Aether Systems Inc. reported another financial loss with a dip in revenue for the quarter ended June 30, underscoring the company’s struggles.
In its second-quarter results, the company said it incurred a net loss of $49.8 million, or $1.14 per share, compared with a loss of $14.7 million, or 35 cents per share in the second quarter of 2003.
Its revenues also fell for the quarter to $12.4 million, as against $14.5 million in the year-ago period.
“Excluding the impairment charges, operating expenses remained significantly lower than they were last year and roughly flat as compared to last year,” said David Reymann, Aether’s chief financial officer. “The lack of revenue growth and the slight decline in gross margin that we saw in the second quarter in both business segments were understandable given the uncertainty that has surrounded these businesses as we have moved through the completion of our strategic activities.”
Last month, Aether said it would sell its transportation division to an affiliate of Platinum Equity for $24 million in cash and that it was in discussions with potential buyers to sell its remaining wireless division, the Mobile Government Division. The company said it plans to focus on mortgaged-backed securities with a $75 million financial commitment.
At one point, Aether was a wireless Internet darling, with stock trading at upward of $300.
