Opera Software considers sale after lowering financial expectations

Browser maker also acquired Brazilian app discovery service Bemobi amid reduced financial expectations

Opera Software's logo

Opera Software's logo

Opera Software, the company behind the Web browser of the same name, may be seeking a buyer after the company announced lowered expectations for its quarterly and annual financial results.

The Norwegian browser maker previously said that it expected revenue of $630 million - 650 million in 2015, but revised that figure Friday to between $600 million and $618 million. It also said that its quarterly revenue would be $146 million, which is at the very bottom of its guidance range for the quarter and $5 million below the expectations of analysts surveyed by Thomson Reuters.

Opera's reduced expectations are a result of lower-than-anticipated returns from company's mobile advertising business, specifically the non-Instant Play video advertising products from AdColony. While Opera is probably best known for its Web browser, the company actually makes most of its money from its advertising business.

As a result of what Opera calls "strategic interest" in the company from a number of other parties, the firm's board of directors has begun evaluating its options. Opera is working with ABG Sundal Collier and Morgan Stanley International as advisors in the process, which it expects to complete during the second half of this year. It's not yet clear who the interested suitors are.

The company also recently purchased Bemobi, a Brazilian company that offers a Netflix-like subscription service for premium mobile apps.

All of this news comes at an action-packed time for the markets Opera competes in. Apple's upcoming release of iOS 9 will allow users to install and run content blocking extensions in Safari that can block the display of mobile Web ads on the iPhone and iPad. Meanwhile, Microsoft's Windows 10 includes a new browser with a new engine the company promises is better than Internet Explorer. When users upgrade to the company's new operating system, Microsoft sets Edge as the default browser regardless of a user's previous preference.

All of this adds up to a bumpy market for Opera's offerings, especially since the company is competing against the likes of Google, Yahoo, Microsoft, Apple and other Web titans.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags business issuesopera software

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Blair Hanley Frank

IDG News Service
Show Comments

Cool Tech

SanDisk MicroSDXC™ for Nintendo® Switch™

Learn more >

Breitling Superocean Heritage Chronographe 44

Learn more >

Toys for Boys

Family Friendly

Panasonic 4K UHD Blu-Ray Player and Full HD Recorder with Netflix - UBT1GL-K

Learn more >

Stocking Stuffer

Razer DeathAdder Expert Ergonomic Gaming Mouse

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

George Khoury

Sharp PN-40TC1 Huddle Board

The biggest perks for me would be that it comes with easy to use and comprehensive programs that make the collaboration process a whole lot more intuitive and organic

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?