At first glance, the second quarter results produced yesterday by Spyglass, the company that provides embedded web browsers and servers plus internet filtering software would appear to spell trouble with sharply declining revenues. But the second quarter of last year was artificially inflated by the $8m paid to the company by Microsoft Corp for the final sale of its ground- breaking Mosaic browser in January last year. Microsoft had been paying the company licensing fees for Mosaic, which is the basis of Internet Explorer, but it wanted to pay the remainder in one go. This time it came in with losses of $2.5m, against profits last time of $2.1m, which was after a $900,000 restructuring charge. Net losses in the first quarter were $3.6m. Revenues in the quarter fell year-on-year by 58% to $5.0m, but rose 18% from the previous quarter. First Call was looking for 20 cents loss and the company beat that, but only by a cent. Cash at the end of the quarter was $23.8m.
