TheStreet.com is looking somewhat worse for wear this morning; following its first-quarter earnings report, the company’s stock dropped over 15 percent.
Thomas J. Clarke Jr.
This number isn’t quite equal to the 19 percent decline in net income TheStreet experienced, so perhaps the company’s leaders should feel lucky. On the other hand, Jon C. Ogg notes, “The initial drop in earnings is so far being tied to the launch of MainStreet.com and other online sites for finance,” so it’s not (although MainStreet’s content is quite questionable) as if TheStreet just dropped money down a sewer.
Also, in terms of total revenue, TheStreet did nicely. It brought in a full $18.9 million, which represents a 31 percent rise.
“We began 2008 delivering on key strategic initiatives . . . to strengthen our position as the leading destination for ‘all things money,'” explained Thomas J. Clarke Jr., TheStreet’s chairman and CEO, in a statement.
He continued, “While the initiatives had a short-term effect on our quarterly earnings, we are encouraged by the strong demand from advertisers across TheStreet.com’s network of sites and services.”
Finally, recent development in TheStreet’s life is its acquisition of a stake in Geezeo. The $1.2 million price was paid after March 31st, so it didn’t affect first-quarter earnings, but it’s bound to have an impact on the company’s bottom line sooner or later.
