United Online (NSDQ: UNTD), parent of failed IPO candidate Classmates.com, reported Q4 revenue of $125.4 million, down 4 percent year-on-year from $130.8 million. Net income jumped significantly, to $14.5 million from $4.5 million, although the prior year’s quarter included a big one-time charge. Not surprisingly, the online access side of the business continues its long, not so slow decline, with revenue falling 19 percent to $72.1 million, from $88.8 million. This was balanced out by 27 percent growth in the Classmates.com business to $53.3 million.

Although Classmates failed to go public, the company has restructured its reporting to make Classmates its own reporting unit—the unit also includes UNTD’s online loyalty marketing business. Web hosting and photo sharing, which had been part of the old Content & Media business, has been moved to the old-line communications side. Although the perception is that the subscription-based Classmates business is on the decline in the face of free social networking services (one analyst pegged its long-term value at $0), the company says it netted 216,000 pay accounts for the unit in the quarter, bringing the total to 3.2 million.

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• There It Goes: United Online Cancels Classmates IPO