By Debbie Cai
Sotheby's (BID) third-quarter loss widened as a tax benefit
helped year-earlier results, although the auction house posted
higher revenue.
Last month, the auctioneer sold a chromatic painting of
singer-songwriter Eric Clapton by Gerhard Richter, "Abstraktes
Bild," for $34.9 million, the highest price paid at auction for a
work by a living artist. In the latest period, auction sales rose
13%, contributing to the first quarter of revenue growth after four
prior quarters of declines.
Sotheby's recently notched a gain against rival Christie Group
PLC (CTG.LN) by becoming the first foreign company allowed to sell
art and other collectibles in China, after entering a joint-venture
with Beijing GeHua Art Co., a state-owned enterprise.
Sotheby's reported a loss of $32.6 million, or 48 cents a share,
compared with a year-earlier loss of $29.7 million, or 44 cents a
share. The year-earlier results included an $11.6 million tax
benefit.
Revenue increased 18% to $68.5 million, while expenses rose
2.6%.
Analysts polled by Thomson Reuters projected a per-share loss of
49 cents on revenue of $57 million.
Sotheby's has said its second and fourth quarters are generally
stronger than its first and third, due to the seasonality of the
art-auction market.
Shares were up 24 cents at $30.49 in after-hours trading.
Through the close, the stock is down 10% over the past 12
months.
Write to Debbie Cai at debbie.cai@dowjones.com
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