TheStreet: Losses Shrink While Subscriptions Grow
First-quarter revenues jump 13 percent to $10.4 million.
The first quarter was a mixed bag for the online-only financial news company TheStreet, Inc. The company saw its paid subscriptions increase 13 percent year-over-year, generating revenues of $10.4 million. Despite the gain the company still reported a net loss of $1.7 million, bringing company revenues to $12.6 million.
The subscription gain is attributed to the addition of The Deal, which the company acquired last September, in addition to the company netting new subscribers and newsletter subscriptions for the first time in two years, Elisabeth DeMarse, chairman, president and CEO of TheStreet Inc., tells FOLIO:.
‚ÄúWe‚Äôre really turning the corner in so many ways and we‚Äôre really pleased with the quarter,‚ÄĚ she says.
In addition to gains from subscriptions, average revenue per user increased 3.0 percent from the year prior. Though subscriptions were boosted for the company, the advertising or ‚Äúmedia‚ÄĚ category did not fair as well. TheStreet reported that its Q1 media revenue on the whole dropped by 40 percent year-over-year to $2.2 million.
In a statement, DeMarse says that she looks at this year as a year for a comeback: ‚ÄúIn 2013, we continued to execute our turnaround strategy, positioning the business for growth, optimizing the free site and modernizing our technology infrastructure.‚ÄĚ