Everybody likes breaking records and landing new contracts, especially if you’re a professional athlete or a public company because that means more recognition and most importantly … more money! That’s the story for IA Global Inc. (Amex: IAO) in the first quarter of 2007.
Revenue for the first quarter ended March 31, 2007, jumped an incredible 77 percent to $6.5 million from $3.7 million in the first quarter of 2007. Gross profit ballooned up 155 percent to $5.5 million from $2.2 million in the year ago period. Net loss also declined to $844,000 from $1.4 million in the first quarter of 2006.
The company said in a press release that it successfully executed a contract with a major international insurance company during the three months ended Dec. 31, 2006 and recognized $646,000 in revenue for the first quarter of 2007. The company also landed a new contract with a Tier 1 telecommunication company for the period Jan. 1, 2007 to March 31, 2007 and renewed this contract for the period April 1, 2007 to June 30, 2007.
IA Global also regained full compliance with the continued listing standards of the American Stock Exchange.
Everyone knows cash in small companies provide the much needed leverage for acquisitions, mergers and financing. IA Global has a strong cash position posting $3.9 million at March 31, 2007.
The company boasted strong revenue guidance expecting 2007 results to double from the $19.1 million reported in 2006.
IA Global is a strategic holding company with a dedicated focus on growth through mergers and acquisitions in the Pacific Rim region. In Japan, IA Global is 100 percent owner of Global Hotline Inc., an operator of major call centers for telemarketing of telecommunications and insurance products.
Shares of IA Global closed up 7 cents (17 percent) at 49 cents per share on volume of 272,100.