The company's Ebitda was down by 38.7% to $1.9m (£1.3m) from $3.1m (£2.1m) in the same quarter last year.
Despite the fall in revenues and profits, Modem Media CEO Marc Particelli said the company was "pleased with our relatively steady performance given the current economic environment".
Modem Media had several one-off charges for the quarter, including $2.7m (£1.8m) for restructuring and costs relating to the closure of its Tokyo office and staff reductions.
Its shares, traded on Nasdaq, were up slightly today, trading at $3.49 (£2.38) after closing at $3.44 (£2.35) yesterday.
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