Table of Contents
Quarterly Results of Operations (Unaudited)
The following table presents a summary of our unaudited consolidated results of operations for the eight quarters ended December 31,
2001. The information for each of these quarters has been prepared on a basis consistent with our audited consolidated financial statements.
You should read this information in conjunction with our consolidated financial statements and notes thereto included elsewhere in this Annual
Report on Form 10 K. The operating results for any quarter are not necessarily indicative of results for any future period.
The consolidated financial statements for 2000 give retroactive effect to the acquisitions of Go2Net, Inc., and Prio, Inc., which have been
accounted for on a pooling of interests basis as described in Note 7 to our consolidated financial statements.
March 31,
June 30,
September 30,
December 31,
March 31,
June 30,
September 30,
December 31,
2000
2000
2000
2000
2001
2001
2001
2001
(in thousands except per share data)
Revenues
$ 38,778
$ 50,486
$
59,804
$
65,462
$ 46,565
$ 50,942
$
33,051
$
31,363
Cost of Revenues
6,134
8,109
10,293
11,091
11,721
10,614
9,460
10,046
Gross Profit
32,644
42,377
49,511
54,371
34,844
40,328
23,591
21,317
Operating expenses:
Product development
6,951
9,507
10,155
14,011
11,787
10,569
9,051
7,934
Sales, general and
administrative
25,871
30,827
34,819
39,564
36,127
31,651
27,694
22,861
Amortization and impairment
of intangibles
28,010
40,636
47,434
64,208
63,897
59,107
157,140
64,299
Acquisition and related charges
86,397
202
7,609
29,790
889
111
(4,504 )
Other charges
4,732
(50 )
217
1,660
9,678
Restructuring charges
2,171
151
1,717
(62 )
13,755
1,982
Total operating expenses
147,229
83,343
100,017
152,456
114,367
101,593
204,796
106,754
Loss from operations
(114,585 )
(40,966 )
(50,506 )
(98,085 )
(79,523 )
(61,265 )
(181,205 )
(85,437 )
Gain (loss) on investments
23,597
(8,447 )
(6,677 )
(9,061 )
(47,599 )
(14,099 )
(26,753 )
(19,707 )
Other income, net
7,584
7,123
7,124
5,851
5,983
4,580
3,764
3,035
Minority interest
(9,842 )
3,445
2,154
1,072
(17 )
Income tax expense
(18 )
(6 )
(62 )
(51 )
(50 )
(137 )
(557 )
80
Cumulative effect of change in
accounting principle
(2,056 )
(3,171 )
Net loss
$ (95,320 )
$ (38,851 )
$
(47,967 )
$
(100,274 )
$ (124,377 )
$ (70,921 )
$
(204,751 )
$
(102,029 )
Basic and diluted net loss per
share
$
(0.33 )
$ (0.13 )
$
(0.16 )
$
(0.32 )
$
(0.38 )
$ (0.22 )
$
(0.64 )
$
(0.33 )
Shares used in computing basic
and diluted net loss per share
289,461
303,992
308,996
315,301
323,299
325,027
320,721
304,713
March 31,
June 30,
September 30,
December 31,
March 31,
June 30,
September 30,
December 31,
2000
2000
2000
2000
2001
2001
2001
2001
Revenues.
100.0 %
100.0 %
100.0 %
100.0 %
100.0 %
100.0 %
100.0 %
100.0 %
Cost of Revenues
15.8
16.1
17.2
16.9
25.2
20.8
28.6
32.0
Gross Profit
84.2
83.9
82.8
83.1
74.8
79.2
71.4
68.0
Operating expenses:
Product Development
17.9
18.8
17.0
21.4
25.3
20.7
27.4
25.3
Sales, general and
administrative
66.7
61.1
58.2
60.4
77.6
62.1
83.8
72.9
Amortization and impairment
of intangibles
72.2
80.5
79.3
98.1
137.2
116.0
475.4
205.0
Acquisition and related charges
222.8
0.4
12.7
45.5
1.9
0.2
(13.6 )
Other charges
7.2
(0.1 )
0.4
5.0
30.9
Restructuring charges
4.3
0.2
3.7
(0.1 )
41.6
6.3
Total operating expenses
379.7
165.1
167.2
232.9
245.6
199.4
619.6
340.4
Loss from operations
(295.5 )
(81.1 )
(84.5 )
(149.8 )
(170.8 )
(120.3 )
(548.3 )
(272.4 )
Gain (loss) on investments
60.9
(16.7 )
(11.2 )
(13.8 )
(102.2 )
(27.7 )
(80.9 )
(62.8 )
Other income, net
19.6
14.1
11.9
8.9
12.8
9.0
11.4
9.7
Minority interest
(25.4 )
6.8
3.6
1.6
0.0
Income tax expense
0.0
0.0
(0.1 )
(0.1 )
(0.1 )
(0.3 )
(1.7 )
0.3
Cumulative effect of change in
accounting principle
(5.3 )
(6.8 )
Net loss
(245.8 )%
(77.0 )%
(80.2 )%
(153.2 )%
(267.1 )%
(139.2 )%
619.5 %
(325.3 %)
<
New Page 1
Interland Web Hosting