ReachLocal reported widening losses and lower revenue on Tuesday.
The Woodland Hills Internet marketing company announced a net loss of $11.3 million (-40 cents a share) for the quarter ended Sept. 30, compared to a loss of $1.2 million (-2 cents) for the same quarter last year. Revenue fell 11.4 percent to $118 million.
Excluding one-time expenses, the company reported a net loss of 31 cents a share. Analysts on average expected a loss of 52 cents on revenue of $118 million, according to Thomson Financial Network.
Chief Executive Sharon Rowlands said the company made progress in its goal for profitable growth during the quarter, although those efforts were not reflected in the financial results.
“We believe we are positioned for a return to growth in the second half of next year,” she said.
The company also announced it has signed an agreement to acquire Kickserv, a Mill Valley provider of cloud-based business management software. Financial details were not disclosed.
Shares closed down 18 cents, or 4 percent, to $4.38 on the Nasdaq.
United Online Inc. reported third-quarter profits on Tuesday that missed analysts’ estimates.
The Woodland Hills internet service provider and social media site operator reported net income of $194,000 (1 cent a share) for the quarter ended Sept. 30, compared with a loss of $50.1 million ($3.78) in the same period a year ago. Revenue dropped 6 percent to $52.9 million.
Analysts on average expected net income of 26 cents on revenue of $53 million, according to Thomson Financial Network.
The third quarter results from last year included revenue from the FTD floral and gifts business that was spun off a year ago into a separate publicly traded company.
United Online’s communications division saw an increase in revenue of 4 percent to $25.3 million primarily on growth of its mobile broadband offering. The company will expand that service nationwide this month over Sprint’s 4G LTE Spark network.
Shares closed down 9 cents, or a fraction of a percent, to $11.59 on the Nasdaq.