Net income from operations was $22,000 compared with $247,000 for the same period of 2000. Earning per share was $.01 per diluted share for the first 3 months ended March 31, 2001, compared to $.06 per diluted share for the same period of 2000.
We are pleased with our revenue increase during the first quarter of 2001, but we are not satisfied with our net income, said Slav Stein, President and CEO. Our profit results are reflecting the slow down of the economy in the United States, strength of the U.S. dollar, and a decrease in our actual gross profit margin. The Company is taking necessary steps to stay profitable by implementing cost control measures and reducing inventory levels. We sold the marginally profitable operation in the Ukraine as one of the steps to streamline our operations. At the same time, the Company keeps developing new products under the SignamaxÔ brand for high-speed structured wiring standards. This will enhance our ability to provide a complete End-to-End solution for the networking industry.
