Netscape Q3 revenues reach $US150.2 million

Netscape Communications has reported third-quarter net income of $US88,000, or zero cents per share, on revenues of $150.2 million, an 10% increase over revenues for the same quarter last year. CEO Jim Carksdale says the company is seeing 'strong momentum' in both its Enterprise software and Netcenter businesses.

Netscape Communications has reported third-quarter net income of $US88,000, or zero cents per share, on revenues of $150.2 million, an 10% increase over revenues for the same quarter last year.

For the three months ended June 30, 1997, Netscape reported a net loss of $44.69 million, or loss of 53 cents per share, on revenues of $135.97 million.

For the third quarter this year, which ended July 31, Netscape's Enterprise software and services business grew 16%from the previous quarter to $111.6 million, while revenue from Netscape Netcenter rose 24 % during the quarter to $38.7 million.

Netscape's operating margin improved by 6.5 points for an operating loss of $2.1 million for the quarter, compared to an operating loss of $10.1 million for the preceding quarter ended April 30.

For its second quarter, Netscape basically broke even, reporting $127.2 million in revenues and net income of $8,000 in net income, or zero cents per share.

Company executives are pleased, overall, with the results, Jim Barksdale, president and chief executive officer, said in a statement.

"We're seeing strong momentum in both the Enterprise software and Netcenter businesses as demonstrated by the number of significant customer wins announced during the quarter including Ford, Visteon, Digital Equipment Bay Networks, Fujitsu, Citibank , America Online, Excite, LookSmart , Lycos, Infoseek and AltaVista," he said.

Netscape also announced that Bill Campbell, chairman of the board of directors at Intuit Inc., will join Netscape board of directors, replacing John Warnock, chairman and CEO of Adobe Systems. Campbell is also on the board of directors of Apple Computer.

Netscape was predicted to see a loss per share of 2 cents, according to analysts polled by First Call.

Netscape stock closed at $32.125 today, up $1.81 on the Nasdaq exchange.

Netscape's share of the browser market declined during the first half of 1998 from 61% in January to 52.2% in June, according to a usage study conducted by AdKnowledge.

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