The Company reported net revenues of $16,691,151 for the third quarter 2000, an increase of 90% over third quarter 1999 net revenues of $8,782,009, and a sequential increase of 119% over the $7,625,152 reported during the second quarter of 2000. The net loss for the third quarter 2000 was $4,246,734 or $0.69 per share, compared with a net loss of $2,272,472, or $0.43 per share, for the third quarter of 1999, and sequentially, a 42 % decrease from the net loss of $7,340,185 reported in the second quarter 2000. However, EBITDA calculations for the third quarter 2000 operating loss were $1,348,737, a 68% decrease from second quarter 2000 EBITDA of $4,144,811. For the nine months ended September 30, 2000, GENI reported net revenues of $32,211,906, representing a 42% increase over net revenues of $22,647,443 for the nine months ended September 30, 1999. The net loss for the nine months ended September 30, 2000 was $16,720,064, compared with a net loss for the first nine months of 1999 of $1,640,989.
The reduction in operating losses is attributed to higher product sales in GENI’s traditional marketing units. In addition, while the Centerlinq consumer aggregation and advertising network continues to require substantial investment in equipment and programming talent, the major infrastructure development costs have been absorbed in previous quarters. Such investment included the creation of software and hardware necessary to support a centralized configuration for the entire network, software development to customize shopping programs for mall developers, increases in manpower to support the broad IT, programming and quality control needs of the network, and build-out of office and technical workspace; telephony, electrical and anti-static environments.
We are pleased with our third quarter results, as they reflect a substantial narrowing of losses when compared to previous quarters, and a 90% increase in revenues over the same period last year, stated Ramy El-Batrawi, Chairman and Chief Executive Officer of GenesisIntermedia.com, Inc. We’ve also been benefiting from the economies of scale that result from the pooling of programming, marketing and sales talent among our operating units. Generally, we are happy that we surpassed our expectations and targets for the quarter.
