AI
Martha Stewart Living Q3 Loss Narrows [MSO]
11/2/2007 10:32:13 AM Media and merchandise company Martha Stewart Living Omnimedia, Inc. (MSO) on Friday reported a narrower loss in its third-quarter, helped by strong growth in its publishing business. The company said it is poised to return to profitability in 2007. The New York-based company's net loss was $4.4 million, or $0.08 per share, in the quarter, compared to a loss of $25.21 million, or $0.49 per share, in the year-ago quarter.
On average, three analysts polled by First Call/Thomson Financial expected the company to report loss of $0.13 per share in the quarter.
The prior-year results included a litigation reserve of $18.2 million and a $2.5 million benefit from the resolution of a dispute with a former merchandising licensee. Excluding the litigation reserve and the licensing resolution, loss per share would have been $0.18.
Quarterly revenues rose 13.4% to $69.26 million from $61.05 million in the same period last year. The results were mainly helped by advertising revenue growth in publishing and revenue from the book deal with Clarkson Potter.
Two Street analysts had a consensus revenue estimate of $68.48 million for the quarter.
Segment-wise, the company's publishing revenues were $46.22 million in the third quarter, a 27.5% growth from $36.26 million in the prior-year quarter. Merchandising revenues declined 7.9% to $10.95 million from $11.89 million in the third quarter of 2006.
Quarterly revenues of Internet business increased 15.7% to $3.27 million from $2.83 million in the preceding year quarter. Broadcasting revenues, however, dropped 12.4% to $8.82 million from $10.07 million last year.
For the first nine months of 2007, the company reported net loss of $23.02 million, or $0.44 per share, compared to a loss of $33.21 million, or $0.65 per share, for the first nine months of 2006.
Revenues for the nine-month period stood at $209.41 million, a 9.5% increase from $191.30 million, recorded in the corresponding period a year ago.
For the fourth quarter, the company expects revenues of approximately $120.0 million and operating income in the range of $33.0-$35.0 million.
Two analysts, on average, expected the company to post revenues of $125.52 million in the fourth quarter. Looking ahead to fiscal 2007, Martha Stewart Living anticipates revenues of approximately $330.0 million and operating profit in the range of $7.5-$9.5 million.
President and chief executive officer Susan Lyne, said, “Financially, our double-digit revenue growth and favorable trend in adjusted EBITDA demonstrate the continued strength of our business, which is on course to return to profitability for the full year 2007.”
On average, three analysts polled by First Call/Thomson Financial expected the company to post revenues of $336.35 million in full-year 2007.
MSO is currently trading at $12.73 on the NYSE, down $0.40 or 3.05%, on a volume of 62,100 shares.
http://www.rttnews.com/sp/breakingnews.asp?date=11/02/2007&item=80&vid=0
11/2/2007 10:32:13 AM Media and merchandise company Martha Stewart Living Omnimedia, Inc. (MSO) on Friday reported a narrower loss in its third-quarter, helped by strong growth in its publishing business. The company said it is poised to return to profitability in 2007. The New York-based company's net loss was $4.4 million, or $0.08 per share, in the quarter, compared to a loss of $25.21 million, or $0.49 per share, in the year-ago quarter.
On average, three analysts polled by First Call/Thomson Financial expected the company to report loss of $0.13 per share in the quarter.
The prior-year results included a litigation reserve of $18.2 million and a $2.5 million benefit from the resolution of a dispute with a former merchandising licensee. Excluding the litigation reserve and the licensing resolution, loss per share would have been $0.18.
Quarterly revenues rose 13.4% to $69.26 million from $61.05 million in the same period last year. The results were mainly helped by advertising revenue growth in publishing and revenue from the book deal with Clarkson Potter.
Two Street analysts had a consensus revenue estimate of $68.48 million for the quarter.
Segment-wise, the company's publishing revenues were $46.22 million in the third quarter, a 27.5% growth from $36.26 million in the prior-year quarter. Merchandising revenues declined 7.9% to $10.95 million from $11.89 million in the third quarter of 2006.
Quarterly revenues of Internet business increased 15.7% to $3.27 million from $2.83 million in the preceding year quarter. Broadcasting revenues, however, dropped 12.4% to $8.82 million from $10.07 million last year.
For the first nine months of 2007, the company reported net loss of $23.02 million, or $0.44 per share, compared to a loss of $33.21 million, or $0.65 per share, for the first nine months of 2006.
Revenues for the nine-month period stood at $209.41 million, a 9.5% increase from $191.30 million, recorded in the corresponding period a year ago.
For the fourth quarter, the company expects revenues of approximately $120.0 million and operating income in the range of $33.0-$35.0 million.
Two analysts, on average, expected the company to post revenues of $125.52 million in the fourth quarter. Looking ahead to fiscal 2007, Martha Stewart Living anticipates revenues of approximately $330.0 million and operating profit in the range of $7.5-$9.5 million.
President and chief executive officer Susan Lyne, said, “Financially, our double-digit revenue growth and favorable trend in adjusted EBITDA demonstrate the continued strength of our business, which is on course to return to profitability for the full year 2007.”
On average, three analysts polled by First Call/Thomson Financial expected the company to post revenues of $336.35 million in full-year 2007.
MSO is currently trading at $12.73 on the NYSE, down $0.40 or 3.05%, on a volume of 62,100 shares.
http://www.rttnews.com/sp/breakingnews.asp?date=11/02/2007&item=80&vid=0
Discover What Traders Are Watching
Explore small cap ideas before they hit the headlines.
