Protection One Reduces Its Losses in First Quarter
As it continues to reduce a debt that nearly forced it to declare Chapter 11 bankruptcy, Protection One reported a less substantial net loss in its first quarter for 2005 compared to last year despite a slight drop in revenue. Pro One had a net loss of $14.6 million for the period between Jan. 1 and March 31 of this year, compared to a $309.4 million loss for the same period a year ago.
Revenues, meanwhile, were down around 2 percent to $65.5 million compared to $67.1 million for the first quarter of 2004. As of March 31, Protection One had recurring monthly revenue (RMR) of $19.9 million, a less than 1-percent decrease from 2004.
“We achieved improvement in customer attrition rates and consistent financial performance during a quarter in which we consummated a restructuring transaction, reduced debt and embarked on a successful senior debt refinancing,” said Protection One President and CEO Richard Ginsburg in a statement. “We continue to push forward with our goal of achieving recurring revenue growth in 2005.”
It has been en eventful past year for Protection One, with its sale to the Quadrangle Group in February 2004, and finishing a restructuring of its debt this past February that warded off a possible filing for Chapter 11.
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