Daily News
View All NewsVolt revenue falls 4% in fiscal Q1
Volt Information Sciences Inc. (NYSE MKT: VISI) reported net revenue fell 4.3% in its fiscal first quarter ended Jan. 29.
The New York-based IT and engineering staffing and MSP provider reported net loss narrowed to $4.6 million; the quarter included $624,000 in restructuring and severance costs.
| (US$ thousands) | Q1 2017 | Q1 2016 | % growth |
| Net revenue | $313,024 | $326,968 | -4.3% |
| Gross margin | $46,890 | $45,568 | 2.9% |
| Gross margin percentage | 15.0% | 13.9% | |
| Net loss | -$4,577 | -$10,962 | nm |
North America staffing services revenue fell 2.8% from the year-ago quarter. International staffing services revenue — which includes the company’s contingent staffing, direct placement and managed programs businesses in Europe and Asia — fell 10.6%.
Segment revenue
| (US$ thousands) | Q1 2017 | Q1 2016 | % growth |
| North American staffing | $231,865 | $238,575 | -2.8% |
| International staffing | $30,350 | $33,951 | -10.6% |
| Technology Outsourcing Services and Solutions | $25,671 | $27,214 | -5.7% |
| Corporate and other | $26,296 | $30,405 | -13.5% |
And on March 6, the company completed the sale of Maintech Inc., IT infrastructure support business, to Maintech Holdings LLC, a newly-formed holding company and affiliate of Oak Lane Partners LLC, for $18.3 million in cash.
Quote
“Volt is off to a good start in fiscal 2017 with strong improvement in our year-over-year financial results and the recent completion of several key initiatives to strengthen our balance sheet,” said President and CEO Michael Dean. “At the top line, we continue to make progress in stabilizing revenue from our existing book of business while establishing new client relationships. We also benefited from our ongoing focus on higher margin business as evidenced by the 110 basis-point increase in gross margin compared to the prior year. As a result, we generated the best bottom line result for Volt in a first quarter in five years.”
Share price and market cap
Shares in Volt edged down 0.68% in early afternoon trading today to $7.25, and Volt had a market cap of approximately $151.65 million, according to Yahoo.