Gemstar-TV Guide International Inc., which is set to be acquired by Macrovision Corp., swung to a fourth-quarter loss as a series of charges cut into profits.
The Los Angeles-based provider of interactive TV listings reported a loss of $1.5 million (less than 1 cent per share), compared to a profit of $31.8 million (7 cents) the same period a year earlier. Wall Street was expecting a profit of 1 cent per share, according to a poll by Thomson Financial.
Gemstar said it booked marketing charges related to a national brand campaign of $12.4 million; depreciation charges of $10.7 million and a $4.2 million charge related to the auction that led to the Macrovision's $2.7 billion acquisition. The deal is expected to close early in the second quarter.
Revenue rose 7 percent to $156 million but fell short of the $162 million expected by analysts.
For the year, profit more than doubled to $177 million (41 cents per share), and revenue rose 10 percent to $628 million. The gain was attributed to increases in the company's technology unit, as revenue from the company's publishing sector fell 6 percent year-over year.
Shares in Gemstar rose 1.3 percent to $4.70 in afternoon trading Friday on the Nasdaq.
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