Multiple Zones reports Q1 profit, name change
Washington-based Multiple Zones, Inc., parent company of catalog reseller The Mac Zone, announced recently its first quarter results. The company earned US$104,000, or $0.01 per share, compared with a net loss of about $673,000 for the same quarter last year.
Year over year, the company reported a 27.6 percent net revenue increase, to $161.2 million. Multiple Zones, Inc. reports that its growth was partly due to its Zones Business Solutions (ZBS) sales division, which focuses on small to medium sized businesses (SMBs), enterprise accounts, educational institutions and the government market.
Although the company's news was good overall, Multiple Zones, Inc. had some troubling news for folks in the Mac market. According to the company's figures, sales of Mac CPUs dropped 35 percent in the first quarter, compared with the same period last year. "This decrease is consistent with the industry-wide Mac platform sales decline," said the company.
In other news, the company plans to change its name on May 10th from Multiple Zones, Inc. to Zones, Inc. to better reflect its consolidated marketing strategy. "The Company will uphold its Mac Zone legacy and will distribute catalogs under this name, marketing to its loyal Mac customer," according to a press release.
Multiple Zones president and CEO Firoz Lalji said he's extremely pleased with their quarterly results. Despite the current economic landscape and the Seattle earthquake, they were able to remain profitable, he said.
"The slowdown in corporate IT spending has created a more intense competitive landscape that is disrupting the stability of pricing and exerting pressure on margins across all product lines," noted Lalji.