RA'ANANA, Israel, March 22, 2012 /PRNewswire/ --
MTS - Mer Telemanagement Solutions Ltd. (Nasdaq Capital Market: MTSL), a global provider of business support systems (BSS) for comprehensive telecommunication management, telecommunications expense management (TEM) solutions and customer care & billing (CC&B) solutions, today announced its financial results for the fourth quarter and the year ended December 31, 2011.
Revenues for the year ended December 31, 2011 were $12.0 million, compared with revenues of $11.6 million in 2010. Revenues for the fourth quarter of 2011 were $3.2 million, compared with revenues of $3.0 million in the fourth quarter of 2010.
Net income for year ended December 31, 2011 was $387,000, or $0.09 per diluted share, compared with net income of $176,000, or $0.04 per diluted share for 2010. Net income for year ended December 31, 2011 was negatively affected by legal expenses and settlement costs of approximately $640,000 relating to an alleged patent infringement claim. No additional litigation expenses associated with this claim are expected to be incurred in 2012.Net loss for the fourth quarter of 2011 was $201,000, or $0.05 per diluted share, compared with, net income of $117,000 or $0.03 per diluted share in the fourth quarter of 2010. Net loss for the fourth quarter of 2011 was mainly the result of a lump sum payment made in connection with a settlement relating to an alleged patent infringement as well as a loss relating to our discontinued operations in Brazil. As of December 31, 2011, we had cash and marketable securities of $3.4 million as compared to $2.3 million as at December 31, 2010. During the year ended December 31, 2011 we had positive operating cash flow of $1.1 million, as compared to a $71,000 used by operating activity during the year ended December 31, 2010. "MTS has made sustained changes in its operations by reducing operating expenses and we are seeking new business opportunities. The results of this process are reflected in the Company's improved cash position and financial results," said Eytan Bar, CEO of MTS. "The Company continues to develop Telecom Expense Management opportunities through partners and existing customers. In addition, the Company's Billing and Mobile Virtual Network Operator's (MVNO) activity has grown both as a licensed offering and as a managed service. We are looking forward to improve both our top and bottom line performance," concluded Mr. Bar.