Angie's List Inc. on Wednesday reported a second-quarter loss that was larger than analysts expected.
The Indianapolis-based consumer reviews service lost $8.1 million, or 13 cents per share, in the period, down from a profit of $4.7 million, or 8 cents per share, in the second quarter of 2016.
The average estimate of analysts surveyed by Zacks Investment Research was for a loss of 6 cents per share.
The company posted revenue of $72.8 million in the period, down from $83 million a year ago.
Membership revenue was $10.2 million, down almost 35 percent from the year-ago quarter, due largely to the company’s decision to stop charging for most of its ratings and reviews starting in June 2016.
Angie’s List membership rose to almost 6.4 million, almost double the 3.3 million members it had a year ago. But paid membership dropped from more than 3.1 million to 2.1 million.
Angie's List CEO Scott Durchslag said the financial performance was in line with the expectations of HomeAdvisor, which is in the process of merging with Angie’s List in a deal worth about $505 million. HomeAdvisor is a subsidiary of New York-based media giant IAC.
“We continue to expect the transaction to close in the fourth quarter of 2017,” he said.
Angie’s List shares ticked up 17 cents, to $12.72 each, on Wednesday morning. The stock has climbed more than 70 percent in the last year.