RMH Reports Return to Profitability, GrowthRMH Teleservices yesterday reported a net income of $87,000 for the first three months of 2001, a return to profitability after a rocky finish for the company last year.
During the last three months of 2000, the Bryn Mawr, PA-based company recorded a $3.3 million loss, largely resulting from the costs of closing several call centers. The closings were associated with the loss of a major insurance client.
Overall revenue for the first three months of 2001 increased to $43.1 million, up 37 percent from the same period in 2000. During the first three months of 2001, revenue from the company's clients in the insurance industry increased 56 percent over the previous quarter, while revenue from clients in the telecommunications industry increased 20 percent.
The most significant revenue growth came from technology clients. Revenue from this sector grew from $1 million in the last three months of 2000 to $5.4 million in the first three months of 2001.
Company CEO John Fellows said technology clients accounted for 13 percent of the company's overall revenue and helped to improve the balance between RMH's inbound and outbound businesses. Outbound calling makes up 66 percent of RMH's activities.
Also during the first three months of 2001, RMH opened six new call centers, increasing the number of workstations to 5,000.
Fellows called the first three months of 2001 "one of the most important" quarters in company history. He said the trend of increasing sales and accelerating growth was expected to continue.
"Not only did we operate effectively during a dramatic growth period," Fellows said, "but we succeeded in further diversifying our client base while returning to profitability."