UBid.com’s Q2 net revenue remains unchanged from 2005

Net revenue at excess and refurbished merchandise seller uBid.com Holdings Inc. dropped to $19.1 million for the second quarter ended June 30 from $19.9 million a year earlier, while its Q2 net loss widened to $2.7 million from a net loss of $2.4 million in Q 2, 2005, the company said.

Gross merchandise sales increased to $30.3 million during the quarter, up 8.2% from $28 million a year earlier. However, gross profit dropped 22% to $2.1 million from $2.7 million in the year-ago quarter.

Customer orders rose 21% to about 125,000 from 103,000 from the second quarter of last year. The number of merchants grew 38% to 1,307 from 949 merchants in the first quarter, and active auction participants totaled 335,000.

The number of auctions increased 89% to about 478,000, while customer registrations totaled 38,000, up 2.7% from 37,000 a year earlier.

“The second quarter represented another step in the transformation of uBid.com,” says Robert H. Tomlinson Jr., CEO of uBid.com Holdings. “While our financial performance was similar to first quarter results, we made strides strategically through partnerships and an asset acquisition in July 2006.”

In May, uBid and SmartShopper.com launched the first-ever private-label comparison shopping tool, uBidShopper, and announced a partnership with ScyAuction.com to provide new travel auction deals to its customers. In July, uBid acquired certain auction assets of Bidville Inc.