On Nov. 8, Napster (NASDAQ:NAPS) released second-quarter earnings for the period ended Sept. 30, 2006.

  • Napster's unique site visitation grew by 42% in the quarter.
  • It has a total paid subscriber base of 518,000, including 31,000 university subscribers.
  • Loss of $0.21 per share was an improvement over last year. Napster has not made a profit since 2002.
  • Napster carries a one-star rating in Motley Fool CAPS.

(Figures in thousands, except per-share data)

Income Statement Highlights

Q2 2007

Q2 2006

Change

Sales

$25,460

$23,379

8.9%

Net Profit

($9,002)

($13,612)

N/A

EPS

($0.21)

($0.32)

N/A

Diluted Shares

43,197

42,977

0.5%



Get back to basics with a look at the income statement.

Margin Checkup

Q2 2007

Q2 2006

Change*

Gross Margin

27.2%

21.8%

5.5

Operating Margin

(37.7%)

(58.9%)

21.2

Net Margin

(35.4%)

(58.2%)

22.9

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q2 2007

Q2 2006

Change

Cash + ST Invest.

$90,318

$127,599

(29.2%)

Accounts Rec.

$1,283

$1,553

(17.4%)



Liabilities

Q2 2007

Q2 2006

Change

Accounts Payable

$5,226

$5,224

0.0%

Long-Term Liabilities

$120

$188

(36.2%)



Learn the ways of the balance sheet.

Cash Flow Highlights*

YTD 2007

YTD 2006

Change

Cash From Ops.

($15,768)

($27,258)

N/A

Capital Expenditures

$521

$1,572

(66.9%)

Free Cash Flow

($16,289)

($28,830)

N/A

*from the 10-Q

Find out why Fools always follow the money.

Related Companies:

  • Apple (NASDAQ:AAPL)
  • Warner Music Group (NYSE:WMG)
  • RealNetworks (NASDAQ:RNWK)

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Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check Fool.com for more of our in-depth discussion of what the numbers mean. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.