- The stock price of TSR Inc (NASDAQ: TSRI) increased by over 35% pre-market today. This is why it happened.
The stock price of TSR Inc (NASDAQ: TSRI) – a provider of information technology consulting and recruiting services – increased by over 35% pre-market today. Investors are responding positively to TSR announcing financial results for the first quarter ended August 31, 2021.
For the quarter ended August 31, 2021, the company revenue increased 57.5% from the same quarter last year to $22.9 million. And net income attributable to TSR for the current quarter was $6,402,000, or $3.18 per diluted share, as compared to net loss of ($3,000), or less than $0.01 per share, in the prior-year quarter.
“Revenue increased 57.5% for the first quarter due to new business development, our acquisition, and organic growth. Operating loss for the current quarter was $355,000 as compared to operating income of $60,000 in the prior-year quarter. The current quarter included a charge of $580,000 related to the settlement of litigation with our former CEO. Without this one-time charge, TSR would have generated operation profit of approximately $225,000 for the quarter. We expect operating income to grow as we normalize selling, general and administrative expenses. The increase in SG&A compared with the prior year quarter was due in large part to the ramping up of our recruiting staff and the additional expenses from the acquisition of Geneva Consulting Group, Inc. Net income was $6,402,000 in the current quarter. This was primarily attributable to the forgiveness of principal and interest on our SBA PPP Loan of $6,735,000.”
“The entire TSR team has tenaciously delivered strong results in a very challenging environment. We are beginning to see the tangible results of these efforts and the skills and resiliency that we developed in these unprecedented times have positioned our team members for greater opportunity for success in a normalized market.”
“The integration of the Geneva and TSR teams has continued to go smoothly and we believe the acquisition has helped us accelerate growth and will improve returns for shareholders. We are in the process of upgrading and modernizing several of our back-office systems that we believe will help improve efficiencies and allow the business to continue to scale. As we expect a gradual return to normalcy from the COVID-19 pandemic, we are guardedly optimistic of continued revenue growth in the improving business climate.”
— Thomas Salerno, CEO
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