Feeds

CMGI plunges deeper into the Red Ink Sea

$2.5bn net loss

  • alert
  • submit to reddit

Boost IT visibility and business value

CMGI, the dotcom investor/conglomerate, saw losses top $2.5bn for its second quarter - and it forecasts a sales slowdown for the next few months.

The Massachusetts-based company recorded a net loss of $2.56bn, or $7.86 per share, for the period ended January 31 2001, compared to a loss of $186 million, or 74 cents per share, for the same quarter the previous year.

The second quarter figures included costs of around $100 million related to CMGI's previously announced restructure, aimed at stemming losses at the oufit.

Sales rose 116 per cent to $342.7 million (which was also a sequential revenue drop of six per cent).

For Q3 2001 the company, whose holdings include online search engine AltaVista, said it expected revenue of between $280 million and $290 million, growing at 3-5 per cent in Q4. Restructuring charges are expected to total around $100 million for the second half of the financial year.

CMGI shares have plunged 95 per cent over the last year, but rallied today with a massive leap of six cents to close at $3.91. ®

Related Stories

Engage makes progress - and loses $700 million
Search engine veteran poo-poos AltaVista patent claims
ZD story attacks CMGI - on CMGI's own portal
CMGI in trip to knacker's yard

The Power of One Brief: Top reasons to choose HP BladeSystem

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Securing Web Applications Made Simple and Scalable
Learn how automated security testing can provide a simple and scalable way to protect your web applications.