Avenue A Issues First-Quarter Profit Warning

Share this article:
Avenue A Inc., a digital marketing and technology company, is lowering its forecast revenue for the first quarter of 2001 to $20 million to $25 million because of reduced Internet advertising spending.


It previously had forecast revenue of $30 million to $33 million.


The Seattle-based company said lower online spending was widespread among its clients.


"Clearly we are operating in a difficult and uncertain market environment," said Brian McAndrews, Avenue A's president/CEO. "Our lower revenue expectations are the result of cuts in online ad spending that are deeper than we had been anticipating."


McAndrews also said the slowdown has not affected the company's gross margin rates.


For fourth quarter 2000, Avenue A reported revenue of $48.2 million and a net loss of $11.9 million, or 21 cents per share. For the full year 2000, the company reported revenue of $194.5 million. Its net loss for the year was $42.9 million, or 86 cents per share.


The firm, founded in 1997, offers services including Web advertising, affiliate programs, search engine optimization, e-mail prospecting, e-mail list management, customer targeting and advanced analytical services.


Share this article:
You must be a registered member of Direct Marketing News to post a comment.
close

Next Article in Digital Marketing

Follow us on Twitter @dmnews

Latest Jobs:

Featured Listings

More in Digital Marketing

The 'Sh' in Shakira Is for 'Shared'

The 'Sh' in Shakira Is for 'Shared'

The Colombian pop superstar bests Darth Vader to claim "Most Shared Video Ad Ever" honors, says Unruly's Top 20 Most Shared Ads of 2014 list.

Yahoo to Buy BrightRoll for $640 Million

Yahoo to Buy BrightRoll for $640 Million

The addition of one of the industry's top video ad platforms makes it a key player in the video space, says Yahoo.

Marketers Exaggerate Their Digital Prowess, Says Report

Marketers Exaggerate Their Digital Prowess, Says Report

Don't buy into the hype. More than half of companies are not using digital marketing technology, reveals 451 Research's study of software buyers and vendors.