Revenue during the quarter went down marginally by 2.39 percent to $4.46 million from $4.56 million in the previous year period. Gross margin for the quarter contracted 424 basis points over the previous year period to 54.39 percent. Total expenses were 78.81 percent of quarterly revenues, up from 75.42 percent for the same period last year. That has resulted in a contraction of 339 basis points in operating margin to 21.19 percent.

Operating income for the quarter was $0.94 million, compared with $1.12 million in the previous year period.

Monica Iancu, MIND CTI chief executive officer, commented: "To succeed in the age of digital services, carriers need fast and agile ways of digital transformation. We understand our customers' business, their needs and challenges. We have the teams and the expertise to provide timely upgrades and customizations required to support our customers in the ever changing market place. Competition in our industry is intense. We compete against global billing vendors with greater name recognition. We compete against vendors that offer network equipment as well as billing software and against vendors that focus on specific markets. At all levels, there is severe pricing pressure. We are pleased with our execution of ongoing projects and the recurrent revenue stream. We plan to further enhance the professional services component of our business, to continue investing in technology, seeking to enter new markets and focusing on our profitability targets."

The company has spent $6.12 million cash to carry out financing activities during the quarter as against cash outgo of $5.16 million in the last year period.

Cash and cash equivalents stood at $7.18 million as on Mar. 31, 2017, up 1.77 percent or $0.12 million from $7.05 million on Mar. 31, 2016.