ESpeed Q3 losses widen

Source: ESpeed

eSpeed, (NASDAQ: ESPD), a leading developer of electronic marketplaces and related trading technology for the global capital markets, today reported results for the third quarter ended September 30, 2007.

eSpeed's Third Quarter Results Summary

3Q2007 Actual3Q2006 Actual
GAAP Revenues$40.4 MM$38.1 MM
Non-GAAP Operating Revenues$40.2 MM$38.1 MM
GAAP Net Income (Loss) Per Diluted Share($0.12)($0.01)
Non-GAAP Net Operating Income (Loss) Per Diluted Share$0.01$0.02

BGC's Preliminary Third Quarter Results Summary(1)

BGC announced the following financial highlights related to its preliminary results for the third quarter of 2007:
  • BGC's third quarter 2007 pre-tax profits were approximately $32.4 million versus a pretax loss of $34.3 million in the third quarter of 2006;
  • BGC's third quarter 2007 revenues increased by 41 percent year-over-year to approximately $272 million;
  • BGC's third quarter 2007 revenue in Rates increased year-over-year by approximately 38 percent;
  • BGC's third quarter 2007 Credit revenues were up by approximately 50 percent yearover- year; and
  • BGC's third quarter 2007 Foreign Exchange revenues increased by approximately 59 percent year-over-year.

Howard W. Lutnick, Chairman, Chief Executive Officer and President of eSpeed, who will become Chairman and co-Chief Executive Officer of the combined company upon the completion of eSpeed's proposed merger with BGC, stated: "The tremendous growth in profitability for BGC clearly demonstrates the strength of its business model and its highly scalable platform, and also underscores the compelling strategic rationale of combining eSpeed with BGC."

(1) The non-GAAP results for BGC reflect the effects of the full formation and final separation from Cantor and exclude any costs which may be associated with the formation, separation and merger (including, without limitation, redemption of partnership interests) as well as any one time (i) compensation and (ii) other accounting charges associated with transactions to facilitate repayment of loans to executive officers, exchangeability of BGC Holdings units and other structuring features of the formation, separation and merger. For comparison purposes, please see the results for "Pro Forma BGC Partners Stand-Alone" as contained in eSpeed's special merger proxy filed with SEC and dated November 6, 2007.

Read the full statement here:Download the document now 78.6 kb (PDF File)

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