Net income for the first quarter of 2009 was $3.5 million, or $0.09 per fully diluted share, a decrease of US$1.4 million, or 29 percent, from US$4.9 million, or $0.13 per fully diluted share, for the first quarter of 2008.
"We continue to see strong interest in our products," said Jan Valcke, President and COO VASCO .
"As compared to prior years, however, many of our customers appear to be operating with lower levels of our product in their inventory and placing more orders for smaller quantities to meet their short-term business needs.
"In spite of the difficult economic climate, we were encouraged by the increase in the number of new banks when compared to the fourth quarter of 2008."
There were some financial highlights for the company including gross profit was US$16.7 million, or 72 percent, of revenue for the first quarter of 2009. Gross profit was US$20.0 million, or 69 percent, of revenue for the first quarter of 2008.
VASCO also won 357 customers in Q1 2009 (51 new banks and 306 new enterprise security customers) including HSBC Bank Paraguay, Square Enix Co. a video game company based in Japan and the German Bank LBBW/BW.
It also expanded its training capacity with four authorised training centres in Italy, the UK, Belgium and Denmark.
The VASCO Authorised Training Centres are part of its Security Experts Academy & eLearning (SEAL) launched in October 2008.
Cliff Bown, executive vice president and CFO said during the first quarter 2009 both its cash and working capital balances decreased nominally.
"For the first quarter our net cash balance decreased $0.4 million, or 1 percent, and our working capital decreased $0.7 million, or 1 percent, from December 31, 2008," he said.
"Days sales outstanding in net accounts receivable at March 31, 2009 increased to 84 days from 79 days at December 31, 2008."
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