RealNetworks Inc. saw real profits in the first quarter after spending more
than two years in the red.
The streaming-media-technology provider posted a net profit of a little more
than $1 million, or one penny per share, compared with a $24.4 million loss
posted for the same quarter last year.
Revenues, however, dropped slightly, from $50.4 million a year ago to $47.3
million, while adjusted cash earnings totaled almost $3.7 million.
'These results provide further evidence that we're moving in the right
direction,' RNI chairman and CEO Rob Glaser said in a release.
The Seattle-based company's string of quarterly losses, beginning in the
fourth quarter of 1999, was in part blamed on charges from a series of
acquisitions. Excluding those charges, the company has been operationally
On the subscription-content side, 'RealOne' posted strong results for the
quarter, increasing revenues 35 percent from the fourth quarter to total $13.6
million. RealOne's subscriber base increased 20 percent since the end of 2001,
and it now totals 600,000 customers.
But advertising revenue continued its slide, dropping 46 percent since the
fourth quarter to total a mere $1.6 million, contributing just 3 percent of the
company's total revenue.
The company is holding to its forecast that it will see 'slight to moderate'
growth in 2002, with stronger growth predicted for the second half of the