AOL income soars in Fiscal Q1

Net income at America Online (AOL) soared in the first quarter of its 1999 fiscal year, reaching $US68 million, or 26 cents per share, for a whopping 255% increase over the same period last year. AOL has had notable prior problems keeping its service operating under the weight of users, but at the end of the first quarter of its current fiscal year the ISP had added 44% more modems -- or 875,000 -- compared to a year ago.

Net income at America Online (AOL) soared in the first quarter of its 1999 fiscal year, reaching $US68 million, or 26 cents per share, for a whopping 255% increase over the same period last year.

AOL reported net income a year ago of US$19.2 million or 8 cents per share. The strong first-quarter showing this year resulted from records for net income, total revenue and advertising and electronic-commerce revenue, and the addition of 951,000 new members, giving the ISP (Internet service provider) 13.5 million subscribers as of Sept. 30, AOL says.

The company's total revenue rose to $858.1 million, a 65 percent jump over a year ago. Subscription revenue hit $102.8 million, a 133 percent boost over last year's $44.1 million.

Members are staying online longer, averaging 47 minutes a day compared to 40 minutes a day during the same quarter of last year, AOL reported. Simultaneous usage during peak times rose to 789,000 members versus 462,000 last year.

AOL has had notable prior problems keeping its service operating under the weight of so many users, but at the end of the first quarter of its current fiscal year the ISP had added 44% more modems -- or 875,000 -- compared to a year ago.

AOL, in Dulles, Virginia, can be reached at +1-703-448-8700 or at http://www.aol.com/.

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