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Technology Stocks : ITURF Inc. ( NASDAQ:TURF ) -- Ignore unavailable to you. Want to Upgrade?

To: Mohan Marette who wrote (120)	4/10/1999 10:08:00 AM
From: drakes353	Read Replies (2) \| Respond to of 614

Mohan: But who among the three made money and has a targeted audience? Granted, iTurf was the only one to make money. Problem is that was part of the pre-IPO "gussy up". Read the prospectus, they expect to lose money going forward. Among the three iTurf has the best and most precise target audience-Generation Y.I don't think anybody else among the population is more at ease with technology and computers and they got money and they spent,said to be worth $256 Billion. Let me know when the banks get crazy enough to start giving credit cards to 11 year olds. Mom and Dad still ultimately control the purse strings. The other two have more of a general audience among thousands of others.Then what about the financials of the other two (iVillage (Target:women in general & VUSA every Tom,Dick and Harry))? Making any money yet or is it lot of hype and no money? As I said, the making money thing was temporary, made for a good story heading into the IPO. You've picked up on that story and are running with it without mentioning the expected losses going forward. It sounds like you have not read the prospectus, here are their comments on this: "We expect to record substantial net losses for the foreseeable future. We believe that our continued growth will depend in large part on our ability to: o increase awareness of our brand names; o provide our customers with superior Internet community and e-commerce experiences; and o continue to enhance our systems and technology to support increased traffic to our Web sites. Accordingly, we intend to dramatically increase our level of marketing and promotional expenditures. We also expect to invest heavily to further develop our Web sites, technology and operating systems. We will incur increased expenses in connection with fees payable to our parent pursuant to intercompany agreements with our parent. Slower revenue growth than we anticipate or operating expenses that exceed our expectations would have a material adverse effect on our business." Also Delia still owns 75% of iTurf if I am not mistaken and they are quite well versed in retailing in my opinion. Not to quibble but it's really 66.7% on a fully diluted basis. On the "quite well versed" thing, couple of squibs from within the last year: The Wall Street Journal, 09/10/1998 NEW YORK -- Delia's Inc. said it swung to a fiscal second-quarter loss from a year-earlier profit, partly because of costs of building a network of retail stores and slower-than-expected catalog sales.... The Wall Street Journal, 06/17/1998 Delia's Inc. said in a Securities and Exchange Commission filing that fiscal second-quarter sales and earnings will be hurt by the cost of its retail expansion and by cuts in its catalog mailings.... As you can see, DLIA ain't stumble-proof. The fashion biz, especially in the youth market, is feast or famine. Take a look at long-term charts of PSUN and HOTT if you've got any question about that. BTW, don't know if you've gone over to the TURF sites, but it's not exactly chock-a-block full of advertising over there. Shouldn't be surprising to learn that TURF doesn't even have a dedicated in-house ad sales department. drakes353