More Quarterly Revenue, Less Losses at 24/7 | Adweek More Quarterly Revenue, Less Losses at 24/7 | Adweek
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More Quarterly Revenue, Less Losses at 24/7

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NEW YORK 24/7 Real Media yesterday reported a 15 percent revenue rise and narrower net losses in the second quarter versus the year-ago period.

The online advertising and technology company recorded Q2 revenue of $12.2 million, up from $10.6 million in Q2 2002 and $11.8 million in Q1 2003. Adjusted for divestitures, revenue for the quarter grew 23 percent to $12.1 million from $9.9 million for the same period last year.

Second-quarter net loss was $2.5 million, or 3 cents per share, a 40 percent improvement over a net loss of $4.2 million, or 8 cents per share, for the same quarter a year ago.

Pro forma net loss, which is defined as net loss excluding amortization of intangibles, stock-based compensation, gain or loss on sale of non-core assets and other expenses, totaled $800,000, or 1 cent per share. That compares to a pro forma net loss of $3.1 million, or 6 cents per share in the second quarter of 2002.

The New York-based company, which in June averted a threatened delisting from the Nasdaq Small Cap Market by regaining compliance with the $1 minimum bid price requirement, said it expects third-quarter revenue of $12-13 million and a pro forma loss per share of 0-1 cent. For the fourth quarter, 24/7 projected revenue of $13-15 million and positive EBITDA (earnings before interest, taxes, depreciation and amortization).

24/7 Real Media shares (TSFM) were trading on the Nasdaq today at $1.65, up 3 cents or nearly 2 percent. The stock's 52-week high is $2.49 and 52-week low is 14 cents.

Separately, 24/7 said today that it changed the name of its search-engine marketing unit from 24/7 Website Results to 24/7 Search. The new moniker is meant to reflect the division's expanded product line, which includes paid inclusion, Web analytics and pay-per-click bidding software, among other services, said the division's president, Douglas Wagner.