Mail.com Reports Huge Losses for Fourth Quarter and Full YearMail.com, a provider of e-mail messaging services, reported massive losses for the fourth quarter and full year 2000, largely due to restructuring charges.
For the fourth quarter of 2000, the New York company said its net loss was $85.8 million, or a loss of $1.39 per share, compared with a net loss of $16.1 million, or a loss of 36 cents per share, for the same quarter a year ago. The losses include restructuring charges of $18.4 million associated with the divestiture of Mail.com's Asia.com subsidiary.
For the full year 2000, Mail.com said its net loss grew to $229.5 million, or a loss of $4.01 per share, compared with a loss of $47 million, or $1.96 per share for 1999. The company last year implemented a strategy to become a "pure-play" outsourced messaging business.
Mail.com's revenues for the fourth quarter rose 190 percent to $17.7 million, from $6.1 million in the same quarter a year earlier. The company said revenue from its messaging businesses more than doubled to $14 million in the fourth quarter, from $6.1 million a year earlier. For 2000, the company's messaging revenues rose to $52.7 million, from $12.7 million in 1999.
In the fourth quarter of 2000, Mail.com said it served 5.04 billion ad impressions and that page views totaled 1.24 billion. The company added 97 clients to its advertising network in the fourth quarter.
Mail.com said that for the first quarter of 2001, it expects its revenue to grow to between $21 million and $25 million. It also expects to report a net loss of between 42 cents and 46 cents per share in the first quarter.
For the full year 2001, the company forecasts revenues of more than $150 million and a net loss of between 55 cents and 65 cents per share.