InnerWorkings Reports Double-Digit Revenue Growth
CHICAGO—Nov. 04, 2010—InnerWorkings Inc., a leading global provider of managed print and promotional solutions, today reported results for the three months ended Sept. 30, 2010.
Quarterly Highlights:
Its revenue generated during the third quarter totaled $119.1 million, an increase of 21.3 percent compared with revenue of $98.2 million in the third quarter of 2009 and 14.6 percent compared to adjusted revenue for the same period of 2009. Revenue from new accounts was $11.8 million in the third quarter of 2010 and $46.3 million year-to-date.
Adjusted EBITDA increased 28.6 percent to $6.3 million in the third quarter of 2010 from $4.9 million in the third quarter of 2009.
“We have experienced steady business acceleration in 2010 as a result of important new client wins and a recovery in our end markets,” said Eric D. Belcher, CEO. “The company has continued to demonstrate the value of efficiently managing print spends in this cost conscious environment. As the adoption of outsourced print management accelerates, InnerWorkings is well positioned to deliver profitable revenue growth and to establish itself as the dominant global provider in the space.”
Additional third quarter 2010 financial and operational highlights include the following:
For the third quarter of 2010, 72 percent of the company’s revenue was generated from sales to enterprise clients, with the remaining 28 percent derived from transactional clients.
Five new enterprise contracts were signed during the quarter with Realogy/Century 21, Arthur J. Gallagher, National Grid, Merial and Maui Jim.
As of Sept. 30, 2010, the company had an outstanding balance of $49.4 million on its bank credit facility and had cash and short-term investments of $11.1 million.
“Marketplace recognition of the value of our business model continues to increase," said Joseph M. Busky, Chief Financial Officer of InnerWorkings. “We will continue managing expenses prudently while seeking to optimize our resources and deliver a strong return on invested capital.”
Outlook
The company is narrowing and raising its 2010 revenue guidance to $465 million to $475 million from $440 million to $470 million. As communicated in the second quarter earnings announcement, 2010 earnings per share are expected at the lower end of $0.24 to $0.29 range due to strategic investments in growth initiatives.
About InnerWorkings, Inc.
InnerWorkings, Inc. is a leading global provider of managed print and promotional solutions to corporate clients across a wide range of industries. With proprietary technology, an extensive supplier network and deep domain expertise, the company procures, manages and delivers printed materials and promotional products as part of a comprehensive outsourced enterprise solution. The Company also owns and operates the online printing site, Inkchaser (www.inkchaser.com). InnerWorkings is based in Chicago with 23 offices in the United States and the United Kingdom. www.inwk.com
Source: Financial release.
