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Linktone Drops Financial Expectations
February 5, 2006 |
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Comments | Category: Wireless
Linktone says that its fourth quarter GAAP net income is expected to be lower than expected at approximately US$0.03 to US$0.04 per fully diluted American Depositary Share (ADS).
This compares to the company's previous guidance provided in its press release dated November 17, 2005 of approximately US$0.15 per fully diluted ADS.
The company plans to report its financial results for the fourth quarter and 2005 fiscal year on February 28, 2006.
For the 2005 fiscal year, Linktone expects GAAP net income of approximately US$0.43 to $US0.44 per fully diluted ADS, compared to the company's previous guidance of GAAP net income of approximately US$0.54 per fully diluted ADS.
Linktone attributes the decline to many factors including higher costs associated with the company's wireless value-added services, including in particular increased revenue share payments to content providers reflecting a greater percentage of its revenues derived from third party content-based services.
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