CoolSavings warning for 4Q
Shares of the online marketer closed off 0.09 to 1.25 on Friday.
The company said it expects to post a fourth quarter net loss of $8.2 million to $8.7 million, or a loss of 21 to 22 cents a share, excluding stock option compensation of 3 cents. This compares to a net loss of $7.1 million, or a loss of 22 cents per share, reported in the same period last year.
Revenues for the fourth quarter will be in the range of $12 million to $13 million, inline with the $12.57 million analyst estimate. Year-over-year, this is a rise over the $6.7 million reported in the fourth quarter of 1999.
For the year, the pro forma net loss, excluding stock option compensation of about 10 cents per share and beneficial conversion charges of about 54 cents per share, was forecast to be between $33.6 million to $34.1 million, or a loss of 92 to 94 cents a share. The First Call expected loss was slimmer by a penny. The company posted a net loss of $16.9 million, or a loss of $0.57 per share, in fiscal year 1999.
Revenue for the fiscal 2000 is expected to be between $40.3 million to $41.3 million versus $12.9 million reported for fiscal year 1999.
Despite the shortfall in earnings for the fourth quarter, CoolSavings had a positive outlook for 2001 with projections of profitability in the second half of the year on revenues of between $74 and $80 million.
CoolSavings said it would expand or add to its current products and service offerings in 2001, targeting consumer sub-categories, branching into other countries and offering direct sales of its products.