While year-to-year revenue and revenue compared to the same quarter last year was up, by 106% and 4.1% respectively, the company's fourth-quarter revenue was substantially off from the $48.1 million revenue it reported in the third quarter.
The company also reported a net loss of $677.1 million for the fourth quarter. Much of that total -- $500.2 million -- was attributed to a charge for the adjustment of intangible assets for the acquisitions of Sabela, iPromotions, and Exactis during the course of last year. Each of those companies had a specialty in the business of online marketing.
The company, which has been working on a strategic plan to bolster its business, said that it had established an equity credit line that will permit it to obtain up to $50 million over the next two years. The company said that it would report further parts of its plan in the near future.
The disappointing 24/7 Media results came on the same day that larger rival DoubleClick said it would lay off 10 percent of its worldwide staff, or approximately 200 people. That announcement, which was made in the context of a broader restructuring, was also attributed to the dismal condition of the online advertising market. Most of the cuts will come in the company's global media business, and DoubleClick said it expected to have 1,850 employees worldwide by the end of the first quarter.
Among other changes at DoubleClick were the creation of two networks of DoubleClick Media in the U.S., one serving branded sites and the other serving advertisers interested in audience reach and targeting. -- Catherine P. Taylor
Copyright March 2001, Crain Communications Inc.