Business
Salon Media Group Reports Third Quarter Fiscal 2017 Results
Salon Media Group Reports Third Quarter Fiscal 2017 Results.
About this update from Salon Media Group Inc
[{"type":"text","content":"\n\n NEW YORK, Feb. 14, 2017 (GLOBE NEWSWIRE) -- Salon Media Group, Inc. (OTCQB:SLNM) today announced its results for the three and nine months ending December 31, 2016. \n Highlights: Transition from direct to programmatic advertising revenue continuesOriginal editorial video expanded during the quarter; finalist for prominent editorial awardNet revenue decreased to $1.2 million from $2.0 million in the same period last yearCapital restructuring completed ahead of private placement in January 2017 Net revenue for the period was $1.2 million, a decrease of 37% from the $2.0 million reported for the three months ending December 31, 2015. For the nine months ending December 31, 2016, net revenue was $3.5 million, a decrease of 34% from the $5.3 million reported for the nine months ending December 31, 2015. The decrease in revenue as compared to a year ago was a result of both a decline in direct advertising revenues as we shifted our advertising sales efforts to programmatic advertising, and a decline in traffic compared to the December 31, 2015 quarter that led to a reduction in inventory available for programmatic advertising sales. Operating expenses for the December 2016 quarter were stable at $2.2 million compared to $2.2 million for the same period last year. For the nine months ending December 31, 2016, operating expenses were $6.2 million, compared to $6.7 million for the same period last year. The decrease in operating expenses for the nine-month period resulted primarily from changes made to the advertising sales team to better match costs with revenue potential, and other cost-cutting measures. The company’s loss from operations for the December 2016 quarter was $5.4 million, compared to a loss of $0.3 million for the same period last year. The company’s loss from operations for the nine months ending December 31, 2016, was $7.1 million, compared to a loss of $1.4 million for the same period last year.   The large increase in loss was primarily a result of non-cash charges of $5.3 million related to the recognition of non-cash interest expense and a preferred deemed dividend related to the conversion of Preferred to Common shares and the issuance of debt that were associated with a private placement of preferred stock in January 2017. We have continued to roll out our strategy to produce origi...