Open Market, Inc. Comments on Expected Second Quarter Results
siliconinvestor.com
BURLINGTON, Mass., Jul 12, 2000 /PRNewswire via COMTEX/ --
Open Market, Inc. (Nasdaq: OMKT chart, msgs), today
announced preliminary results for its second quarter ended June 30, 2000.
Net revenue for the second quarter of 2000, based on
preliminary review and analysis, is expected to be between
$26 million and $28 million. In addition, the Company will
report a previously announced gain of approximately $12.1
million, net of income taxes, or $0.25 per share, from the
Company's investment in SightPath, Inc, which was sold to
Cisco Systems, Inc. in May 2000.
Excluding the gain from the SightPath stock sale, the
Company expects to report a net loss from operations for
the second quarter of between $0.13 and $0.18 per share.
With the inclusion of the gain from the SightPath stock
sale, the Company expects to report earnings per share for
the quarter of between $0.08 and $0.13 per share.
The Company's total e-Business revenue is expected to show
an increase of 44% to 56% over the quarter ended June 30,
1999. The Company is expected to experience a shortfall in
revenue from Professional Services and the licensing of its
Commerce Management products. Licensing of the Company's
Content Management products is expected to be ahead of plan.
Ron Matros, Open Market's President and CEO, said "The
higher than expected loss from operations during the quarter
ended June 30, 2000 resulted principally from planned
increased spending in the quarter, coupled with the
shortfall in revenue from the Company's Professional
Services and its Commerce Management products." Mr. Matros
added, "Open Market has experienced a shift, somewhat sooner
than expected, toward a higher proportion of its business
being derived from licensing of its Content Management
products. Our Professional Services business model is
evolving to accommodate that change." Open Market is
scheduled to release final financial results for its second
quarter on July 25, 2000.
About Open Market
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