Digital River 3Q Profit Falls

MINNEAPOLIS (AP) — Digital River Inc., which helps companies sell stuff on the Internet, said Tuesday that third-quarter profit fell and it was still figuring out a response to the loss of a key contract.

The company said it earned $11 million, or 29 cents per share, in the third quarter, compared with $15.6 million, or 39 cents per share, a year earlier. Revenue was $99.4 million, compared with $96.3 million a year ago.

Adjusted to exclude special items, the company said it would have earned $15.9 million, or 42 cents per share, compared with $19.2 million, or 46 cents per share last year.

The figures were higher than management's forecast of between 38 cents and 41 cents per share. Analysts had predicted 41 cents per share on revenue of $394.5 million.

CEO Joel Ronning said revenue was rising for software, consumer electronics and games. Digital River said it was still working on a response to Symantec's decision to stop using the company for its e-commerce needs at the end of June 2010.

Shares of Digital River rose 10 cents to $22.32 in regular trading, then fell 32 cents to $22 in extended trading after the release of financial results.