Information Analysis, Inc. (IAI) reported Thursday its first fiscal quarter in 2011 ended with a $9,000 net loss.
Revenues for that quarter, which ended on March 31, were $1,424,000. This time last year, IAI was posting a revenue of $2,015,000 for the end of 2010’s first quarter, and was celebrating a net income of $104,000.
In explaining the drop, Sandor Rosenberg, IAI’s Chairman and CEO, said the federal government was primarily to blame.
“The Company’s revenue and profits were down in the first quarter in comparison to the first quarter of 2010… this was due, in large part, to the delay in government budget approvals,” he said. “We expect to achieve a higher revenue level in the second quarter now that funding has been approved for the remainder of the government fiscal year. We are actively pursuing the system modernization business where we have observed an increase in opportunities in both the government and commercial marketplace.”
IAI, an information technology services company based in Fairfax, Virginia, specializes in web solutions and modernization of legacy systems. Rosenberg said the company will “continue to pursue merger and acquisition opportunities.”