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WebMD Announces First Quarter Financial Results
Date:5/6/2008

roximately

$81.7 in Q1, $88 to $90 in Q2, $100 to $104 in Q3 and $110 to $119 in

Q4

-- Adjusted EBITDA as a percentage of revenue is estimated to be

approximately 19% in Q1, 22% to 23% in Q2, 27% to 28% in Q3 and 32% to

35% in Q4

-- Net Income (loss) as a percentage of revenue is estimated to be

approximately (29.0%) in Q1, 6.0% to 7.0% in Q2, 9.0% to 11.0% in Q3

and 10.0% to 14.0% in Q4

ANNEX A

Explanation of Non-GAAP Financial Measures

(All dollar amounts in thousands)

The accompanying WebMD Health Corp. press release and financial tables include both financial measures in accordance with U.S. generally accepted accounting principles, or GAAP, as well as non-GAAP financial measures. The non-GAAP financial measures represent earnings before interest, taxes, depreciation, amortization and other non-cash items (which we refer to as "Adjusted EBITDA") and related per share amounts. Adjusted EBITDA should be viewed as supplemental to, and not as an alternative for, "income (loss) from continuing operations" calculated in accordance with GAAP. The tables attached to the accompanying press release include reconciliations of non-GAAP financial measures to GAAP financial measures.

Adjusted EBITDA is used by WebMD's management as an additional measure of WebMD's overall performance and its reporting segments' performance for purposes of business decision-making, including developing budgets, managing expenditures, and evaluating potential acquisitions or divestitures. Period-to-period comparisons of Adjusted EBITDA help WebMD's management identify additional trends in WebMD's and its reporting segments' financial results that may not be shown solely by period-to-period comparisons of income (loss) from continuing operations. In addition, WebMD uses Adjusted EBITDA in the incentive compensation programs applicable
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SOURCE WebMD Health Corp.
Copyright©2008 PR Newswire.
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