Online marketing agency Avenue A Inc. said its second-quarter revenue fell to $20.6 million, from $52.4 million a year ago. Its net loss for the quarter rose to $15.5 million, or 27 cents per share, from $9.6 million, or 16 cents per share, in 2000.
Earlier this month, the Seattle-based company said it would close its London office and concentrate on its more profitable operations in the United States. The closing will affect 16 people. Avenue A plans to complete work on its current campaigns with United Kingdom customers during the next several months.
In May, it began cost-cutting measures in the United States that included a workforce reduction of about 20 percent, or 75 people.
“In our agency business, we continued to strengthen our client base, reducing dot-com-generated revenue to 24 percent of total revenue,” said Brian McAndrews, Avenue A's president/CEO. “In our Atlas DMT technology division, we made further investments in our proprietary technology, including the ongoing development of our Atlas Digital Marketing Suite.”
McAndrews said the new version of the company's Atlas Digital Marketing Suite, an end-to-end campaign management system, is scheduled for release at the end of the third quarter.
