revenues
$
448,617
$
185,738
$
277,295
$
167,515
$
57,217
$
55,506
Operating income (loss)
$
79,493
$
32,639
$
21,721
$
(53,946
)
$
(215,087
)
$
(98,099
)
Net income (loss)
$
117,480
$
33,327
$
27,792
$
(47,810
)
$
(205,756
)
$
(91,286
)
Net income (loss) per share
—
basic
$
1.91
$
0.52
$
0.45
$
(0.90
)
$
(6.03
)
$
(4.11
)
Net income (loss) per share
—
diluted
$
1.81
$
0.48
$
0.41
$
(0.90
)
$
(6.03
)
$
(4.11
)
December 31,
June 30,
2004
2003
2003
2002
2001
2000
Consolidated Balance Sheet Data:
Total assets
$
519,852
$
307,879
$
280,676
$
233,593
$
183,863
$
325,958
Non
-
current liabilities
$
81,207
$
—
$
—
$
—
$
3,314
$
10,278
In November 2004, we acquired Classmates. The results of Classmates are included in our consolidated results of operations from the
date of acquisition. Net income included tax benefits of $68.6 million, or $1.05 per diluted share, for the year ended December 31, 2004.
(2) Net income included tax benefits of $12.3 million, or $0.18 per diluted share, for the six months ended December 31, 2003.
(3) Net income included tax benefits of $4.3 million, or $0.06 per diluted share, for the year ended June 30, 2003.
(4)
In September 2001, NetZero and Juno merged and became wholly
-
owned subsidiaries of United Online. The results of Juno are included
in our consolidated results of operations from the date of the Merger.
(5) In March 2001, we recorded an impairment charge of $48.6 million, reflecting the amount by which the carrying amounts of our
goodwill and identifiable intangible assets exceeded their respective fair values.
ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Overview
We are a leading provider of consumer Internet subscription services through a number of brands, including NetZero, Juno, and Classmates
Online. Our pay services include dial-up Internet access, community-based networking, personal Web-hosting, and premium email services,
among others. We also offer, at no charge, advertising-
supported versions of certain of our services. In addition, we offer marketers a broad array
of Internet advertising products, including online market research and measurement services.
At December 31, 2004, we had approximately 4.8 million pay accounts representing approximately 6.0 million total subscriptions, and
approximately 15.2 million active accounts. A pay account represents a unique billing relationship with a customer who subscribes to one or
more of our pay services. "Active" accounts include total pay accounts as well as free users who have logged onto our access,
20