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Netscape gets back in the black

Thank god for that, says Wall Street

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Netscape Communications has broken even in its third quarter, surpassing Wall Street estimates. Revenues for the quarter ending July 31 were $150.2 million – a ten per cent increase on the $136 million of the same period last year. Net income for the quarter was $88,000 compared with a net loss of $45 million. Since Netscape began distributing its Web browser for free as it tried to maintain its market lead, the company has had to refocus on Netcenter, its new Internet gateway website, and software for business computer networks. Jim Barkdale, company president, said that the Netscape had seen “strong momentum” in both business segments. The company said a strong increase in revenues from Netcenter boosted results. The new site produced revenue of $38.7 million representing a 24 per cent increase on the second quarter. Revenues from business software and related services also gained on last quarter and were up 16 per cent at $111.6 million. The first half of the fiscal year brought revenues of $277.5 million for Netscape, up on $256.5 million a year ago. Net income rose to $96,000 compared with a net loss of $37.4 million previously.

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