SAN FRANCISCO– Technology news provider CNet Networks Inc. is cutting 15 percent of its work force to cope with the slumping high-tech economy. The move followed a 10 percent reduction in February.
The announcement came Tuesday as CNet posted a second-quarter net loss of $218.1 million, or $1.60 a share, 30 percent lower than last year’s comparable figures of $168.0 million, or $1.24 a share. Revenue slid 32 percent, to $71.1 million from $104.3 million.
Adjusting for investment results and other one-time events, CNet lost $23.4 million, or 17 cents a share, meeting the expectations of financial analysts surveyed by Thomson Financial/First Call.
Because of what chairman and chief executive Shelby Bonnie called a “deep and prolonged slowdown in the economy,” CNet said it needed to cut more jobs to keep costs down.
A CNet spokeswoman would not say how many employees the company has.
The company lowered its targets for the rest of the year, predicting third-quarter revenue of between $70 million to $75 million and full-year sales between $290 million and $300 million. At the beginning of the year, CNet was expecting 2001 revenue to be as high as $580 million.
CNet shares fell 49 cents, nearly 5 percent, to close at $9.65 on the Nasdaq Stock Market. The stock was unchanged in the extended trading session.
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