AOL Time Warner yesterday reported losses of $1.1 billion for the last quarter of 2000.
The company said it expected its wide array of products and well-known brands to fuel revenue growth of approximately 15 per cent in 2001.
For the year 2000 the company lost $4.38 billion, or $1.02 per common share, compared to $2.45 billion in 1999.
Revenue up Revenue at AOL Time Warner rose 8 per cent to $10.23 billion for the fourth quarter and 11 per cent to $36.21 billion for the year.
The hefty loss can partly be attributed to merger costs. The AOL Time Warner merger was completed on January 11.
Company executives said they expect to meet its previously announced targets for 2001 – more than $40 billion in revenue and $11 billion in gross earnings. They also forecasted cash earnings per share to grow 25 per cent to 30 per cent for the full year. The executives also said the company's revenue for 2001 is expected to grow by 12 to 15 per cent.
AOL Internet AOL Time Warner reported all-time records in revenue, operating income, gross earnings and membership growth for its AOL Internet business.
Net income in its second quarter excluding one-time events climbed 67 per cent to $365 million, or $0.15 per diluted share, compared to $219 million last year. The earnings per share beat the consensus estimate of 23 analysts - polled by First Call/Thomson Financial - by a cent.
The flagship AOL online service welcomed 2.1 million new subscribers in December, over 1.2 million in the US and 850,000 elsewhere, a record according to the company. For the year, AOL added 6.2 million members. At year's end the subscriber counter stood at 26.7 million.