AOL revenues in the fourth-quarter 2012 grew year-over-year for the first quarter in eight years, rising 4 percent to USD 599.5 million thanks to advertising revenue growth. Ad revenue grew 13 percent to USD 410.6 million from USD 363.8 million a year earlier, while subscription revenue declined 10 percent to USD 174.2 million. Fourth-quarter adjusted OIBDA decreased 7 percent USD 123.3 million, and operating income increased 24 percent to USD 68.2 million.
Net income was up 57 percent to USD 35.7 million, and diluted EPS increased 78 percent to USD 0.41. Free cash flow in the quarter decreased 36 percent to USD 46.3 million.Search advertising revenue grew 20 percent year-over-year. Band Group segment revenue increased 4 percent to USD 213.2 million, Membership segment revenue decreased 9 percent to USD 230.8 million, and AOL Networks revenue increased 37 percent to USD 183.5 million.
The company's internet subscriber base totaled 2.794 million at year-end, down 3 percent from Q3 and 15 percent lower than in 2011. ARPU was up 18 percent from a year earlier to USD 19.27.
