Billing software company Mind CTI (Nasdaq:MNDO) today reported sinking revenues and a small increase in profits for the second quarter of 2002.

The company reported $2.5 million second-quarter revenues compared with $3.3 million for the second quarter of 2001. Compared with the first quarter, however, income rose 4%.

The company lost a net $145,000 or 1 cents per share, compared with losing $896,000 or 4 cents per share in the corresponding quarter of 2001. In the first quarter it lost $635,000 or 3 cents per share.

Its results were in line with expectations of CIBC, but analysts had generally predicted that the company would lose 3 cents per share.

During the second quarter of 2002, Mind CTI's cash position increased by $400,000, the company said, lifting its cash position at the end of the second quarter to $40.2 million.

The company noted that Zamir Bar Zion, who was until recently a managing director of an investment bank, has been elected to replace Ami Amir as an outside director of the company.