Mobile entertainment service provider ZIM Corp. posted narrower net losses in its third quarter of $507,117 or 0.6 cents per share, despite lower revenues.
The Ottawa-based company saw sales fall 34.4 per cent to $517,969 as it continued to absorb losses from its short messaging service (SMS) aggregation services segment, which was suffering from an overcrowded market.
However, net losses fell from the same time the previous year, when ZIM lost $2.4 million or four cents a share.
“Consistent with prior quarters, our revenues continued to decrease as a direct result of our decision to move away from the low-margin SMS aggregation services market,” said ZIM chief executive officer Michael Cowpland. “We continue to be encouraged with the opportunities available to ZIM within the Internet TV industry.”
The company had cash of $342,973 at the end of the third quarter with no outstanding amounts due to shareholders or financial institutions. At the end of the last fiscal year, ZIM had cash of $237,035, a line of credit of $29,967 and owed $430,260 to a shareholder.