Acxiom to Take Loss in Fourth Quarter
Acxiom Corp.’s revenue will be below previously forecast levels, and it will take a loss in its fourth quarter, according to the company.
The Little Rock, AR data services firm anticipates loss of between $19.6 million and 23.2 million for the quarter. The company also foresees fourth-quarter 2003 revenue of $238 million, compared with $225 million during fourth quarter 2002. Acxiom took a non-cash write-off of between $35 and $40 million during the quarter.
Had the company not taken the write-off, its earnings would have been around $2.7 million for the quarter, according to a company statement.
“The war in Iraq and the continued deterioration of the U.S. economy caused a sharp drop-off in data sales as well as project-based and volume-based revenue in the quarter,” Charles D. Morgan, company leader, said in a statement.
Morgan continued, “While our fundamental value proposition remains outstanding and new contract signings were strong, we have seen more clients delay programs and projects and remain very conservative in all areas of discretionary corporate spending.”
Acxiom will release its fiscal 2003 earnings on May 14. The company’s fiscal year ended March 31.
