In its first publicly reported earnings result since going public in May, ChannelAdvisor Corp, a provider of cloud-based solutions for online retailers focused on the customer acquisition arena, widened its second-quarter net loss to $5 million, or 56 cents a diluted share, from a loss of $2.8 million, or $2.39, last year. Net revenue rose 29 percent to $16 million from $12.4 million.
The company added 138 customers in the quarter, with the total count now at 2,135, or a 17 percent gain, from 1,830 a year ago. The company said fixed subscription fees were 67 percent of total revenue, and variable subscription fees were 33 percent of total revenue. The ChannelAdvisor platform was integrated with several new marketplace channels including Amazon Italy, Amazon Spain, La Redoute in France and Rakuten Play.com in the U.K.
The ChannelAdvisor platform allows for merchandise sales across online channels including Amazon, Google, eBay, Bing, Groupon and Facebook. Some of its customers include Ann Taylor, Dooney & Bourke, Jos. A. Bank Clothiers and Under Armour.
Scot Wingo, chief executive officer, explained that the company helps retailers and marketplace channels such as eBay and Amazon acquire customers via “paid searches and comparison-based shopping searches.” Customers commit to paying a fixed monthly fee based on an agreed upon sales base. In addition, when sales are higher than the base sales figure, customers then pay a variable fee on difference between the higher sales number and the base amount.
The company raised more than $80 million when it went public on May 23. Shares closed at $19.86 in Big Board trading Wednesday.