Former dot-com poster stock theglobe.com (Nasdaq: TGLO) said Tuesday it would narrow its losses and reach break even by the end of 2001.
Shares in the online community network rose 77 percent, or 0.22 to 0.5. The company’s fortunes turned sour last year after a much-hyped initial public offering.
After aggressive restructuring, the company said it has stabilized and now expects improved revenue growth and a significant reduction in losses in the coming year. Pro forma net loss is now pegged at between $10 million and $11 million on revenues of between $43 million and $45 million in 2001. For 2000, the company lost about $39 million on revenues of around $29 million.
New CFO Stephanie J. Hauge, who replaces Frank Joyce today, also said that the company expects to reach financial break-even by the end of 2001.
Hauge, who spent the past 20 years in various senior financial positions at AT&T, said she will continue to work towards turning around theglobe.com’s financial position and increase shareholder value.