Conversion Services International Inc. provides consulting, data warehousing, business intelligence and information technology services to Global 2000 organizations and other businesses. The company today announced its financial results for the third quarter ended September 30, 2009.
Conversion Services posted net income at $1.3 million, $1.2 million of which is attributable to common shareholders. This is compared to a net loss of $4.2 million and a loss of $4.4 million attributable to shareholders for the third quarter of 2008.
Revenues for the third quarter of 2009 were $8.1 million, up $3.1 million, or 61.7 percent, from $5.0 million reported in the same period last year. Gross profit of $2.9 million for the quarter increased by $1.6 million as compared to gross profit of $1.3 million for the third quarter of 2008.
Lori Cohen, president and CEO of Conversion Services, said the company’s efforts to improve its balance sheet paid off and that it will strategize to maintain this strength in the future.
“We have focused our efforts in 2009 on generating more profitable business, and reducing or eliminating low margin business, which is illustrated by the 3.1 percent point increase in our gross profit percentage for the nine month period ended September 30, 2009, as compared to the prior year period. Our improved financial results in 2009 have allowed us to strengthen our company by reducing our debt and improving our balance sheet. Although we are pleased with our results so far this year, we must strive to maintain this positive trend and our efforts to continue to be profitable, further strengthen our balance sheet and, importantly, increase shareholder value,” Cohen stated in the press release.
For the nine months ended September 30, 2009, Conversion Services reported revenues of $17.7 million, which represents a $3.4 million, or 23.8 percent, increase from the $14.3 million reported for the same nine months of 2008. Gross profit for the nine month period in 2009 was posted at $4.7 million, an increase of $1.4 million as compared to gross profit of $3.3 million during the prior-year period.
The company reported a net loss of $0.4 million and a loss of $0.9 million attributable to common stockholders for the nine-month period ended September 30, 2009. For the nine month period ended September 30, 2008, the company reported a net loss of $8.4 million and a loss of $8.9 million attributable to common stockholders. On a fully diluted, per share basis, the loss in the first nine months of 2009 was $0.01 per share versus a loss of $0.08 per share for the same period in 2008.