As Napster’s base grows, loss shrinks
From Times Wire Reports
Napster Inc., the seller of music downloads and subscription services, reported a narrower second-quarter loss as its number of subscribers jumped 45%.
The net loss shrank to $5.1 million, or 12 cents a share, from $9 million, or 21 cents, a year earlier, the Los Angeles-based company said. The loss before some items beat the 16-cent average of analysts’ estimates compiled by Bloomberg. Quarterly sales rose 24% to $31.6 million.
Napster, which competes with RealNetworks Inc. and MTV’s Rhapsody America online music venture, had 750,000 subscribers at the end of the period.
Ahead of the earnings report, Napster shares rose 11 cents, or 3.4%, to close at $3.36. They lost 12 cents in after-hours trading.
