IAC InterActive's Q4 2024: Discrepancies in Angi's Growth, DDM's Revenue, and Strategic Vision

These are the key contradictions discussed in IAC InterActive's latest 2024Q4 earnings call, specifically including: Angi's Growth Trajectory and Profitability, DDM's Macro Trends and Revenue Expectations, Strategic Vision for Angi, and Dotdash Meredith's Financial Performance:



Angi's Turnaround and Revenue Growth:
- Angi, under new leadership and strategy, has seen a significant revenue improvement, moving from $35 million in EBITDA to expected growth in revenue in 2026.
- The turnaround was driven by replacing the CEO, removing low-margin revenue, and focusing on product issues.

Dotdash Meredith Integration Challenges and Growth:
- After a challenging integration, Dotdash Meredith's traffic is now up about 8%, marking a significant reversal from prior declines.
- The improvement was attributed to a difficult integration and a strategic focus on regaining traffic and advertising value.

Digital Revenue Growth and Strategy:
- DDM experienced 10% digital revenue growth in Q4, with further guidance of 10% for the year.
- This growth is supported by strong performance in advertising and expected contributions from the Decipher Plus platform.

Capital Allocation and Spin-off Plans:
- IAC is planning to spin off Angi on March 31, with Angi receiving a current cash balance of $416 million and $500 million in attractively priced bonds.
- Post-spin, IAC is focusing on investing in its core businesses, including DDM and MGM, while considering shareholder returns and strategic acquisitions.