In fiscal results Thursday, Subex Ltd. Chief Executive Subash Menon on Thursday acknowledged "tough head winds in Europe" and a struggling telecom sector.
Subex, a global provider of business support systems for communications service providers, reported a net loss (before exceptional items and taxes) of $730,000 (U.S.). That compares to a profit of $2.74 million in the same period last year.
“While the business climate is definitely quite tough with strong head winds in Europe and the telecom industry experiencing bad times, we are confident of maintaining our leadership position in the Business Optimization space," Menon said in a statement. "Our current quarter results have been impacted by the change in revenue recognition and this will get evened out during the year. This change was essential to be in line with the changes in our revenue model."
Subex, based in Bangalore, India, reported $15.12 million in net income from operations, $13.07 million in net consolidated income from product and product related operations, $1.07 million in product EBITDA and $1 million in consolidated EBITDA.