Playboy's third-quarter loss narrower than Wall Street expectations

Playboy Enterprises posted a third-quarter loss much narrower than analysts' estimates.

This was largely due to cost-cutting efforts and improved online sales.

The adult-entertainment company said its third-quarter net loss came to $639,000, or a penny a share, compared with a net loss of $2.1m, or 9 cents a share, last year.

Analysts had predicted a loss of 16 cents a share.

Revenue dropped 7.9% to $67.4m from $73.2m a year earlier.

The company said cost-cutting was largely responsible for improvements at its publishing group. Losses at its online business were lower as subscription sales rose.

Revenue at its licensing businesses increased due to higher international royalties.

Playboy has had to fight a groundswell of competition in the men's magazine category.