|
Network Solutions net up
|
 |
February 10, 1999: 8:14 a.m. ET
But results may be reminder of efforts to end domain registration monopoly
|
NEW YORK (CNNfn) - Network Solutions Inc., the Internet domain name registration company, says Wednesday it doubled its fourth-quarter revenue, net income and earnings per share from a year earlier.
But those results may be a mixed blessing, highlighting the fact that an effort is afoot to end the company's virtual monopoly on domain name registrations in the U.S. The effort is one reason for the recent tumble in the company's stock price.
The Herndon, Va.-based company says net income rose to $3.72 million, or 22 cents a diluted share, from $1.74 million, or 11 cents, a year earlier. The latest results are 2 cents a share above the consensus of analysts surveyed by First Call.
Revenue for the quarter surged to $31.26 million from $14.43 million.
The company says net registration of domain names rose by a record 621,000, more than double the 262,000 net registration gain of a year earlier and 21 percent more than the 507,000 net registration gain in the third quarter.
For all 1998, Network Solutions (NSOL) says net income more than doubled to $11.24 million, or 67 cents a diluted share, from $4.23 million, or 31 cents, in 1997. Revenue soared to $93.65 million from $45.33 million.
The total number of domains registered by Network Solutions -- the exclusive U.S. registrar of domain names with .com, .net, .org and .edu extensions -- rose to nearly 3.4 million by the end of last year from 1.5 million on Dec. 31, 1997.
But under a draft proposal issued by the federal government this week, smaller competitors would get more access to Internet domain registrations. That, coupled with the aftermath of a $779 million offering of the company's stock by controlling shareholder Science Applications International Corp., has sent the company's shares reeling.
Network Solutions shares closed Tuesday at 148, down 26-1/8, after dropping 23-5/8 Monday. The stock is now $22 below the secondary offering price. 
|
|
|
|
|
|
Network Solutions
|
Note: Pages will open in a new browser window
External sites are not endorsed by CNNmoney
|
|
|
|
 |
|
