Commerce One Inc. yesterday reported higher third-quarter revenue, but still posted a loss for the quarter, which ended Sept. 30.. The company, which provides software and services for business-to-business E-commerce, brought in $10.4 million and lost exactly the same amount for the quarter. That translates to a loss of 45 cents a share, compared with a loss of 69 cents a share in the third quarter of 1999. In the third quarter last year, which was before the company sold shares to the public, the firm had a pro forma loss of 65 cents per share and revenues of only $700,000. Revenue for the most recent quarter was up 147% over second-quarter revenue.
Prospects for Commerce One, which is trying put itself at the center of a global trading network linking corporate buyers and sellers, have been bright since the company pulled off a successful initial public offering of stock in July. The company's shares, which closed on the first day of trading at $61, ended Monday at $119, down $1.375.
There may be bumps ahead, however. Chief financial officer Peter Pervere noted in a conference call Monday that the average price for the company's BuySite software for corporate procurement is now $600,000, significantly lower than it has been in the past. He said it was too early to say whether reduced prices are a trend, but he did make a modest prediction concerning revenue for the rest of the year, saying: "We expect to see modest sequential revenue growth in our fourth quarter."
The company beefed up its customer list during the third quarter by adding 15 new firms, including corporate heavyweights BellSouth, Pepsi-Cola General Bottlers, Pitney Bowes, and Siemens Corp.