Netscape reports earnings twice Wall St. expectations

Article Abstract:

Netscape Communications' net income totaled $4.7 million for 1st qtr 1996 on revenues of $55 million, generating dividends of six cents per share, twice what analysts had predicted. Netscape attributed the results to increasing sales to the corporate sector and a growth in international sales. Netscape is widely known for its free Web browser, but the company also sells a variety of server software, which can be used to maintain a corporate intranet. On an intranet, Netscape software allows businesses to compile an informal database that is easily accessible by nontechnical employees. Analysts say the company's results prove Netscape remains a leader in the Internet field and that it has a viable strategy, even in the face of intense competition from Microsoft. Netscape's stock rose $3.875 to close at $61.75 on Apr 23, 1996 in anticipation of the announcement, and it traded as high as $64 in after-hours trading.

Communications Software Pkgs (Micro), Company Sales/Revenue, Company Earnings/Profit

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Netscape reports losses, and its shares tumble

Article Abstract:

Netscape shares dropped by nearly 21% after the company said it would report net losses of between $85 million and $89 million the 4th qtr 1997, as well as losses for 1997 overall. The quarterly losses include $52 million in merger-related charges and $35 million in restructuring costs. By comparison, analysts expected the company to earn 14 cents a share, according to First Call. Netscape expected 4th qtr 1997 revenues to range from $125 million to $130 million, which would represent about a 9% to 13% increase from the 4th qtr 1996's total of $115 million. The company's shares plunged by $4.8125 to $18.5625 in Nasdaq trading. Netscape blamed the performance on a drop in sales of its flagship Navigator browser software, which is facing aggressive competition from Microsoft's free Internet Explorer browser. Netscape also accused Microsoft of distorting the Web browser market.

Computer Software, Software, Securities, Company losses, Company securities

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Netscape sells an 11% stake to investors

Article Abstract:

Netscape Communications Corp, a privately-held startup firm offering Internet access software, announces that it has sold an 11% stake in the company to a group of private investors including Knight-Ridder, Tele-Communications Inc, Times Mirror Co, the Hearst Corp and Adobe Systems. Netscape was founded in 1994 by James H. Clark, who formerly founded and served as chairman of Silicon Graphics. In his current venture, Clark is contributing his own financial backing and is also being financed by the venture-capital firm of Kleiner Perkins Caufield & Byers. Industry analysts report that Netscape's Navigator browser is the most popular program for accessing the Internet's World Wide Web hypertext segment. It is distributed free to users and sold to companies serving as Web sites at a price ranging from $1,500 to $5,000.

Database Mgmt Software Pkgs (Micro), Planning, DBMS software, Company business planning

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