Red Hat Swings Back Into Black
The open-source and Linux provider also significantly reduced its operating loss.Open-source and Linux provider Red Hat Inc. swung back into the black in the first quarter of its 2004 fiscal year, while at the same time significantly reducing its operating loss. The company posted net income of $1.5 million, or $0.01 a share for the quarter, ended May 31. This compares to a net loss of $273,000, or break-even per share, in the prior quarter, and a net loss of $4.6 million, or $0.03 per share, in the same year-ago quarter. Red Hat also reduced its net operating loss to $1.1 million in the quarter, compared to a net operating loss of $2.4 million in the prior quarter and a net operating loss of $7.2 million in the first quarter of its 2003 financial year.
"Continued scaling of the business model, as the sequential reduction in the companys operating loss of $1.3 million, equated to the sequential increase in revenues," Kevin Thompson, Red Hats chief financial officer, said in a statement released Tuesday.