Hyderabad-based Internet company Lycos (formerly Ybrant Digital) has reported digital marketing revenues of Rs 473.19 crore for the quarter ended September 2016 (Q2 FY17). This represented a rise of 3.23% from the same quarter last year and an increase of 11.91% on a sequential basis.
But on a standalone basis the company’s digital marketing segment reported a revenue of Rs 2.57 crore, a decrease of 32.5% from 3.81 crore in the previous quarter, and 41.3% from 4.38 crore in the same quarter last year. The segment reported a profit before tax of Rs 152.57 crore in the quarter, an increase of 9.39% and a decrease of 6.01% on a year-on-year basis. On a standalone basis, the segment reported a profit before tax of Rs 0.64 crore, up 15.4% sequentially from 0.56 crore.
Overall, the company reported consolidated revenues of Rs 588.52 crore for Q2 FY17, an increase of 10.66% quarter-on-quarter (QoQ) and 4.15% YoY. Overall, digital marketing revenues contributed 80.4% to Lycos’ consolidated operational revenue.
Software development revenue: Revenue from the software development business (standalone basis) increased marginally, with the segment reporting revenue of Rs 115.3 crore in Q2 FY17, from Rs 111.1 crore in the corresponding quarter last year.
Operational highlights: LYCOS launched the LYCOS Sports app this quarter, which will include news and game reporting on professional sports, specific teams and key players. The company also introduced several new features to its Brightcom product, including adding an ad management platform called Compass.
Wearables: In 2015, Lycos launched Lycos Life, a line of wearable devices that include a smart wristband and a finger ring. The devices are priced at $124.99 for the wristband and $59.99 for the ring. Lycos added that it has started a campaign for advertising the product on Facebook and has started pushing sponsored content.
JV with Apollo: In September 2015, Lycos formed a joint venture with Apollo International to provide solutions to global brands in deploying custom e-commerce platforms targeting Indian consumers. The new venture is called Apollo Lycos Netcommerce. The new company promotes Apollo’s brands online, provide digital marketing of their products and services, drive engagement and sign ups, fulfill orders, ensure data security and consumer privacy, inventory tracking and management, order delivery and reverse logistics.