Prophet 21, Inc., Yardley, PA, a provider of business technology and services to the durable goods distribution market, announced significant revenue growth and profitability in the first quarter of fiscal year 2002.
Revenues for the first quarter of fiscal 2002 were $10.6 million, compared to $8.2 million reported during the same quarter in 2001. Net income for the quarter was $238,000, as compared to a loss of ($1.5) million, during the same period a year ago.
"We are very pleased to see that our investments in research and development have resulted in growth in both our revenue and the bottom line," announced Chuck Boyle, president and CEO of Prophet 21. "Our big picture focus and leadership position with regard to research and development have separated us from our competition. Software license revenues increased by $1.3 million, or 138 percent, as compared to the same period a year ago. Prophet 21 Trading Partner Connect, our Internet trading network, was successfully introduced in the first quarter of fiscal 2002 and has opened up a new and potentially substantial revenue channel. Prophet 21's professional services continue to provide value to our customers, resulting in gross profits increasing by $613,000, or 23 percent. All major areas of the company - enterprise software solutions, Trading Partner Connect, and professional services - have seen growth."
Boyle went on to highlight the fact that Prophet 21 has maintained research and development investments while reducing total operating expenses. The company continues to maintain a strong balance sheet with more than $15 million in total cash and marketable securities and no long-term debt.