Sedo Lowers Revenue Forecast | DomainInvesting.com

Sedo Lowers Revenue Forecast

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On October 23, 2013, Sedo issued a financial news release with information about the first nine months of the year and its forecast for the remainder of the year. The full release can be found and read on the DGAP website.

Posted below are three pieces of information disseminated in the news release that domain investors may wish to note. I recommend checking out the full release for all of the details since it’s more beneficial to read the entire update rather than just the three snippets I’ve called out below.

  • “Sedo Holding AG achieved 5.5% growth in sales revenue to EUR 104.1 million in the first nine months of 2013.”
  • “In the Domain Marketing segment, sales revenue totalling EUR 20.8 million was generated in the first nine months of 2013, representing a 13.3% year-on-year decline compared with the previous year’s EUR 24.0 million. This drop in the Domain Marketing segment reflects the domain parking market’s overall downtrend.”
  • “Given the significantly-below-budget 5.5% revenue growth during the first nine months of 2013 and the worsening prospects for the fourth quarter of 2013 as a consequence of the structural changes in the way that partner programs in the major customer business in Affiliate Marketing are invoiced, the Company can no longer retain its existing revenue forecast.”

Make of it what you will, but I wanted to pass this news along to you. Just FYI, EUR 104.1 million is nearly $144 million USD based on today’s EUR to USD exchange rate.


About The Author: Elliot Silver is an Internet entrepreneur and publisher of DomainInvesting.com. Elliot is also the founder and President of Top Notch Domains, LLC, a company that has sold seven figures worth of domain names in the last five years. Please read the DomainInvesting.com Terms of Use page for additional information about the publisher, website comment policy, disclosures, and conflicts of interest.


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Comments (6)

    Jeff Schneider

    Hello Elliot,

    Could Sedos revenues be subsiding due to current domain name holders hesitating to sell in the current market? Are they locking their assets in a vault much as dBeers does with diamonds? The Smart money is taking Rick Schwartzs advice and not selling themselves short with impatience. The Smart Money is waiting patiently for superior future valuation levels,which will be driven by the massive .whatever cash infusions,coming into the Domain Name Money Pool. Just Maybe ?

    Gratefully, Jeff Schneider (Contact Group) (Metal Tiger)

    October 25th, 2013 at 2:00 pm

    CCC

    I’d say most of these numbers reflect a poorly run company and is not a measure of the health of the domain sales market.

    Almost every domain investor I have spoken with has talked about how domain sales were on fire this past Summer, which has never happened in all the years of domain sales, meaning the summer was a hot period unlike previous years. Typically the summer is the slow season — not this year. The dam broke, IMO, and sales were and are coming in at a really fast clip now.

    Sedo’s inaction has let the company crash — same bad policies, same poor interface, same crappy parked pages, etc…. What did they expect?

    Many domainers, like me, pulled 100% of their inventory. I pulled mine last year after getting tired of Sedo’s sh*t. They never listened to complaints about their platfrom.

    October 25th, 2013 at 2:00 pm

    BullS

    Many domainers, like me, pulled 100% of their inventory…..

    done long ago and I have more sales than I can handle.

    October 25th, 2013 at 2:04 pm

    Jeff Schneider

    Hello CCC

    We are not talking about intermediate to low valuation .COM Properties.

    We are talking about the franchise building, Quality .COM properties.

    The type .COM properties that The Shadow Market is now chasing.

    Gratefully, Jeff Schneider (Contact Group) (Metal Tiger)

    October 25th, 2013 at 4:04 pm

    3dprintman

    @CCC, Bull:

    Where do you suggest we park our domains instead?

    October 26th, 2013 at 10:31 am

      BullS

      IF you contact me, I will tell you where to park and will even show you how much $$$$$$ my domains make per month.

      In reply to 3dprintman | October 26th, 2013 at 11:40 am

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