The momentum we built in the second half of 2010 continued into the first quarter of 2011. Revenues for the first quarter grew to $7.8 million, a 28% increase over the first quarter of 2010 and an 8% sequential increase over the fourth quarter of 2010.In addition to a solid foundation of recurring service contract revenue from our Asset Intelligence business, we saw sales of our core wireless industrial vehicle management systems increase during the fist quarter as improving conditions in the supply chain technology market reflected the overall global economic turnaround. Our customers continued to drive significant benefit from our wireless solutions. During the first quarter, we received orders from existing customers for both system expansions and long-term maintenance renewals. We also won new customers during the quarter particularly though our lift-truck dealer channel partners, which we see as a positive indication that industrial vehicle management is increasingly considered a best practice in corporate supply chains. Our strategy of introducing a simplified version of our vehicle management system, which we call PowerBox, seems to be paying off. This system provides customers with a highly defined set of core vehicle management functions making its value proposition easy to understand. It is packaged as a relatively low cost subscription service making it easier for customers to acquire and quicker to generate positive cash flow and return on investment. PowerBox is also extensively pre-configured and being mostly hosted by I.D. Systems, so it’s easy to implement without costly services. It essentially works out of the box which as far we know is unique among industrial vehicle management systems. In addition to helping us win new customers, we may not have otherwise, the introduction of PowerBox has served as a catalyst for sales of our full-featured PowerFleet vehicle management system. Some customers initially focused on the core functions and competitive pricing of PowerBox, but after analyzing the cost benefit proposition of all of our offerings they end up upgrading to the more flexible option-rich PowerFleet solution.
We are executing on other aspects of our growth strategy as well. We are sustaining a healthy gross profit margin, continuing to control operating costs and maintaining a strong balance sheet, with no debt.Excluding stock-based compensation and depreciation and amortization of intangible assets, our non-GAAP net loss for the first quarter of 2011 improved to $852,000 compared to a non-GAAP net loss of $3.2 million for the first quarter a year ago. We’re encouraged by our first quarter results and the direction of our business. We remain on track to achieve our primary goals, the preeminent position in the field of wireless asset management and net profitability in 2011. Thank you for you time this afternoon. I look forward to your questions later on the call. Now, let me turn it over to our CFO, Ned Mavrommatis, to detail our financial results. Ned Mavrommatis Thank you, Jeff, and hello to everyone on the call today. The company’s financial results continued to improve in the first quarter of 2011. The first quarter of 2011 is the third quarter in a row where the company had sequential revenue growth. Revenue for the first quarter was $7.8 million, approximately 28% higher than the prior year first quarter revenue of $6.1 million and 8% higher than the fourth quarter revenue of $7.2 million. Recurring service contract revenue for the quarter was $3.5 million or 45% of the overall first quarter revenue. As of March 31, we had approximately $29 million of revenue backlog to be recognized over the next few years. Read the rest of this transcript for free on seekingalpha.com