UPDATE: Martha Stewart Posts Narrower-Than-Expected Q3 Loss, Revenue Misses View

Martha Stewart Living Omnimedia

reported a narrower-than-expected loss for the third quarter. The New York-based company posted a quarterly loss of $10.9 million, or $0.19 per share, versus a year-ago loss of $4.3 million, or $0.06 per share. Excluding special items, it lost $0.06 per share. Its revenue dropped to $29.8 million from $33.8 million. However, analysts were expecting a loss of $0.07 per share on revenue of $33.6 million. In the quarter, the company's publishing revenue dropped 18% to $15.98 million, while operating loss shrank to $6 million from $6.3 million. The merchandising segment's revenue dropped 3.3% to $13.7 million, while it posted an operating loss of $1.5 million versus a year-ago profit of $9.5 million. Its broadcasting revenue slipped 53% to $139,000 in the quarter, while it posted an operating loss of $0.04 million. Dan Dienst, Chief Executive Officer, said, "Results for the third quarter, which is seasonally our weakest quarter of the year, were in line with expectations but do not reflect the current transformation taking place at MSLO. Martha Stewart shares closed at $4.06 yesterday.