Leaf Group Ltd (NYSE:LEAF) Q2 2020 Earnings Conference Call - Final Transcript
Jul 30, 2020 • 05:00 pm ET
Good afternoon. My name is Mariama and I will be your conference operator today. At this time, I would like to welcome everyone to Leaf Group's Second Quarter 2020 Earnings Call.
On the call with me today is Sean Moriarty, CEO; Brian Gephart, Interim CFO and Chief Accounting Officer; and Shawn Milne, Investor Relations.
Shawn Milne, you may begin the conference.
Good afternoon, everyone. On behalf of Leaf Group, welcome to our conference call.
I'm pleased to have Sean Moriarty, our Chief Executive Officer; and Brian Gephart, our Chief Accounting Officer and Interim Chief Financial Officer on the call with me today. Following our safe harbor statement, Sean will update you on our business, and Brian will provide more details on our quarterly financial performance.
Any metrics discussed on the call without reference to a specific third-party source are based on our internal data. After the prepared remarks, we will open up the lines for Q&A. You will find our related release along with supplemental materials posted on the Investor Relations section of our corporate website located at ir.leafgroup.com.
Before we get started, we need to make the following safe harbor statement. We would like to remind everyone that during today's conference call, management will make certain forward-looking statements, which are subject to various risks and uncertainties that could cause actual results to differ materially from our current expectations discussed in such forward-looking statements.
In particular, comments about our anticipated future revenue, earnings, operating expenses, operating metrics and growth rates as well as statements regarding our business strategy and objectives, plans, intentions, operating outlook, planned investments and the impact of recent acquisitions are considered forward-looking statements. Factors that could cause actual results to differ materially from anticipated results are detailed in our press release furnished to the SEC.
I would like to point out that during the call, we will discuss certain non-GAAP financial measures while talking about the Company's financial and operating performance, including adjusted EBITDA and free cash flow. Reconciliations of these non-GAAP financial measures to their most directly comparable GAAP measures can be found in the financial tables included at the end of our press release.
Lastly, I would like to remind everyone that today's conference call is being recorded and that it is also available via webcast through the Investor Relations section of our corporate website. A replay will also be available on our website.
With that, I'll now turn the call over to our CEO Sean Moriarty.
Thank you, Shawn. Good afternoon, and welcome to our Q2 2020 earnings call.
Before we jump into the Q2 highlights, I wanted to thank the team at Leaf Group for their resilience, hard work and ability to adapt quickly to the dramatically changed environment during the COVID-19 pandemic.
Q2 2020 revenue increased 42% to $51 million, our highest quarterly revenue since 2013, driven by the strongest year-over-year revenue growth rate since the first quarter of 2011. Q2 adjusted EBITDA was $2.1 million, a $4 million improvement year-over-year. Q2 free