Rentrak Reports 28% Increase in Second-Quarter PPT Videocassette Shipments16 Oct, 2001 By: Hive News
Rentrak Corporation said Tuesday that for the quarter ended Sept. 30, 2001, its shipments of videocassettes through its Pay-Per-Transaction (PPT) network increased by approximately 28% over the comparable quarter last year.
The total videocassettes Rentrak shipped represents approximately a 12% sequential increase over the quarter ended June 30, 2001.
Paul Rosenbaum, Rentrak's chairman and c.e.o., noted in prepared remarks about the video rental industryduring the quarter ended Sept. 30, 2001, compared with the same quarter of the previous year:
-- Total rental revenue for the industry increased;
-- Both VHS and DVD formats independently produced increased rental revenues;
-- Both the number of rental transactions and the average price of transactions increased; and
-- Rentrak shipped 663,252 videocassettes during the quarter.
"The key driver of our PPT revenue is the number ofvideocassettes we track through our revenue-sharing system," Rosenbaum said. "Many analystsexpected the VHS format to decline as the DVD format continues its rapid growth, but the total number of videocassettes shipped during the quarter increased across the industry.
"Rentrak's 28% increase in VHS shipments provides convincing evidence that consumer demand remains strong for thisrental product."
Rosenbaum also said that Rentrak continues to makeprogress on the development and testing of the company's previously announcedsoftware solution that it says captures, processes and reports transaction data forany entertainment software delivered digitally or non-digitally to a consumer.
Rentrak expects to announce its second quarter earnings on Nov. 8 and will hold a conference call on that day.