Rocket Fuel Q2 Loss Widens, Cuts View; To Buy [x+1] For $230 Mln - Quick Facts

(RTTNews) - Rocket Fuel, Inc. (FUEL) reported a second-quarter net loss of $9.76 million or $0.28 per share, wider than $3.84 million or $0.46 per share in the prior-year quarter. Excluding items, adjusted net loss for the latest quarter was $3.76 million or $0.11 per share.

On average, nine analysts polled by Thomson Reuters expected the company to report a loss of $0.22 per share for the quarter. Analysts' estimates typically exclude special items.

Revenue for the quarter surged 70 percent to $92.64 million from $54.37 million in the same quarter last year. Excluding media cost, adjusted revenue totaled $54.71 million, compared to $29.73 million last year. Analysts expected revenues of $90.22 million for the quarter.

Looking ahead to the third quarter, the company expects revenue in a range of $96.0 million to $100.0 million. Analysts expect the company to report revenues of $109.63 million for the quarter.

For fiscal 2014, Rocket Fuel trimmed its revenue guidance to a range of $403.0 million to $427.0 million from the prior forecast range of $420.0 million to $435.0 million. Street is currently looking for full-year 2014 revenues of $422.64 million.

Separately, Rocket Fuel agreed to acquire [x+1], Inc. in a cash and stock deal valued at about $230 million. Rocket Fuel will pay $100.0 million in cash and about 5.4 million shares of Rocket Fuel common stock as consideration. The deal, which will accelerate Rocket Fuel's expansion into the digital marketing enterprise SaaS market, is expected to close by early in the fourth quarter of 2014.