Nielsen N.V. (NLSN), a global information and measurement company, has posted an 82.63 percent plunge in profit for the quarter ended Jun. 30, 2014, due to higher tax provision and other expenses.
The company earned $74 million or $0.19 a share in the second-quarter compared with $426 million or $1.12 a share a year ago. Adjusted earnings per share came in at $0.62 a share when analysts expected $0.61 a share.
Revenue during the second-quarter grew 15 percent to $1,594 million from $1,386 million in the last year period.
Gross margin contracted by 62 basis points over the previous year period to 57.53 percent. Total expenses as a percentage of revenues decreased to 82.62 percent from 82.83 percent in the same period last year. That has resulted in improvement of 21 basis points in operating margins to 17.38 percent.
The company disclosed operating income of $277 million, compared with $238 million in the last year period.
''Our second quarter results reflect the underlying strength of our Buy and Watch businesses, the successful integration of Arbitron and our steady and consistent business model. We continue to extend our leadership positions in both retail and audience measurement with meaningful innovation and great execution. Our focus on measuring and improving performance for our clients continues to be a powerful combination and positions us well to deliver long-term value to our shareholders,'' commented Mitch Barns, chief executive officer of Nielsen.
Free cash flow for the second quarter of 2014 increased to $116 million from $107 million in the second quarter of 2013 and cash flow from operations increased to $210 million in the second quarter of 2014 from $206 million in second quarter of 2013.
Shares of the company declined $1.54 a share or 3.16 percent to close at $47.23 on Tuesday.