TSR, Inc. Reports Results for the First Quarter Ended August 31, 2023

Rhea-AI Summary

TSR, Inc. (Nasdaq: TSRI) announced financial results for Q1 FY23. Revenue decreased by 14.1% to $22.5 million. Net income increased by 10.5% to $547,000. The Company ended the quarter with $14.25 million in net working capital.

Positive

• Net income increased by 10.5% to $547,000.
• The Company ended the quarter with $14.25 million in net working capital.

Negative

• Revenue decreased by 14.1% to $22.5 million.

Net Income increased 10.5% from Q1 FY23

HAUPPAUGE, N.Y.--(BUSINESS WIRE)-- TSR, Inc. (Nasdaq: TSRI) (“TSR” or “The Company”), a provider of information technology consulting and recruiting services, today announced its financial results for the first quarter ended August 31, 2023.

For the quarter ended August 31, 2023, revenue decreased 14.1% from the same quarter last year to $22.5 million. Net income attributable to TSR for the current quarter was $547,000, or $0.24 per diluted share, as compared to $495,000, or $0.22 per share, in the prior year’s first quarter. The Company ended the quarter with a strong balance sheet with $14.25 million in net working capital or approximately $6.65 per share.

Thomas Salerno, our CEO, stated: “Improvements in gross margins and cost reductions this quarter resulted in net income $547,000 as compared to $475,000 in the prior year’s first quarter. We continued to focus on our more specialized and higher margin IT business and are seeing solid results from our fledgling permanent placement business. As always, we continue to focus on controlling costs, which has helped us increase profitability in the current quarter.

We continue to navigate an uncertain macro-economic environment, but we are optimistic that revenue and income will grow in the long run. The team continues to make progress with new customers and I am proud of their effort to offer our legacy customers some of the best service in the business. We believe that TSR is well-positioned in the industry and has a strong balance sheet.”

The Company will file its Form 10-Q for the quarter ended August 31, 2023, today with further details at www.sec.gov.

About TSR, Inc.

Founded in 1969, TSR, Inc. is a leading staffing company focused on recruiting Information Technology professionals for short- and long-term assignments, permanent placements, and project work. For over 50 years, TSR has successfully served clients in banking, asset management, pharmaceuticals, insurance, health care, public utility, publishing and other industries. We provide candidate screening, timely placement and a real understanding of the right skill sets required by our clients. To learn more, please visit our website at www.tsrconsulting.com.

Certain statements contained herein, including statements as to the Company’s plans, future prospects and future cash flow requirements are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those set forth in the forward-looking statements due to known and unknown risks and uncertainties, including but not limited to the following: the statements concerning the success of the Company’s plan for growth, both internally and through the previously announced pursuit of suitable acquisition candidates; the successful integration of announced and completed acquisitions and any related benefits therefrom; the impact of adverse economic conditions on client spending which have a negative impact on the Company’s business; risks relating to the competitive nature of the markets for contract computer programming services; the extent to which market conditions for the Company’s contract computer programming services will continue to adversely affect the Company’s business; the concentration of the Company’s business with certain customers; uncertainty as to the Company’s ability to maintain its relations with existing customers and expand its business; the impact of changes in the industry such as the use of vendor management companies in connection with the consultant procurement process; the increase in customers moving IT operations offshore; the Company’s ability to adapt to changing market conditions; the risks, uncertainties and expense of the legal proceedings to which the Company is a party; and other risks and uncertainties described in the Company’s filings under the Securities Exchange Act of 1934. The Company is under no obligation to publicly update or revise forward-looking statements.

	Three Months Ending August 31,
	2023 Unaudited			2022 Unaudited
Revenue, net	$	22,513,000		$	26,199,000
Cost of sales		18,486,000			21,767,000
Selling, general and
administrative expenses		3,252,000			3,678,000
		21,738,000			25,445,000
Income from operations		775,000			755,000
Other income (expense), net		-			(29,000	)
Pre-tax income		775,000			726,000
Income tax provision		203,000			218,000
Consolidated net income		572,000			508,000
Less: Net income attributable to noncontrolling interest		25,000			13,000
Net income attributable to TSR, Inc.	$	547,000		$	495,000
Basic net income per TSR, Inc. common share	$	0.26		$	0.23
Diluted net income per TSR, Inc. common share	$	0.24		$	0.22
Basic weighted average common shares outstanding		2,143,712			2,146,448
Diluted weighted average common shares outstanding		2,247,300			2,236,674

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20231011987466/en/

Thomas Salerno

631-231-0333

Source: TSR, Inc.

FAQ

What is TSR, Inc.'s stock symbol?

TSR, Inc.'s stock symbol is TSRI.

What was the net income for Q1 FY23?

The net income for Q1 FY23 was $547,000.

What was the revenue for Q1 FY23?

The revenue for Q1 FY23 was $22.5 million.

What is TSR, Inc.'s net working capital?

TSR, Inc.'s net working capital is $14.25 million.

Who is TSR, Inc.'s CEO?

TSR, Inc.'s CEO is Thomas Salerno.

Where can I find more details about TSR, Inc.'s financial results?

You can find more details about TSR, Inc.'s financial results on www.sec.gov.