AOL Time Warner Reports $996M Third Quarter Loss

Share this content:
AOL Time Warner Inc. reported a pro forma net loss of $996 million, or 22 cents per share, yesterday for the third quarter ended Sept. 30, up from a loss of $902 million, or 21 cents per share a year ago.


The company noted that its third quarter loss included $134 million in merger-related expenses and $196 million in charges pertaining to the write-down of certain investments.


Total pro forma revenue for the third quarter rose 6 percent to $9.3 billion, from $8.8 billion in the same quarter in 2000. AOL Time Warner said its increased revenue was helped by a 13 percent increase in subscription revenue, which was up to $4.2 billion. Its overall subscription base grew 18 percent to more than 137 million in the third quarter.


However, while content and other revenues rose 6 percent in the third quarter to $3.2 billion, overall advertising and commerce revenue fell 5 percent to $1.9 billion.


The company's America Online Internet service added 6.7 million new subscribers in the quarter, bringing its total to 31.3 million. AOL's total revenue climbed 13 percent to $2.2 billion, from $1.9 billion a year ago. Subscription revenue for the Internet service rose 14 percent to $1.4 billion, the company said.


AOL Time Warner also said that advertising and commerce revenue at AOL increased 5 percent to $624 million, driven largely by a 7 percent increase in advertising, contract settlements and intercompany revenues.


close

Next Article in Marketing Strategy

Sign up to our newsletters

Company of the Week

Brightcove is the world's leading video platform. The most innovative and respected brands confidently rely on Brightcove to solve their most demanding communication challenges because of the unmatched performance and flexibility of our platform, our global scale and reliability, and our award-winning service. With thousands of customers and an industry-leading suite of cloud video products, Brightcove enables customers to drive compelling business results.

Find out more here »

Career Center

Check out hundreds of exciting professional opportunities available on DMN's Career Center.  
Explore careers in digital marketing, sales, eCommerce, marketing communications, IT, data strategies, and much more. And don't forget to update your resume so employers can contact you privately about job opportunities.

>>Click Here

Relive the 2017 Marketing Hall of Femme

Click the image above