FTD Group 3Q profit slips on acquisition-related costs

DOWNERS GROVE, Ill.—FTD Group Inc., a florist network and Web site operator being acquired by United Online Inc., said Tuesday its fiscal third-quarter profit fell 3 percent, hurt by acquisition-related costs and other items.

Quarterly earnings were slightly higher than preliminary figures the company reported last week.

Net income fell to $9.3 million, or 31 cents per share, from $9.6 million, or 32 cents per share, a year ago. The latest quarter was hurt by losses of about 7 cents per share related to abandoned acquisition opportunities, the United Online deal, and other items; which were offset by a 1 cent per share reduction to its tax provision, FTD said.

For the period ended March 31, revenue increased 5 percent to $192 million from $182.9 million on international segment growth.

Analysts expected a third-quarter profit of 36 cents per share on sales of $193.4 million.

Last week Internet service provider United Online said it will purchase FTD for $456 million as it looks to expand into the growing floral Internet business.