Perion Network Ltd (NASDAQ:PERI)
Perion Network Ltd (NASDAQ:PERI) has moved to strengthen ties with Microsoft Corporation (NASDAQ:MSFT)’s Bing with the appointment of Mike Glover as the General Manager of its search unit. Glover takes over from Amir Nahmias, who is stepping down after nine years with the company.
Search Unit Changes
According to the company, the restructuring seeks to bolster the company’s search unit. Glover is credited with playing a key role in helping Infospace, in the early 2000’s, secure long-term agreements with search providers and publishers. He also joins the company with 14 years of experience in business development, sales, and marketing.
“Mike’s in-depth experience in the industry is essential for Perion’s long-term strategy for growth in search. Mike understands and believes in the search media market and will be a fantastic new addition to spearheading this unit as we continue to evolve Perion as a search industry leader. The position itself will be based in Redmond in order to strengthen our key relationship with Microsoft’s Bing.” said Perion CEO, Doron Gerstel.
The appointment of Mr. Glover comes on the heels of the appointment of Ophir Yakovian as Perion Network Ltd (NASDAQ:PERI) new Chief Financial Officer. Yakovian is taking over from Yakov Kaufman who is stepping down after 11 years with the company. Yakovian joins the company with more than a dozen years of experience of working in a number of NASDAQ listed companies.
Q1 Financial Results
Separately, Perion Network Ltd (NASDAQ:PERI) recently reported its first quarter earnings where its net loss shrunk to (-$2.1) million from (-$5.6) million as of Q1 2016. The company has attributed the decline to improved cost structure. Revenues, on the other hand, were down by 18% – coming in at $62 million compared $75.8 million.
A decline in expense-free search revenues remains a point of concern, advertising revenues in the first quarter having declined by 22%. Search and other revenues were also down by 16% compared to last year. However, the company maintains that the decline was transitory given that April’s revenues were up by 20% compared to last year.
Customer acquisition expense, as of the first quarter, totaled $30.1 million representing 48% of the total revenues, compared to $34.3 million as of last year. Perion Network Ltd (NASDAQ:PERI) exited the first quarter with cash and cash equivalent amounting to $22.8 million.
Perion Network Ltd (NASDAQ:PERI) stock was up 10.53% in Thursday’s trading session and ended the day at $1.68 a share.
I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.
About the author: James Marion is a University of Houston student studying Business with a concentration in Finance.