i2Telecom International Inc., maker of the VoiceStick, has released its first quarter earnings results.
Net loss for the first quarter of 2005 totaled $2 million, or .06 per share, compared to a net loss of $1.5 million, or .24 per share, a year earlier. i2Telecom attributes the increased losses to higher sales and marketing expenses for its VoiceStick plug-and-play VoIP device.
The company did show revenue of $186,000 for the quarter ending March 21, 2005, compared to $127,000 in the first quarter of 2004.
During the most recent quarter, we experienced some delays in the receipt of orders from several large retailers, which caused us to fall short of our expectations for consumer adoption, said Paul Arena, CEO of i2Telecom, in a prepared statement. Since then, shipments of VoiceStick sets to retailers have accelerated significantly, and the number of VoIP account activations has roughly doubled each month since January. This provides us with a high level of confidence that VoiceStick sales and recurring revenue from the provision of VoIP services will increase significantly in the second quarter and during the balance of the year.