You will be redirected back to your article in seconds

Rev surge for Netco

MusicNet sale aids in RealNetworks' profits increase

Online media company RealNetworks saw fast growth in its music and games offerings last quarter, driving its swing into profit.

Company reported net income of $4.7 million, though that included a $7.6 million gain from the sale of its share in online musicstore MusicNet and litigation costs of $4.7 million in its anti-trust lawsuit against Microsoft. Excluding both figures, company made $1.7 million, still up markedly from a $4.6 million loss in the same quarter last year.

Revenue was $82.7 million, or $75.1 million excluding the MusicNet sale, up 15%.

Driven primarily by its subscription music service, Rhapsody, company saw music revenue rise 61% to $24.1 million. Online game subscriptions also grew significantly, with revenue up 63% to $13.6 million.

Growth in the online advertising biz helped boost its media revenue 22% to $8.2 million, while the company’s business-to-business division was up only slightly at $12.1 million.

RealNetworks now has more than 1.15 million subscribers to its music products, primarily Rhapsody, and more than 2 million subs overall for all its digital media offerings.

After closing up just 1% at $5.05 before earnings were announced, Real stock was up 12% in after-hours trading.

More Scene

  • 'Patrick Melrose' TV show premiere

    Benedict Cumberbatch Calls 'Patrick Melrose' His 'Passion Project'

    Online media company RealNetworks saw fast growth in its music and games offerings last quarter, driving its swing into profit. Company reported net income of $4.7 million, though that included a $7.6 million gain from the sale of its share in online musicstore MusicNet and litigation costs of $4.7 million in its anti-trust lawsuit against […]

  • 'Cobra Kai' premiere

    ‘Cobra Kai’: Why Ralph Macchio Revisited 'Karate Kid' Character After 30 Years

    Online media company RealNetworks saw fast growth in its music and games offerings last quarter, driving its swing into profit. Company reported net income of $4.7 million, though that included a $7.6 million gain from the sale of its share in online musicstore MusicNet and litigation costs of $4.7 million in its anti-trust lawsuit against […]

  • Jennifer LopezTime 100 Gala - Red

    Time 100 Gala: J. Lo 'Feels Naked,' Shawn Mendes Performs, Kesha Hugs Parkland Survivors

    Online media company RealNetworks saw fast growth in its music and games offerings last quarter, driving its swing into profit. Company reported net income of $4.7 million, though that included a $7.6 million gain from the sale of its share in online musicstore MusicNet and litigation costs of $4.7 million in its anti-trust lawsuit against […]

  • Robert Downey Jr'Avengers: Infinity War' film

    'Avengers: Infinity War' Premiere Draws Largest Contingent of Marvel Superheroes

    Online media company RealNetworks saw fast growth in its music and games offerings last quarter, driving its swing into profit. Company reported net income of $4.7 million, though that included a $7.6 million gain from the sale of its share in online musicstore MusicNet and litigation costs of $4.7 million in its anti-trust lawsuit against […]

  • 'The Week Of' film premiere

    'The Week Of' Director Talks Reuniting With Adam Sandler After 'SNL'

    Online media company RealNetworks saw fast growth in its music and games offerings last quarter, driving its swing into profit. Company reported net income of $4.7 million, though that included a $7.6 million gain from the sale of its share in online musicstore MusicNet and litigation costs of $4.7 million in its anti-trust lawsuit against […]

  • Beautycon Festival

    Laverne Cox, Paris Hilton Promote Self-Love at Beautycon NYC

    Online media company RealNetworks saw fast growth in its music and games offerings last quarter, driving its swing into profit. Company reported net income of $4.7 million, though that included a $7.6 million gain from the sale of its share in online musicstore MusicNet and litigation costs of $4.7 million in its anti-trust lawsuit against […]

  • Duke and Duchess of Cambridge

    The Duchess of Cambridge Gives Birth to Baby Boy

    Online media company RealNetworks saw fast growth in its music and games offerings last quarter, driving its swing into profit. Company reported net income of $4.7 million, though that included a $7.6 million gain from the sale of its share in online musicstore MusicNet and litigation costs of $4.7 million in its anti-trust lawsuit against […]

More From Our Brands

Access exclusive content