Agency.com posts operating profit, tops estimates
NEW YORK (Reuters) - Internet consulting firm Agency.com Ltd. (ACOM.O) on Thursday surprised Wall Street in reporting an operating profit in the first quarter as revenues rose a stronger-than-expected 82 percent on a pro forma basis.
The company, which went public in December, said it earned, $700,000, or 2 cents a share, excluding goodwill and amortization. In the year-ago period, it lost $2.6 million, or 9 cents a share, on a pro forma basis, which includes the results of certain acquisitions.
Wall Street analysts had expected the company, which helps clients develop Internet business models and implement technology, to post a loss of 3 cents, excluding goodwill, according to First Call/Thomson Financial. The company had not been expected to turn profitable on an operating basis until the third quarter.
Revenue grew to $38.5 million from $21.1 million for the quarter, beating Wall Street estimates by 20 percent, amid strong demand for its Web expertise and new business in its emerging interactive television and wireless services.
Its net loss, including non-cash items, amortization and goodwill, narrowed to $4.2 million, or 12 cents a share, from $7.7 million, or 28 cents a share.
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Still got a net loss. Not good in this market.
Jack |
