MSGI Reports Revenue Increase, Larger Net Loss
Marketing Services Group Inc., New York, a direct marketing and information services provider, reported $10.67 million in revenue, an 80 percent increase over the same period a year earlier, but saw its net loss grow 18 percent to $884,484 for the quarter ended Dec. 31.Earnings per share improved $1.54 but remained in negative territory (-$0.33) in large part from one-time charges associated with a $15 million investment by GE Capital.
"Until very recently, seasonality played a major role in our net income, especially in terms of the telemarketing division. [Stephen Dunn & Associates] represented our single largest component of revenues for the six months ending Dec. 31 and has traditionally generated all of its positive income in the fourth quarter,'' said Jeremy Barbera, chairman and CEO. "However, going forward, we expect the recent acquisition of Media Marketplace, combined with the operations of Metro Direct, to even out the seasonal impact of telemarketing.''
