PFSweb Inc. is reporting better numbers for its eCost.com subsidiary, even though the unit still posted a net loss in the first quarter.
For the first quarter of 2007, eCost.com, No. 111 in the Internet Retailer Top 500 Guide generated revenue of $21.6 million, compared to $21.8 million for the same period in 2006. Adjusted EBITDA for eCost.com in the quarter was a loss of $900,000, compared to a loss of $1.4 million for the same period in 2006.
“In the first quarter, eCost.com moved closer toward achieving our near-term gross profit goal of 9% to 10%, reporting its best quarterly gross margin and bottom-line performance since 2004,” says PFSweb CEO Mark Layton. “The many improvements we have made since the merger continue to be positively reflected in the sequential quarterly comparisons.”
He adds: “Revenue in the first quarter of 2007 slightly exceeded revenue from the fourth quarter of 2006, which is traditionally the seasonally strongest quarter for retailers. This return to growth at eCost.com, together with our improving gross margins, are encouraging signs of the progress that we are making. We continue to look at new ways to improve eCost.com’s operations and customer service to further increase revenues, while minimizing costs.”
Overall PFSweb reported a net loss of $2.4 million on revenue of $104.4 million in Q1 vs. a net loss of $1.6 million on revenue of $110.7 million in Q1 2006.
Back...
