Coinstar's 1Q earnings drop as Redbox growth slows

Apr 25, 2013

(AP)—Coinstar's first-quarter earnings plunged 58 percent amid signs that its Redbox kiosks for DVD rentals are losing their appeal as more people switch to Netflix and other Internet video services.

The results announced Thursday still turned out better than analysts anticipated, despite Redbox's slowing revenue growth. That was enough to lift Coinstar Inc.'s 6 percent in aftermarket trading.

The company, which is based Bellevue, Wash., also disclosed plans to change its name to Outerwall. Management believes the new identity underscores the company's ambitions to push "the walls of retail into a new dimension."

Coinstar earned $23 million, or 78 cents per share, during the first three months of the year. That compares with $54 million, or $1.65 last year.

Revenue edged up 1 percent from last year to $575 million. Costs grew about 8 percent to $526.8 million.

Explore further: Oregon sues Oracle over failed health care website

5 /5 (1 vote)
add to favorites email to friend print save as pdf

Related Stories

Coinstar's stock soars on strong 4Q for Redbox

Feb 06, 2012

(AP) -- Coinstar's fourth-quarter earnings soared past analyst estimates as the company's Redbox kiosks for renting DVDs picked up customers who stopped getting their discs through Netflix's rival service.

Coinstar's 3Q earnings soar, Redbox prices to rise

Oct 27, 2011

(AP) -- Redbox's DVD rental kiosks are attracting movie lovers fed up with Netflix's video subscription service. But now Redbox's owner, Coinstar Inc., is risking its own customer backlash by raising its prices, the same ...

Verizon to set up streaming service with Redbox

Feb 06, 2012

Challenging Netflix, phone company Verizon Communications Inc. says it will start a video streaming service later this year in cooperation with Redbox and its DVD rental kiosks.

Paramount in trial deal to supply DVDs to Redbox

Aug 26, 2009

(AP) -- Movie studio Paramount Pictures is following the lead of Lions Gate Entertainment Corp. and Sony Corp. by agreeing to supply films to $1-per-night DVD rental kiosk company Redbox.

Expedia posts 1Q loss; says revenue rose 24 pct

Apr 25, 2013

Online travel agency Expedia Inc. is reporting a larger loss in the first quarter as its stock-based compensation, legal reserve and depreciation costs surged compared to a year ago. But its adjusted revenue and income surpassed ...

Netflix customers return in 4Q; stock soars 16 pct

Jan 25, 2012

(AP) -- Netflix has regained almost as many customers as it lost following an unpopular price increase, signaling that the video subscription service is healing from its self-inflicted wounds.

Recommended for you

Ahead of Emmys, Netflix already winning online

1 hour ago

Even if it doesn't take home any of the major trophies at Monday's Emmy Awards, Netflix will have already proven itself the top winner in one regard: Internet programming.

Oregon sues Oracle over failed health care website

12 hours ago

Oregon Attorney General Ellen Rosenblum says she's filed a lawsuit against Oracle Corp. and several of its executives over the technology company's role in the state's troubled health insurance exchange.

Google buys product design firm Gecko

12 hours ago

Google on Friday confirmed that it bought Gecko Design to bolster its lab devoted to technology-advancing projects such as self-driving cars and Internet-linked Glass eyewear.

Ticketfly buying WillCall for on-premise data

Aug 21, 2014

Ticketfly Inc., a San Francisco-based technology company among several posing a challenge to Ticketmaster, is acquiring WillCall Inc., a crosstown rival that turns your smartphone into a mobile wallet at live events.

HP revenue inches up after years of decline

Aug 20, 2014

Hewlett-Packard on Wednesday reported that its quarterly revenue rose for the first time in three years, nudged by improved computer sales everywhere except Russia and China.

User comments : 0