Business solutions specialist, Versatile Systems (TSX-V: VV; AIM: VVS) reported that revenue for the three months ended December 31, 2009 (Q2 2010) slipped to $11.259 million (Q2 2009: $12.327 million) while gross profits fell to $2.66 million, or 23.6% of sales compared to $3.03 million, or 24.7% of sales in Q2 2009.
Net Loss for the quarter improved to $0.080 million (nil per share) compared to a net loss of $0.5 million in Q2 2009.
"The overall economic environment continues to be difficult. In addition, Oracle's potential acquisition of Sun Microsystems has created uncertainty and had a negative effect on both our pipeline and top line revenue," said John Hardy, Chairman and CEO of Versatile. "Nevertheless, we managed to significantly reduce our Net Loss by $452,510 over the same quarter last year. We continue to monitor our cost structures to ensure they are in line with anticipated revenues and Gross Profit. Our goal is to move back to sustained profitability by year end."
At the end of December, Versatile Systems had cash and cash equivalents of $6.01 million, up from $2 million at June 30, 2009, largely due to a placing of 39 million shares which raised proceeds of $3.87 million.
Versatile provides business solutions that enable companies to improve sales, marketing and distribution of their products.
Disclosure: The author holds no positions in the company