With losses ongoing, Motricity stock takes a beating

Motricity Inc. (MOTR) stock is down more than 53% after the company announced a $4.3 million loss in the recently closed quarter. While the company narrowed its losses from $11.6 million in the year-ago period, Wall Street continues to hammer the company for its continued setbacks, including a delayed acquisition of mobile advertiser provider Adenyo.
The Bellevue, Wash.-based company also announced that it would be replacing CFO Allyn Hebner and Jim Ryan, who served as chief strategy and marketing development officer.
Revenues for the second quarter were up 14% year-over-year to $34.6 million and 29% of total revenue came from outside the United States, it noted.
“Our financial results are below our expectations, due to headwinds in our North America carrier business, increased competition in the international market which impacted our ability to close new deals, and a later than expected closing of the Adenyo transaction,” CEO Ryan Wuerch said in a prepared statement. “We believe that Motricity continues to be well positioned to capture opportunities in the rapidly growing mobile technology sector based on our strong carrier relationships and an increasing presence in mobile marketing and advertising, and we are focusing on improving our sales execution to match that of our operations.”