Full text of the note is below in italics:
I just wanted to introduce myself. My name is Marybeth Csaby, and I do investor and public relations work for the company IncrediMail. I see from Seeking Alpha that you have written a few articles on MAIL in the past and I thought you would be interested to hear more about the company’s recent developments and other dealings since you last wrote your piece.
Most recently, the Company's Board of Directors decided that the best way to return value to shareholders was through instituting a dividend policy whereas, subject to the financial conditions, at least 50% of annual net income will be paid out as an annual dividend beginning 2009. This was announced in conjunction with a continuation of its buyback program.
The dividend and buyback announcements come on the heels of a very successful fourth quarter and fiscal year 2008, where the Company reported record revenue of $6.1 million (up 13%) during the fourth quarter and $21.9 million (up 17%) for the full-year. The Company's success was driven largely by its strategic focus on two initiatives: the first, monetizing products like HiYo and Magentic as part of its search initiatives, and the second, increasing the number of registered product downloads, which in return fed search initiatives.
IncrediMail's partnership with Google has been and continues to be a very lucrative aspect of IncrediMail’s business, having emerged as its central growth engine. Also contributing to the increase in revenue during Q4, was its newly formed search alliance with Info Space. Similar to Google, it allows IncrediMail to generate revenue through searches by monetizing the user base of its products.
The growth in search numbers is a direct result of an increase in registered downloads of IncrediMail’s various products, particularly HiYo, its instant messaging product, which is increasing markedly in popularity. Within six-months of its introduction, HiYo accumulated over 4 million registered downloads. In 2008, the company spent approximately $1 million in media buying to support HiYo. They have now stopped media buying for HiYo altogether after it began to take off virally. Just to give you an idea as to the viral nature of HiYo, even without media buying, IncrediMail is still seeing HiYo growing at a rate of close to two thirds its daily registered downloads from the established IncrediMail email product.
If you are interested, we would love to have management give you a more complete rundown on the Company's activities. I can be reached either by email or by phone at the below number.
KCSA Strategic Communications
880 Third Avenue
New York, NY 10022
Full Disclosure: I am long MAIL