As Expected, iMALL Posts Loss for Second Quarter

iMALL Inc. posted
revenues of $3.39 million, compared to $5.11 million in the same period a year ago. The net loss for the quarter was $2.55 million or $0.39 per share, compared to a net loss of $609,797, or $0.08 per share, a year ago.

The results, however, were apparently expected as the company changes focus.

“I am very pleased with the progress we made during the second
quarter,” said Richard Rosenblatt, the company’s chairman and CEO in a
statement. “Our revenues showed a downtick quarter-to-quarter, consistent
with our shifting focus away from providing Internet training and
consulting toward developing and strengthening the electronic commerce
segments of our business.”

“Late in the quarter, we released Bolt-on e-commerce, an innovative browser
based e-commerce solution that significantly reduces the cost of doing
business on the Internet for companies of all sizes,” he said. “This product
enables a company to inexpensively and seamlessly upgrade any existing Web
site from a static ‘brochure-ware’ site into a fully transaction-enabled Web
site, capable of listing thousands of products and taking credit card orders
over the Web.”

The company also is preparing for the full rollout of relationships with
Verio, GEN
, Cardservice
and The sales forces
at Verio and Cardservice have been trained and have begun marketing iMALL’s
services to their customers.

“All of these agreements feed our long-term strategy of leveraging our
merchant and consumer expertise, built over the past four years with our
flagship Web site–the largest independent online shopping
mall–to build an extensive electronic
commerce business designed to connect hundreds of thousands of merchants to
consumers all over the world,” Rosenblatt said.

iMall stock closed at $8.12, down $0.50.

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