Phoenix New Media Reports Net Loss in Challenging Quarter
Phoenix New Media Ltd. (NYSE: FENG), which provides media content, reported losses for the second quarter amid a "challenging" macroeconomic environment.
For the three months through June, the company said its revenue rose 9 percent to $57.5 million. Net loss, meanwhile, was $10.2 million, or 14 cents per American depositary share, in contrast to an income of $7 million, or 10 cents per ADS, in the same period last year.
"Despite a challenging macroeconomic environment during the second quarter of 2019, we remained committed to the sustained growth and evolution of our business," Shuang Liu, the chief executive officer of Phoenix New Media, said in the statement.
Liu added that the company is looking to diversify its revenue sources and that he is optimistic about future growth.
He said, "During the second quarter, we continued to refine our combination of AI-powered content recommendation and seasoned editorial curation. Moreover, we further expanded our market-leading content library, which allowed us to explore additional monetization opportunities. Going forward, we are confident that our robust content recommendation system, premium brand equity, and innovative growth initiatives will further solidify our leadership in China's new media industry."
Looking ahead, the company said it expects to generate revenue of between $52.9 million and $55.7 million for the third quarter.
The stock of Phoenix New Media closed up nearly 3 percent on Monday, at $2.78 per share.
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