Netcentives Looking for Cash
Online incentive marketer Netcentives reported second quarter results
showing a narrowed pro forma loss, but dwindling cash reserves.
The San Francisco-based firm reported a pro forma loss of $11.4 million,
or $0.26 per share, on revenue of $15 million — beating the Street’s
estimates of a $0.30 loss, according to Thomson Financial/First Call. The
performance is an improvement over last quarter’s $0.31 per share loss as
well.
However, with about $10.5 million in cash remaining and a $15.3 million
current burn rate, the company said it would not meet its cash flow
breakeven projections for fourth quarter.
“We have come to a critical point in the company’s history where
continued operations are contingent on an additional cash infusion and
further managing down our cost structure, which includes workforce
reductions,” said Eric Larsen, who became Netcentives’ chairman and chief
executive in April.
Scient Delays Earnings Report
Interactive shop Scient said it is postponing its earnings report a week.
Spokespeople did not return phone calls seeking comment.
Wall Street consensus has the firm pegged to deliver a $0.11 per share
loss on the quarter, Scient’s first of its fiscal year.
Last quarter, the firm posted a $0.38 per share loss on revenues of $21.7
million. Previously, executives have said they intend to reach breakeven by
second quarter.
Real Media, Sonata Team for Wireless Ads
Ad network Real Media and wireless marketing firm Sonata inked an
agreement Tuesday to jointly develop targeted advertising products for
mobile devices.
The two New York-based firms said they aim to provide advertisers with
location-based advertising to cell phones, taxi-tops, and PDAs. Through the
partnership, Real Media will sell Sonata’s wireless solution to its agency
and advertiser contacts. Real Media, which is owned by European media
placement powerhouse PubliGroupe, has handled ads for names like Ford, Honda
and Toshiba.