One-Time Expenses Decimate Rentrak Profit

US multi-screen measurement specialist Rentrak has reported a 91% drop in fourth-quarter profit to $197,000, from $2.2m in the prior year period, resulting from $1.3m in costs relating to its acquisition of Nielsen EDI, as well as a number of one-time expenses.

For the full year ended March 31, 2010, consolidated revenues were $91.1m, versus $95.0m for fiscal 2009, while net income was down to $0.6m from $5.4m last year.

During the period, AMI (Advanced Media Information) revenues more than doubled to $6.9m from $3.3m, reflecting a partial-quarter contribution from Nielsen EDI, as well as revenues generated from the firm's Essentials suite of multimedia measurement services.

Revenues in the company's Pay-Per-Transaction (PPT) division were slightly down to $18.1m from $19.0m for the fourth quarter of fiscal 2009.

Overall, gross margin improved to $10.4m, compared with $8.7m for the same period last year.

Operating expenses for the fiscal 2010 fourth quarter increased to $10.6m from $6.8m in last year's fiscal fourth quarter because of one-time items, as well as $0.9m in non-cash stock compensation expense.

'Our AMI division grew exceptionally well this quarter and represents almost 28% of our total revenue and is now roughly half of our gross margin dollars,' stated CEO Bill Livek. 'With many new customers now utilizing our suite of multimedia measurement services, we are cementing our marketplace position by successfully establishing new metrics and a new database currency to help our customers increase their revenue and profits.'

Operating loss for fiscal 2010 was $0.9m, compared with operating income of $5.2m in fiscal 2009.

Web site: www.rentrak.com .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.

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