Pomeroy IT Solutions Inc. (NASD: PMRY) posted a net loss of $4.2 million in the first quarter, compared with net income of $1.8 million in the first quarter of 2007. President and CEO Keith Coogan said the loss reflects margin pressures from its infrastructure services business.

First-quarter revenue at the Hebron KY-based staffing and services company rose 1.2% to $143.6 million from $142.0 million in the same period last year. Gross margin fell to 10.6% from 12.1%.

Pomeroy reported first-quarter technical staffing revenue of $31.0 million, up 51.2% from $20.5 million in the first quarter of 2007. The company said the increase primarily resulted from a change in how it accounts for subcontractor personnel.

Pomeroy IT Solutions Inc. (NASD: PMRY)
For the first quarter ended April 5, 2008, compared with the same period in 2007.
Revenue: $143.6 million, +1.2%
Net loss: $4.2 million vs. net income of $1.8 million