CKS Group Inc. reported
revenues of $46.6 million for the third quarter of fiscal 1998, an increase of
17% from revenues of $39.8 million in the same period of the prior year.
Net income for the third quarter was $3.4 million, an increase of 5% compared
with pro forma net income of $3.2 million in the third quarter a year earlier.
Net income per share for the quarter was $0.21 compared with pro forma net
income per share of $0.20 a year earlier.
Pro forma results for fiscal 1997 exclude the effects of a non-recurring
charge associated with the acquisition of SiteSpecific in June 1997.
Revenues for the nine months ended Aug. 30 were $118.6 million, an increase of
19% from revenues of $100.0 million in the same period a year ago. Net income
for the first nine months of fiscal 1998 was $7.4 million or $0.45 per share,
a decrease of 7% from pro forma net income of $8.0 million or $0.51 per share
in the first nine months of fiscal 1997.
New media services contributed approximately 30% of total revenues, or $14.1
million in the third fiscal quarter, the company said. This compares to new
media revenues of approximately 25% of total revenue or $10.0 million in the
second fiscal quarter of 1998.
“During the third quarter we. . . established more large new media relationships
than any quarter in the history of the company and continued to achieve the
performance targets we outlined at the beginning of our fiscal year,” said Mark Kvamme, CKS
Group chairman and CEO. “Our pending merger with USWeb Corp. and the establishment of Reinvent
Communications will bring fiscal 1998 to a close on a very high note and
launch 1999 with a tremendous amount of momentum.”
During the third quarter, CKS Group said it expanded relationships with
clients such as Apple Computer, Levi Strauss, and Logitech. In addition, CKS
Group initiated new relationships with clients such as Disney, Baan and