Gaiam Widens Q1 Loss9 May, 2012 By: Erik Gruenwedel
Gaiam Inc. May 9 reported a first-quarter net loss of $1.2 million, up $200,000 from a loss of $1 million during the previous-year period.
Boulder, Colo.-based Gaiam attributed the loss to $1.7 million in costs associated with the acquisition of Vivendi Entertainment. Excluding the costs, Gaiam generated net income of $600,000.
Vivendi, which was acquired from Universal Music Group near the end of the quarter, contributed $300,000 to Gaiam’s overall revenue from less than a week of operations.
Total revenue for the producer and marketer of lifestyle media and fitness accessories topped $47 million, up nearly 27% from $37 million in revenue during the previous-year period.
“Our aggregator role with Target, as well as solid growth with several other large retailers, including Amazon and Walmart, are driving growth in our business segment,” CEO Lynn Powers said in a statement. “Our repositioned direct response television operations are also a catalyst for growth in our direct to consumer segment, as reflected by the success we are generating with our Jillian Michaels media fitness program.”
Indeed, Michaels (formerly with “The Biggest Loser” TV show) fitness DVDs are a major category seller at Target.