The financial results of the company for the first quarter of fiscal 2008 indicate a decrease in revenues, a decrease in direct operating expenses compared to the first quarter of fiscal 2007.
The company continues to experience decline in its high margin dial up customer base and continues to incur expenses as a result of supply problems. However, the company continues to eliminate any unprofitable products, reduce costs under general and administration, eliminate redundant telecom services and improve collections processes in an effort to reduce accounts receivable and bad debt expenses.
In addition, the company has seen growth in its local phone VoIP services and long distance customer base which are high margin services.
