After a poor September quarter where it witnessed a doubling of net losses, Rediff.com, which is listed on the Nasdaq, has wrestled back to post a reduction of 37.2 percent in its net losses for the quarter ended December 2009. Net losses are also down 40.4 percent year on year to $1.64 million.
Revenues from India online business have registered a decent 17.9 percent rise in USD terms to post $3.63 million compared to $3.08 million in the September quarter. Rediff CEO Ajit Balakrishnan said online ad revenues improved with the cautious comeback of advertisers from the financial services and web industries who had stayed on the sidelines for the previous few quarters.
EBITDA Improves, Revenues Up 12.9%
Operating EBITDA has also improved to $1.13 million and the company has managed to reduce expenditure by 11.7 percent in the quarter to $4.44 million. Revenues have shown an increase compared to the previous quarter – total revenues of Rediff India and Rediff USA amounted to $4.73 million, which is a 12.9 percent rise from the September quarter though still 10.8 percent lower compared to $5.3 million posted in the December 2008 quarter.
Rediff now has 85 million registered users, which has grown 14% year on year. It plans to continue investing $1-1.5 million per quarter in the next 2 -3 quarters to maintain the momentum in user growth and, in turn, revenues in the future.