First quarter loss for Think Tools

Software and consulting group, Think Tools, is warning of a weak second quarter, after its figures dipped into the red in the first three months of the year.

The company announced on Wednesday a net loss of SFr4.2 million ($2.38 million) in the first quarter of 2001 compared to a profit of SFr1.4 million in the same period last year.

“Think Tools does not expect to return to profitability in the second quarter of 2001. Currently sales are not certain to reach last year’s level,” the company said in a statement.

The firm had said it would post a profit in the second quarter and that 2001 revenues would roughly match the SFr25.3 million of 2000.

Think Tools said its weaker performance reflected the fact that its management structure had not kept up with rapid growth after the company went public.

The failure of an e-bank project with Vontobel, in which Think Tools had an 18.2 per cent stake, was also a major setback, and would dent revenue figures for the current year, the company said in a statement.

swissinfo with agencies