Home » Strategic Distribution Records 2Q Net Loss; Sales Up 10%
Strategic Distribution Records 2Q Net Loss; Sales Up 10%
August 14, 2006
Strategic Distribution, Inc., Bristol, PA, provider of maintenance, repair and operating (MRO) supply chain management services, reported revenues of $37.2 million for the second quarter 2006, compared with $33.7 million for the same period last year.
The increase was attributable to $1 million within the existing customer base and $2.9 million from new customers, offset by a $0.4 million decline in revenues relating to contract terminated in prior periods.
The company reported a net loss of $1.1 million in the second quarter 2006. The results for the second quarter include an increase to the company's provision for doubtful accounts of $0.5 million, driven by one of the company's customers that filed for protection under Ch. 11 of the U.S. Bankruptcy Code.
For the six months ended June 30, 2006, Strategic Distribution reported revenues of $74 million compared with $62.7 million for the same period last year. The $11.3 million increase was attributable to $6.7 million of growth within the company's existing company base and $5.3 million from new customers, net of $0.7 million reduction in revenue for closed sites.
The company reported a net loss of $2.2 million for the first half of the year.
As of June 30, 2006, the company reported total cash and cash equivalents of $24.7 million compared to $29.9 million at December 31, 2005. The decrease in cash is primarily attributable to an increase in accounts receivable and inventories, and the net loss, exclusive of non-cash items, reported for the six months ended June 30, 2006.