Some days a management cannot do anything right. In the case of NeuStar (NSR), those days have stretched into years.
The company reported quarterly results which were net income totaled $28.4 million, or $.38 per share, compared with $25.7 million, or $.32, in the third quarter of 2007. But, what upset investors was guidance. NSR expects full year revenue of $485 to $490 million. Previous guidance was for 2008 revenue to range between $500 and $515 million
Jeff Ganek, NeuStar’s CEO has been well rewarded for doing poorly. Last year his total compensation was over $2.3 million including a base salary of $553,000. He has a nice severance package as well, which the board may have to turn to if the company does not start to do better.
NeuStar’s shares are down 20% today at $15, not far from their 52-week low and well off their period high of $35.01.
Douglas A. McIntyre