CNET también está disponible en español.

Ir a español

Don't show this again

Tech Industry

Engage sees better-than-expected results

    Engage (Nasdaq: ENGA) topped reduced second-quarter earnings expectations and predicted better-than-expected results in the third and fourth quarters.

    After market close Tuesday, the online marketing and interactive media company reported a fiscal second-quarter loss of $41.3 million, or 21 cents per share, excluding special charges. First Call's survey of eight analysts predicted a loss of 26 cents per share for Engage's quarter ended Jan. 31.

    Last month, Engage said it expected to lose no more than 28 cents per share.

    Engage now anticipates a third-quarter loss of 12 cents to 15 cents, before special charges, on revenue of $24 million to $26 million. First Call consensus was predicting a loss of 19 cents per share for the third quarter, which ends in April.

    Look for a fourth quarter loss ranging between 7 cents and 10 cents per share, on revenue of $25 million to $28 million, the company said. Analysts were looking for a fourth-quarter loss of 16 cents per share.

    Company executives predicted Engage's operations would break even in fiscal 2002's first quarter, which ends in October. The company said it has enough cash to fund operations to that point.

    Including charges related to stock compensation, acquired in-process research and development, restructuring, amortization and write-offs, Engage lost $695.6 million, or $3.53 per share, in the second quarter.

    Revenue for the January quarter fell 10 percent year-over-year to $28.1 million. Software and services generated $8.3 million in revenue. About $19.8 million came from media revenue.

    Analyst consensus predicted revenue of $30.2 million, according to First Call.

    "Although the recent corporate restructuring is beginning to have positive effects internally, we believe it will take a few more quarters before the results are apparent," said Tony Nuzzo, Engage's president and CEO.

    Shares of Engage traded at 99 cents in after-hours activity on the Island ECN. Engage fell 9 cents to 97 cents in Monday's regular trading ahead of the release of quarterly results.>