Excite@Home (ATHM) - Get Autohome, Inc. Sponsored ADR Class A Report was down 16.7% in preopen Island trading after the ISP pushed back its profitability forecast and said it would have to raise more cash this year to stay afloat.
The company posted a second-quarter operating loss late Monday of 16 cents a share, in line with analysts' estimates but wider than the loss of 10 cents in the year-ago period. Sales for the quarter fell 7% to $138.6 million, while the number of subscribers to its high-speed Internet service reached 3,674,000, more than twice last year's mark of 1,708,000.
The company said it had $185 million in cash and expects to have to raise more by the end of the year, a change from its earlier assertion that it had enough money to make it to year-end. Excite@Home also said it now expects to achieve EBITDA profit by the fourth quarter of this year, instead of in the third quarter as forecast earlier.