NetCreations Inc. (Nasdaq: NTCR) was down 7 3/8 at 13 1/2 early Tuesday after the company, which provides e-mail marketing services, said revenue and net income for the third quarter will be lower than previously expected.
Revenue will be in the range of $14 to $15 million, resulting in net earnings of 4 to 6 cents per share, NetCreations said. “The third quarter has been a difficult one for Internet advertising companies, and NetCreations is no exception,” noted Chairman and Chief Executive Officer Rosalind Resnick.
“Our revenues and earnings have been adversely affected by the decline in marketing-related expenses associated with our business-to-consumer dot-com customers as they are being forced to operate within increasingly tighter budgets in order to attain profitability,” Resnick said.
She added, “Given the historical strength of the fourth quarter and our growing business-to-business revenue mix, we are confident that our business is on track for the fourth quarter.