TSR, Inc. (Nasdaq:TSRI), a provider of computer programming consulting services, today announced financial results for the first quarter ended August 31, 2017.
For the quarter ended August 31, 2017, revenue increased 11.8% from the same quarter last year to $17.0 million. Net income attributable to TSR for the current quarter was $141,000 as compared to $148,000 in the prior year quarter. Additionally, net income per share for the current quarter was $0.07 compared to $0.08 per share in the prior year quarter.
Christopher Hughes, CEO, stated, “Our revenue increased 11.8% for the first quarter reflecting revenue added from providing administrative staff in addition to IT contractors to our clients. However, reduced gross profit as a percentage of revenue and increased selling, general and administrative expenses resulted in a reduction in net income. Although we are experiencing an increase in revenue, profitability will continue to be affected until such time as we place a greater number of IT contractors with clients to generate increased revenue and profit.”
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.
| Three Months Ended | |||||||||
| August 31, | August 31, | ||||||||
2017 | 2016 | ||||||||
| Revenue, net | $ | 17,037,000 | $ | 15,242,000 | |||||
| Cost of Sales | 14,193,000 | 12,641,000 | |||||||
Selling, general and | |||||||||
| administrative expenses | 2,568,000 | 2,315,000 | |||||||
| Total operating expenses | 16,761,000 | 14,956,000 | |||||||
| Income from operations | 276,000 | 286,000 | |||||||
| Other income, net | 2,000 | 6,000 | |||||||
| Pre-tax income | 278,000 | 292,000 | |||||||
| Income tax provision | 118,000 | 136,000 | |||||||
| Consolidated net income | 160,000 | 156,000 | |||||||
|
Less: Net income attributable to
noncontrolling interest | 19,000 | 8,000 | |||||||
|
Net income attributable to
TSR, Inc. | $ | 141,000 | $ | 148,000 | |||||
|
Net income per TSR, Inc.
common share | $ | 0.07 | $ | 0.08 | |||||
| Weighted average common shares outstanding | 1,962,000 | 1,962,000 | |||||||
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Contacts:
John Sharkey, 631-231-0333
