Lycos Europe revenues stable in 9 months 2007

Lycos Europe N.V., one of the leading European portal providers and online advertisers, has published its unaudited condensed consolidated interim financial statements for the first nine months of 2007.

Revenues of EUR 58.4 mln generated during the first nine months of 2007 remained stable compared to the reference period in 2006. The EBITDA for the first nine months of 2007 amounted to EUR -12.9 mln (2006: EUR -3.4 mln). Decreasing advertising revenues, a margin decrease in the Shopping business, an increase in cost of revenues and additional marketing initiatives for Lycos iQ are the main reasons for this development.

Cash, cash equivalents and other investments amount to EUR 159.9 mln as atSeptember 30. The cash ratio of 4.4 (cash, cash equivalents and other investments divided by total liabilities) shows the continuous strong financial position of Lycos Europe.

The ongoing product offensive and marketing initiative will result in a similar cost level during the coming months, the company announced The increase in revenues is not expected to cover this cost level and therefore, the company calculates also with an operating loss for the fourth quarter of 2007.
Lycos Europe is one of the leading European portal providers and online advertisers operating a network of websites in seven languages in Europe and the USA. The company’s combination of search, communication services, online communities, content channels, Internet access, shopping, homepage building and domain names registration addresses a wide range of target groups.