ARI Network Services, which provides software solutions that connect consumers, dealers, distributors and manufacturers in the outdoor power, power sports, marine, RV and other markets, reported an increase in revenue and its number of customers for the second quarter, which ended Jan. 31.
Total revenue for the quarter increased 5 percent, to $5.5 million compared with $5.2 million in the second quarter of fiscal 2011, the company reported. The company paid down $287,000 of debt in the second quarter; in the same period last year it increased its debt obligations by $92,000.
ARI added 156 customers and a new reseller agreement in the second quarter.
The company reported net income of $61,000, or 1 cent a share, for the quarter, compared with $123,000, or 2 cents a share, for the second quarter of 2011.
Second-quarter revenue and operating income also were affected by the company's fiscal 2011 divestiture of its AgChem EDI business. The company reported revenue of $114,000 related to this business in the second quarter of fiscal 2011 that did not repeat this year. Excluding this revenue, the company achieved organic total revenue growth of 7.4 percent year-over-year.
“We are pleased with the results of the quarter and the first half of the year as we continue to make strategic investments to better position the company for improved operational and financial performance,” ARI president and CEO Roy W. Olivier said in a statement. “As we add new customers, continue to expand recurring revenue and reduce the number of existing customers that drop our service, we expect to produce more consistent revenue growth and profitability.”