Quote from Ajit Balakrishnan in fifth graph has been revised.
The corrected release reads:
REDIFF.COM REPORTS RESULTS FOR THE FIRST QUARTER ENDED JUNE 30, 2013
Rediff.com, one of the premier online providers of news, information, communication, entertainment and shopping services to Indians worldwide, today announced results for its first quarter ended June 30, 2013.
The Company reported overall revenues for the 2013 first fiscal quarter of $4.11 million, a 12% increase as compared to $3.67 million reported in the 2012 first fiscal quarter.
For the three months ended June 30, 2013, the Company reported revenues from India Online of $3.37 million, an increase of approximately 21% over the corresponding quarter last fiscal year. Total India revenue, which includes online advertising revenues of $2.19 million and fee-based revenues of $1.18 million, increased approximately 14% and 27%, respectively as compared to the three months ended June 30, 2012. Within India fee-based revenue, fees from Online Marketplace grew 78%. Offsetting this growth were lower sales from the U.S. Publishing business, as the Company reported sales of $0.74 million as compared to $0.88 million for the comparable 2013 and 2012 fiscal first quarters.
“Amidst continued challenging economic conditions and the pressures of a weakening Rupee vs. the U.S. dollar, we have maintained a strong market presence throughout India and have seen many of our newer initiatives grow; particularly our online and local TV advertising business, as well as in Online Marketplace and Enterprises Email,” said Ajit Balakrishnan, Chairman and Chief Executive Officer of Rediff.com.
Mr. Balakrishnan added, “Our gross margins this quarter were 44%, compared to 32% for the same quarter last fiscal year. Additionally, in our Online Marketplace business, we successfully maintained a 12% positive product margin for the quarter and we continue to add vendors and SKU’s to our offering. I believe our concentrated efforts on conserving cash will take us a step closer towards profitability, especially as our margins increase and our top-line grows.”