Napster loss narrows in fiscal 2Q
EmptyNapster Inc. said Wednesday its fiscal second-quarter loss narrowed from a year ago, beating Wall Street estimates, as the online music service saw a boost in revenue.
The company, which said in September it is exploring a possible sale, reported a net loss of $9 million, or 21 cents per share, for the fiscal quarter ended Sept. 30. That compared to a loss of $13.6 million, or 32 cents per share, during the same period a year ago.
Net revenue was $25.5 million, up 9% from $23.4 million last year. Excluding a nonrecurring item, revenue for the quarter was $24.9 million, the company said.
Analysts surveyed by Thomson Financial expected a quarterly loss of 27 cents per share on sales of $25.5 million in the latest period.
Napster said it closed the quarter with a paid customer base of 518,000, including 31,000 subscribers at universities.
Looking ahead, Napster expects its third-quarter revenue will exceed $27 million. Wall Street had projected sales of $28.5 million during the period.
Napster shares were down 2 cents, or .45%, to $4.43 in aftermarket trading. Ahead of the report, the stock fell 9 cents, or 1.98%, to close at $4.45 on the Nasdaq Stock Market.