Revenue during the quarter went up marginally by 2.13 percent to $14.47 million from $14.17 million in the previous year period. Gross margin for the quarter contracted 352 basis points over the previous year period to 40.87 percent. Total expenses were 91.45 percent of quarterly revenues, up from 88.96 percent for the same period last year. That has resulted in a contraction of 250 basis points in operating margin to 8.55 percent.

Operating income for the quarter was $1.24 million, compared with $1.56 million in the previous year period.

However, the adjusted operating income for the quarter stood at $1.24 million compared to $1.56 million in the prior year period. At the same time, adjusted operating margin contracted 250 basis points in the quarter to 8.55 percent from 11.04 percent in the last year period.

Bart Shuldman, Chairman and Chief Executive Officer of TransAct, commented, “Third quarter sales in our POS automation business were strong and interest in our AccuDate line of food safety terminals continued to accelerate as we made notable progress in securing new approvals with restaurant and food service operators that we believe will support future sales momentum. Quarterly highlights also included the completion of a new international installation of our Epicentral software-based promotions and bonusing print system and the debut of new innovations for our Epicentral product line that will allow us to tap into growing industry interest in this innovative solution.

Cash conversion cycle (CCC) has decreased to 54 days for the quarter from 73 days for the last year period. Days sales outstanding went up to 33 days for the quarter compared with 32 days for the same period last year.

Days inventory outstanding has decreased to 51 days for the quarter compared with 73 days for the previous year period. At the same time, days payable outstanding went down to 30 days for the quarter from 32 for the same period last year.