Minneapolis-based Xata Corp., which builds mobile information systems for transportation companies, continued to lose money in its first fiscal quarter of 2002 despite nearly doubling its revenues.
Xata posted a net loss of $371,000 on net sales of $4.3 million for its first fiscal quarter of 2002, which ended Dec. 31, 2001, compared to a net loss of $376,000 on net sales of $2.4 million in the first quarter of its fiscal 2001.
Despite the loss, Xata president & CEO Bill Flies said the company's revenue growth positions it well for success in 2002.
"We were fortunate to have started fiscal 2002 with a strong order backlog and our first quarter revenue reflects this," he said. "We continue to invest heavily in our future with new product development, particularly in our XataNet suite of software and are on track to expand this product offering later this year."
Due to the high level of research and development expenses planned for fiscal 2002 and expenses associated with entering new markets, the company continues to expect to report a net loss for fiscal 2002.
"We continue to be optimistic about our prospects for future growth," said Flies. "Fleet owners and operators are increasingly turning to advanced information technology to address safety and security issues, adhere to regulatory requirements, reduce operational costs and improve service levels. We plan to target each of these growing needs."