TSR, Inc., (Nasdaq:TSRI), a provider of computer programming consulting services, today announced financial results for the first quarter ended August 31, 2014.
For the quarter ended August 31st, revenue increased 13.2% from the same quarter last year to $13.7 million. Net income attributable to TSR increased from $11,000 in the prior year quarter to $25,000 in the current quarter. Additionally, net income per share remained at $0.01.
Joe Hughes, CEO, stated, “Our revenue increase of 13.2% for the first quarter results continued improved growth resulting from the efforts of our new hires in sales and recruiting. The increase in revenue resulted primarily from the average number of consultants on billing with customers increasing from 300 in the quarter ended August 31, 2013 to 331 in the quarter ended August 31, 2014. We anticipate a continued increase of selling, general and administrative expenses. These increased expenses are associated with hiring of additional recruiters and the increase in expenses associated with the hiring of new sales professionals. Although we are experiencing a gradual increase in revenue, profitability will continue to be affected until such time as these new sales and recruiting hires contribute to a sufficient increase in revenue.”
Certain statements contained herein, including statements as to the Company’s plans, future prospects and future cash flow requirements are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those set forth in the forward-looking statements due to known and unknown risks and uncertainties, including but not limited to, the following: the success of the Company’s plan for internal growth, the impact of adverse economic conditions on the Company’s business; risks relating to the competitive nature of the markets for contract computer programming services; the extent to which market conditions for the Company’s contract computer programming services will continue to adversely affect the Company’s business; the concentration of the Company’s business with certain customers; uncertainty as to the Company’s ability to maintain its relations with existing customers and expand its business; the impact of changes in the industry and the Company’s ability to adapt to changing market conditions and other risks and uncertainties described in the Company’s filings under the Securities Exchange Act of 1934. The Company is under no obligation to publicly update or revise forward-looking statements.
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Three Months Ended
August 31, | ||||||
2014 | 2013 | |||||
Revenue, net | $ | 13,686,000 | $ | 12,087,000 | ||
| Operating expenses | 13,613,000 | 12,029,000 | ||||
| Income from operations | 73,000 | 58,000 | ||||
| Other income, net | 8,000 | - | ||||
| Pre-tax income | 81,000 | 58,000 | ||||
| Income taxes | 34,000 | 20,000 | ||||
| Consolidated net income | 47,000 | 38,000 | ||||
Less: Net income attributable to noncontrolling interest | 22,000 | 27,000 | ||||
Net income attributable to TSR, Inc. | $ | 25,000 | $ | 11,000 | ||
| Net income per TSR, Inc. common share | $ | 0.01 | $ | 0.01 | ||
| Weighted average common shares outstanding | 1,962,000 | 1,962,000 | ||||
Contacts:
John Sharkey, 631-231-0333
