RealNetworks posted a stronger earnings report than expected on Monday, showing a net loss of $21.2 million on revenue of $30.8 million. That comes out to a loss of 59 cents per share, up from the 77 cent loss analysts anticipated.
The company’s bottom line was slightly improved over the same time last year, but overall revenue declined nearly 10 percent.
Monday’s report was a sliver of a silver lining for a company that has struggled for years and just last week slashed 10 percent of its workforce as part of ongoing cost-savings initiatives.
RealNetworks, founded by Rob Glaser in 1994, was once a household name and a pioneer in the online video arena. But its technology has since become obsolete, and the company continues to look for its next hit.
Glaser officially returned as the company’s CEO last year and has been working ever since to rebuild RealNetworks around new products, namely the RealTimes app that automatically selects the best photos and videos from a user’s collection.
The company announced a partnership last week to integrate RealTimes with Verizon’s cloud, something the company called a “potentially huge” opportunity to get the app in front of Verizon’s 30 million users.
“Our RealTimes go-to-market strategy to leverage mobile carriers and other partners is gaining traction,” Glaser said in Monday’s earnings release. “Our new collaboration with Verizon, the largest mobile service provider in North America, is a major step forward that will drive both revenue and distribution for RealTimes.”
Next quarter, the company told investors it expects revenue to climb to somewhere between $26 and $29 million.
RealNetworks stock is trading down 4 percent on Monday to $4.21. Since the start of 2015, the stock has dropped more than 40 percent.
