News

UBICS disclosed first-quarter results

May 1, 2002

CANONSBURG, Pa. -- Citing a sluggish economy and changes in accounting practices, kiosk solutions provider and IT consultant UBICS Inc. (NASDAQ:UBIX) on May 2 announced a net loss of $2.7 million for the first quarter of fiscal year 2002, ending on March 31.

The majority of the company's net loss in the first quarter was the result of a $2.4 million goodwill charge. The charges resulted from the acquisition of three companies during fiscal years 2000 and 2001.

"The new accounting methods for goodwill had a significant impact on our reported first quarter results, which do not provide the most accurate reflection of our operating performance for the period," Robert Harbage, UBICS president and chief executive officer, said in a news release.

The company registered $6.8 million in revenue during the first quarter of 2002, falling just short of its projection of $7 million made at the end of fiscal year 2001. During the first quarter of fiscal year 2001, UBICS reported a net loss of $715,000 on revenue of $10.8 million.