Labor Smart Inc. (OTCBB: LTNC), a provider of industrial staffing serving the southeastern US, reported third-quarter revenue rose to $6.8 million, up 28.1 percent from revenue of $5.3 million in the third quarter of last year. The Hiram, Ga.-based firm attributed the increase to improved revenue from existing branches and the opening of new branches in the first half of fiscal 2014, as well as the acquisition of Shirley's Employment.

Of the 15 branches that were open at the end of last year’s third quarter, revenue rose 12.5 percent year over year to $6.0 million.

However, Labor Smart posted a third-quarter net loss of $1.1 million, compared to a net loss of $419,014 in the year-ago quarter. The company attributed the net loss to an increase in non-cash interest and finance expense.

Labor Smart does not expect to open any new branches during the remainder of 2014; however, it is aggressively pursuing acquisitions and will seek more acquisition opportunities than in prior years, according to the company. Labor Smart believes it can close acquisitions totaling $20 to $40 million in revenue in 2015.

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“I am very pleased with our financial results from the third quarter,” said President and CEO Ryan Schadel. “The Labor Smart team delivered on all of our key metrics. Becoming substantially self-insured, combined with our culling of low margin accounts this summer has boosted our gross profit margins above internal expectations. I am also pleased with our growth as reflected in our EBITDA of $121,577. The attainment of positive EBITDA for two consecutive quarters evidences our business strategy is paying off.”

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Share price and market cap

Shares in Labor Smart rose 6.67 percent to 20 cents in early afternoon trading today and Labor Smart had a market cap of $436,660, according to Yahoo!