Youbet.com Inc. reported an income loss of $357,000 for the second quarter when compared with the previous year. The Woodland Hills-based online wagering firm experienced a challenging second quarter in that it lost Kentucky Derby and Triple Crown content and began to pare $5 million from its budget. The company reported a net loss of $357,000, or a loss of $0.01 per diluted share, on revenues of $37.3 million for the second quarter ending June 30. For the same period in 2006, Youbet had a net income of $2.2 million, or $0.6 per diluted share, on revenues of $39.6 million. The cost reductions are designed to create greater efficiency in account acquisitions and retention to provide greater leverage for our growth, said Youbet CEO Chuck Champion.