Corporate Resource Services, Inc. Reports Record Quarterly Revenues Of $200 Million; Net Income Exceeds $2 Million For The Quarter
Corporate Resource Services, Inc. (OTCBB: CRRS), a diversified staffing,
recruiting, and consulting services firm providing managed services and
trained employees in the areas of Insurance, Information Technology,
Corporate Resource Services, Inc. (OTCBB: CRRS), a diversified staffing, recruiting, and consulting services firm providing managed services and trained employees in the areas of Insurance, Information Technology, Accounting, Legal, Engineering, Science, Healthcare, Life Sciences, Creative Services, Hospitality, Retail, General Business and Light Industrial work, today reported results for the quarter ended December 28, 2012, which included record quarterly revenues of $200.2 million, an increase of 23.2% over the same quarter in 2011. Net income increased 74.2% to $2.0 million for the quarter. “The results for our most recent quarter demonstrate that we are on track with our plans to integrate our recently acquired operations,” said John Messina, CEO of Corporate Resource Services. “At the same time, we continue to drive revenue growth at a rate that is among the highest in the staffing industry and we are very pleased that our quarterly revenue exceeded $200 million for the first time. We will continue to focus on rationalizing our cost structure and improving our profit margins. We are off to a great start for 2013.” Corporate Resource Services recently announced that it was changing its fiscal year end from the Friday closest to September 30 th to the Friday closest to December 31 st. As a result, the Company reported its quarter ending December 28, 2012 as a transition period on Form 10-QT filed with the Securities and Exchange Commission. Based on preliminary results, the Company is increasing its guidance for expected revenues in the first quarter of fiscal 2013 from its initial range of $165 to $170 million to $175 to $180 million. In addition, it is reducing its expected net loss for the first quarter, which is due mainly to the seasonal reset of payroll tax wage limits at a time when the Company is incurring the last of its integration expenditures, from an initial range of approximately $1.5 to $1.8 million to a range of $1.4 to $1.7 million. For the full year of 2013, the Company now expects to achieve net income of between $7.0 and $8.5 million on revenues of approximately $750 to $800 million.