Both bailed-out banks, Lloyds and Royal Bank of Scotland, are due to publish their 2011 results this week, and both are expected to be loss-making some three years after the October 2008 crisis.
Under the bank's business plan, unveiled after the government took control, Northern Rock had said it expected to be loss-making this year and not return to a profit until 2011.
The initial success of the novel daily deals idea fuelled stratospheric sales growth and propelled the shares to $26 (then £16), but its ensuing disappointing financial performance – it is expected to be loss-making this year – means the shares now change hands for close to $6.
Earnings are now expected to be a loss of between 18 cents and 22 cents per share, down from a loss of 6 cents.
Adjusted EBITDA is expected to be a loss in the range of $500,0000) to $800,0000).
Operating results are expected to be a loss in the range of 10 cents to 20 cents per share, exclusive of non-recurring first-quarter costs that are not expected in future periods.
Category 2 variants had not previously been reported to be disease-causing, but were of types that were expected to be pathogenic (loss of initiation, premature stop codon, disruption of stop codon, whole gene deletion, frameshifting indel, disruption of splicing).
Non-GAAP basic and diluted EPS is expected to be between a loss of $0.166) and a loss of $0.144)." The company declined to estimate its full-year GAAP earnings per share.
"Since they are expected to be experts, job loss and financial strain can trigger shame and embarrassment," said Bradley Klontz, a psychologist who specializes in financial matters.
Second half losses are expected to be significantly lower with losses for the year projected to be £10m.
Sales for the quarter, ended May 31, are now expected to be $37 million to $38 million, and the loss is estimated at $22 million to $24 million.
