First quarter revenue increased 13 percent to $121.4 million from $107.8 million for the same period last year. First quarter net income and diluted earnings per share rose 21 percent to $8.7 million from $7.2 million and 13 percent to $.52 from $.46, respectively, compared to the same period results last year.
F.Y.I. delivered record revenue and profit results for the first quarter, along with increased operating margins of 13.4 percent, up from 12.6 percent for the first quarter of 2000, said Ed H. Bowman, Jr., President and CEO of F.Y.I. Incorporated. Cash flow from operations remained very strong during the quarter, increasing 131% to $15 million from $6.5 million for the same period in 2000.
We also generated very strong sales momentum during the first quarter, closing 15 large contracts, each expected to produce more than $1 million in total revenues. Fourteen of these new contracts were with new customers. The total value of significant closed contracts increased to a record $56.4 million. This is a substantial amount of new business, up 31 percent over the highest quarterly results we achieved during 2000 and our sales pipeline remains strong.
Mr. Bowman continued, We are particularly pleased with these results, given the fact that we continued to invest to best position the company as a leader in business process outsourcing. Additional investments were made in the development of fyidocs.com, our new electronic document repository announced last fall. We invested in the infrastructure and personnel to support the start-up of large contracts during the quarter and in creating new service platform capacity. In addition, we invested in our senior management team and we acquired Image Entry as part of our leveraged growth strategy for our Government Services business.
Mr. Bowman concluded, The first quarter was a very productive quarter for F.Y.I. Incorporated. New business results were excellent, margins expanded and cash flow was very strong. We continued to make investments to foster future revenue growth and expand our offerings for business process outsourcing while producing predictable and consistent results.
