Tim Armstrong’s First Earnings Call: “Fragmentation Is Our Friend”

AOL announced its first quarterly earnings today as a newly public company. Fourth quarter revenues dropped 8% to $471.6 million, and turned a profit of $1.4 million (see the slides below). Notes from CEO Tim Armstrong's first conference call are below. He laid out AOL's strategy, warned that sales would probably be dampened this quarter as a result of reducing a third of its workforce and noted that "AOL is not a quarterly project."  He emphasized Aol's content strategy, with the build out of AOL's new content management system Seed and acquisition of StudioNow on the video front.  Armstrong went into some detail about AOL's nichebuster strategy, noting that "fragmentation is our friend."  He also said that AOl will pursue new paid subscription services in the future. Here are my live notes: