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TSR, Inc. Reports Financial Results for the Third Quarter Ended February 28, 2017

HAUPPAUGE, N.Y.--(BUSINESS WIRE)--

TSR, Inc. (TSRI), a provider of computer programming consulting services, today announced financial results for the third quarter ended February 28, 2017.

For the quarter ended February 28th, revenue increased to $15,390,000 from $15,075,000 in the same quarter last year. Net loss attributable to TSR increased from $24,000 in the prior year quarter to a loss of $68,000 in the current quarter. Additionally, net loss per share was $0.03 in the current quarter and $0.01 in the prior year quarter.

Joe Hughes, CEO, stated, “Our revenue for the quarter ended February 28, 2017 increased $315,000 from the prior year comparable quarter. The overall average number of consultants on billing with customers increased from 357 for the quarter ended February 29, 2016 to 394 for the quarter ended February 28, 2017, while the average number of computer programming consultants decreased from 357 in the quarter ended February 29, 2016 to 328 in the current quarter. The 394 consultants on billing for the current quarter include 66 administrative workers that we placed with two large customers at billing rates substantially lower than those charged for computer programming consultants. We did not make any placements of administrative workers in the prior year quarter. The net loss for the quarter increased due to an increase in selling, general and administrative expenses of $202,000 over the prior year quarter resulting primarily from additional recruiting expenses and other expenses related to the placement of the administrative workers.”

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 client spending which has a negative impact 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

   

Nine Months Ended

February 28,

    February 29,

February 28,

    February 29,
(unaudited) (unaudited)
 

2017

2016

2017

2016

Revenue, net

$

15,390,000

$

15,075,000

$

45,675,000

$

45,495,000

 
Cost of sales 12,988,000 12,770,000 38,082,000 38,165,000
Selling, general and administrative expenses  

2,521,000

   

2,319,000

    7,181,000   6,792,000
Total operating expenses   15,509,000     15,089,000     45,263,000   44,957,000
 
Income (loss) from operations

 (119,000

)

(14,000

)

412,000 538,000
 
Other income (expense), net   4,000    

(2,000

)

  12,000   2,000
 
Pre-tax income (loss)

(115,000

)

(16,000

)

424,000 540,000
 
Income tax provision (benefit)  

(58,000

)

 

(7,000

)

  188,000   270,000
 
Consolidated net income (loss)

(57,000

)

(9,000

)

236,000

270,000

 

 

 

 

Less: Net income attributable to
noncontrolling interest  

11,000

   

15,000

   

30,000

 

40,000

 

 

 

 

Net income (loss) attributable

to TSR, Inc.

$

(68,000

)

$

(24,000

)

$ 206,000 $ 230,000
 
Net income (loss) per TSR, Inc.

common share

$

(0.03

)

$

(0.01

)

$

0.10

$

0.12

 

Weighted average common shares

outstanding

 

1,962,000

   

1,962,000

   

1,962,000

 

1,962,000

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