America Online reports Q1 membership growth
DULLES, Va., Nov 6 (Reuters) - America Online Inc on Thursday reported record fiscal 1998 first quarter revenues, the result of **membership growth, improved member retention, efficiencies in marketing spending and
a decrease in costs of service***.
AOL said it added ***821,000*** members worldwide during the quarter to reach more than 9.4 million members on September 30, compared to a gain of 414,000 members during the fiscal 1997 first quarter.
The company said its marketing expenses during the fiscal 1998 first quarter were reduced to $97.8 million, or 19 percent of revenues, from last year's $150.2 million on an equivalent basis, or 43 percent of revenues.
The company said it began limited marketing in the last several months, two quarters after it slowed its member growth to focus on building up network capacity.
AOL reported first quarter net income of $19.16 million, or $0.16 per share, compared with a loss of $353.7 million, or $3.80 per share, in the fiscal 1997 first quarter. Fiscal 1998 first quarter revenues increased 49 percent to a record $521.6 million.
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Here come the spin doctors to save the day!!! |
