IAC (IAC) Q2 Earnings Call

IAC (IAC) CEO Joey Levin said were about to enter an era of even higher volatility 

“Nonetheless, our conduct in the last quarter was not due to a lack of conviction on value, but rather a countervailing sense that we are entering a period with increased volatility in public and private markets with a difficult IPO market and a tightening of venture financing, and we want the financial flexibility to seize opportunities that may arise from these conditions.”

They believe they are too conservative estimating their growth of their strong businesses and too aggressive estimating the growth of their weaker businesses

“In terms of operating performance, we had another great quarter in our high growth, higher potential businesses and took action to restructure our low-performing businesses. In my experience, we frequently forecast the growing businesses too conservatively on the upside, and the struggling businesses too aggressively relative to the downside. Oddly, we’re not optimistic enough when we have reason to be, and too optimistic when we don’t. I’d like to say that with pattern recognition we ought to be able to excise this deficiency in our forecasting.”