Tech Industry

CMGI beats 4Q expectations

CMGI (Nasdaq: CMGI) easily topped analyst forecasts in the fourth quarter.

After market close Thursday, the Internet investment and development company reported a fiscal fourth quarter net loss of $142.8 million, or 49 cents per share, excluding special charges. Including costs for amortization and acquired in-process R&D, CMGI lost $633.7 million, or $2.17 per share.

First Call's survey of eight analysts predicted a loss of $2.45 per share for the quarter ended July 31.

Shares of CMGI fell to 34.875 in afterhours activity on the Island electronic communications network, immediately following the release of quarterly results. CMGI stock ended Thursday's regular trading unchanged at 36.4375.

Fourth quarter revenue increased to $377.2 million, up 62 percent sequentially and up 568 percent year-over-year. CMGI's results include $144.9 million in gains from investment sales.

Revenue from search and portals increased 14 percent sequentially to almost $98 million. Infrastructure and "enabling" technology companies saw revenue of $19.8 million, up 33 percent from the third quarter. Professional services revenue gained 218 percent sequentially to $30.5 million.

E-Business and fulfillment saw revenue improve to $141.2 milion, a 206 percent increase from the third quarter. Interactive marketing generated revenue of $81.4 milion, up 14 percent sequentially.

Four of CMGI's five operating segments are expected to turn profitable -- excluding taxes, interest, depreciation, amortization and one-time charges -- by the end of fiscal 2001, said David Wetherell, chairman and CEO. CMGI's sixth line of business is a venture capital investment firm.

For the full fiscal 2000, CMGI lost $1.4 billion, or $5.26 per share, on revenue of $898.1 million.>