IAC/InteractiveCorp. ( (IAC) ) has released its Q1 earnings. Here is a breakdown of the information IAC/InteractiveCorp. presented to its investors.
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IAC/InteractiveCorp, a prominent player in the digital media and internet services sector, is known for building and investing in a diverse array of companies, including Dotdash Meredith and Care.com. The company also holds strategic equity positions in MGM Resorts International and Turo Inc.
In its first quarter of 2025, IAC reported a significant financial turnaround, highlighted by the completion of the Angi spin-off and a substantial share repurchase program. The company repurchased 4.5 million shares for $200 million and announced a new authorization for an additional 10 million shares. Despite a 9% year-over-year revenue decline to $570.5 million, IAC achieved an operating income of $35.8 million, a notable improvement from the previous year’s loss.
Key financial metrics from the quarter include an 818% increase in Adjusted EBITDA to $50.9 million, driven by strong performance in its largest business, Dotdash Meredith (DDM). DDM saw a 7% increase in digital revenue, although print revenue decreased by the same percentage. Care.com experienced a slight revenue decline, while the Search segment faced a significant 35% drop in revenue. IAC’s investment in MGM Resorts International resulted in an unrealized loss, impacting net earnings.
Looking ahead, IAC remains optimistic about its capital allocation strategy and growth potential, particularly in digital media. The company reiterated its full-year guidance for 2025, emphasizing its commitment to creating long-term value through strategic investments and operational improvements.