This excerpt taken from the VRSN 8-K filed Aug 6, 2008.
Company Delivers In-line Revenue and Non-GAAP EPS Growth
MOUNTAIN VIEW, CA August 6, 2008 VeriSign, Inc. (Nasdaq: VRSN), the trusted provider of Internet infrastructure services, today reported financial results for the second quarter ended June 30, 2008.
VeriSign reported revenue of $303 million for the second quarter of 2008. On a GAAP basis, VeriSign reported a net loss of $68 million and a net loss per share of $0.35. These GAAP results reflect a $92 million non-cash impairment charge on certain long-lived assets and assets held for sale. Also recorded were restructuring charges of $98 million in continuing and discontinued operations.
VeriSign reported segment revenue for Internet Infrastructure and Identity Services (3IS), or the core businesses of Naming, SSL and IAS, of $233 million, up 4% from Q1 2008 and up 21% year over year.
On a non-GAAP basis (which excludes items described below) for our core businesses, VeriSign reported net income of $50 million for the second quarter of 2008 and fully-diluted earnings per share of $0.25. A table reconciling the GAAP to the non-GAAP results reported above is appended to this release.
Our revenue performance and non-GAAP earnings validate our strategy to focus on our core businesses, a strategy to which we are firmly committed, said Jim Bidzos, executive chairman of the board of directors, president and chief executive officer on an interim basis of VeriSign. As we look toward the future, we will work to identify opportunities that align with our core competencies and extend what we believe to be our leading position as the trusted third party of the Internet.
We are pleased by our performance during the second quarter, said Brian Robins, acting chief financial officer of VeriSign. Company-wide disciplined expense management contributed to non-GAAP operating margin improvement for the core services of nearly 400 basis points since last quarter, and the solid performance of our core services coupled with other positive working capital contributions resulted in strong cash flow of $169 million in the quarter.