Business

IAC nets a Diller of a disappointment

Barry Diller’s digital rocket ship is showing signs of falling back to Earth.

IAC/InterActiveCorp shares fell as much as 5.5 percent in extended trading after the owner of Match.com, Newsweek/Daily Beast and other Internet brands reported slower-than-expected growth in its search segment.

Diller’s growing digital empire showed a big profit increase during the period, but it wasn’t enough to impress the Street.

IAC/InterActiveCorp’s biggest unit is search and applications — which houses two search engines, Ask.com and About.com — but a 16 percent increase in revenue in the first quarter was viewed as limp versus a 34 percent rise in 2012.

The company also reported increased subscriber growth at the Match unit, which encompasses a range of online dating sites.

The company also noted strong results from Electus, the video-production outfit helmed by former NBC Entertainment boss Ben Silverman.

IAC reported first-quarter revenue of $742.2 million — shy of the $757.3 million Wall Street was expecting, according to Bloomberg.

IAC/InterActive added $31.1 million in revenue from About.com, which was acquired from the New York Times Co. last year for $300 million and was consolidated in October 2012.

The stock has fallen 4 percent over the past 12 months.

Profit in the period rose 56 percent to $53.6 million, while adjusted earnings per share were 83 cents, up from 51 cents in the year-ago quarter.

The Street was expecting 69 cents.