AOL officially split, but revenue tumbles and ad sales anemic

AOL officially split, but revenue tumbles and ad sales anemic

Summary: When you have something like Batman: The Dark Knight to talk about it's safe to say that Time Warner doesn't want to yap a whole lot about AOL. There's a good reason for that: AOL revenue fell 16 percent in the second quarter and advertising revenue for the online unit was anemic, up 2 percent.

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When you have something like Batman: The Dark Knight to talk about it's safe to say that Time Warner doesn't want to yap a whole lot about AOL. There's a good reason for that: AOL revenue fell 16 percent in the second quarter and advertising revenue for the online unit was anemic, up 2 percent.

On the bright side, Time Warner (statement) did confirm that it is splitting AOL into two separate parts--access and advertising. One unit if not both will be offloaded.

AOL revenue fell 16 percent to $1.1 billion in the second quarter due to a 29 percent decline in subscription revenue. Advertising revenue was up 2 percent in the quarter. Time Warner said AOL's advertising revenue was helped by paid search and third party ads, but display advertising fell. Operating income fell 36 percent to $230 million. Time Warner appeared to provide less detail about AOL than it has in previous earnings statements.

Overall, Time Warner reported revenue of $11.6 billion in the second quarter, up 5 percent from a year ago. Films and cable fueled the results. The company had earnings per share of 22 cents a share, down from 25 cents a year ago.

Topics: Enterprise Software, Banking

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4 comments
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  • yep, more and more people are figuring

    out that AOL is a RIP OFF!!!!!!!!!!!!!!!!!!

    ;)
    stso9daa
  • RE: AOL officially split, but revenue tumbles and ad sales anemic

    I lost confidence in AOL a long time ago. The policies and practices of the site limit the usefulness of the service which has not been all that good in the first place. If I wanted someone to tell me where to go all the time and how to get there I would have listened to the spouse.
    knifequest
  • RE: AOL officially split, but revenue tumbles and ad sales anemic

    I think that AOL should be sold, maybe another company can rejuvenate it, staying with Time Warner it is going no place.
    flybot@...
  • RE: AOL officially split, but revenue tumbles and ad sales anemic

    I don't know why everybody seems to hate AOL so much. It has a lot of content, it's radio is great, and with AOL 9.1 you can do many things, including getting rid of (ahem) government filters, which it does very nicely, being of a self centered nature....
    If you have your own connection, the email is free-program is free...Who are you people?
    jjyar