XRS Corp. has realized a net income to common shareholders of $0.1 million in the second quarter of fiscal year 2013, digging itself out from under a $2.1 million loss to shareholders from the same period last year.
Total revenue for the quarter declined, year over year, from $15.9 million to $14.5 million. Mobile software revenue grew 27 percent, year over year, to $11.6 million; software accounts for 80 percent of revenue, up from 74 percent in the second quarter of 2012.
"We are encouraged by our second consecutive quarter of net income," XRS’ Jay Coughlan said in a statement. "This performance is consistent with our strategy of shifting our business to a mobile solution. We are continuing to invest in the XRS mobile solution and the growth opportunities in that market, while at the same time maintaining our commitment to provide support to our existing customers."
During the quarter, XRS was able to reduce its expenses, driving down general and administrative costs by $1.3 million. Research and development expenses also declined, with a portion of the costs devoted to the development and launch of the XRS mobile solution.
"We had an enthusiastic response to our announcement in March that the new XRS mobile solution for compliance and fleet optimization is available for sale," he said. "With the commencement of shipment of XRS mobile subscriptions in April, new and existing customers will be able to experience the benefits of the leading fleet management platforms in a single mobile package." - Jon Ross