PR software vendor Vocus, Inc. (NASDAQ: VOCS) reported fourth quarter losses of $821K and full year 2009 losses of $2M.
However, fourth quarter revenue was up seven percent year over year to $22 million and up nine percent for the full year to $84.6 million. Vocus signed a record 447 net new customers in Q4, bringing the company’s total number of subscription customers to 4,400.
CEO Rick Rudman said in a conference call that the company would invest in three areas of business in 2010: core mid-market direct sales, small business and social media.
Regarding the mid-market direct sales, Rudman said the company will grow market-share via a larger sales-force, “at the expense of competitors who are financial unavailable to make similar investments.”
In the first half of 2010, Vocus will launch a new social media module that will be an add on to the company’s existing offerings. The new social media offering will create “short term pressure on operating margins,” but is important for “long term growth” and “new market opportunities,” said Rudman.
“With more than $100 million in the bank, no debt, and positive cash flow, we need to invest,” he said.
Rudman said the company expects PR spending to remain even in 2010, with “no improvement or deterioration.”
New clients signed in Q4 2009 include Coleman Company, Royal Caribbean Cruises and Volvo Group North America.