Level 8 Systems (Nasdaq: LVEL) dramatically cut its losses but also reported a substantial drop in revenues for the first quarter.
The software developer says losses totaled $3.5 million, compared to an $11.9 million loss in the same quarter a year ago.
Revenues were $1.1 million, a 35 percent drop from the previous quarter and 86 percent under those of the same quarter in 2001.
The firm’s stock price dropped 24 cents, or 14 percent, on the news Thursday to $1.44. Level 8 stock traded at $5 in June of last year.
Earlier this year Level 8 raised $3.6 million in new equity. It also has refocused its efforts on the desktop integration market, having sold off messaging and application engineering products.
Tony Pizi, the firm’s chief executive officer, says Level 8 has “made some significant progress in lowering our cash burn rate” and added that “we have identified additional action steps to lower our costs of operations even further.”
Local Tech Wire feature on Level 8: www.localtechwire.com/article.cfm?u=812