RealNetworks continues to lose money, as the Seattle-based company posted a $20.8 million loss (58 cents per share) for the fourth quarter in 2014.
The Q4 loss follows a $22.2 million loss in the third quarter. RealNetworks posted revenue of $35.5 million in Q4, up from $34.2 million in Q3 but down year-over-year by 30 percent.
However, the company did beat Wall Street expectations for both EPS and revenue. Analysts expected an EPS of ($0.72) and revenue of $33.7 million.
RealNetworks also noted that it has more than 10 million users worldwide on its RealPlayer Cloud video sharing service, up 8 million last quarter and from 500,000 a year ago. Rob Glaser, founder and CEO of RealNetworks, said that his company made progress in 2014 “in our strategic transition to new mobile-centric, cloud-based products and services.”
“We are continuing to build on our early momentum with RealPlayer Cloud by investing to broaden and deepen the product,” Glaser said in a statement. “We are also working to bring in additional marketing and distribution partners to drive even more consumer adoption.”
Glaser was named the company’s permanent CEO last year in July, after holding the title on an interim basis for two years. RealNetworks, an early pioneer of online media, has struggled to find traction and profits in recent years. The company’s primary lines of business are its RealPlayer Group, Mobile Entertainment and Games, under its GameHouse brand.
RealNetworks expects revenue between $30 million and $33 million, and losses between $18 and $21 million, for the first quarter of 2015.
