RealNetworks 4Q Down, But Music Up
February 13, 2009 at 2:22 PM (PT)
REALNETWORKS reported a mixed bag of financials. While revenue grew 7% in 2008, including an 8% bump in music revenue, its Q4 revenues declined 3% to $152.6 million, which led to a net loss of $240.5 million, Charges for goodwill impairment and job cuts were also responsible for soft 4Q.
Things don't look much better for the first part of 2009, as RealNetworks predicts overall revenue to decline sequentially and year over year -- even with a rise in music revenue. That will be overwhelmed by revenue dips in media software, services and technology products and solutions, with flat games revenue.
Nevertheless, CEO ROB GLASER told REUTERS that REALNETWORKS has the resources to grow through acquisitions in 2009. "We see a tremendous amount of opportunities and are being very selective. We'll be both very active in looking and selective in picking," he said. "I would say that we're open-minded in terms of size. There are more conversations going on now than most any time I remember." he said.
Shares of REALNETWORKS fell to $2.94 in after-hours trade after closing at $2.98, up 4 cents on NASDAQ.