Homestore.com Lowers Fourth-Quarter Outlook

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Homestore.com (HOMS) said its third-quarter loss narrowed but warned its fourth-quarter loss would be much wider than expected.

The Westlake Village, Calif., online firm said it lost $6.9 million, or 6 cents a share, on a pro forma basis in the third quarter, compared with a loss of $19.8 million, or 19 cents a share, a year ago. Revenue rose to $116.1 million from $86.9 million a year ago.

But the company expects to lose between 30 cents and 38 cents a share in its fourth quarter before a number of charges, compared with a consensus profit estimate of 1 cent a share. Homestore.com plans to take a charge between $50 million and $100 million in the period related to a business realignment.