Domain name registrar reports first quarter earnings.
Tucows (AMEX:TCX) reported first quarter earnings after the bell today and disclosed that its OpenSRS business grew 9% year-over-year in both transactions and revenue. OpenSRS includes the company’s domain registration business as well as e-mail services. The company hit a milestone of 10 million domains under management at the end of the quarter.
Net income for Q1 was $0.6 million, but that was helped by a pre-tax gain on foreign exchange of $0.7 million.
The company’s YummyNames division, which sells and monetizes company-owned domain names, grossed $1.7 million. That compares to $1.9 million in the same quarter a year ago. Despite signing long term domain sales deals, businesses like YummyNames are likely to have fluctuating revenue.
The company had $5.2 million in cash and cash equivalents on hand at the end of the quarter. That’s down from $9.6 million at the end of Q4 2009, but the change can primarily be attributed to the company’s buyback of $5.2 million in shares along with paying off $0.5 million of the company’s bank loan.
Shares of Tucows were up 4 cents to $0.75 in regular trading today before earnings were released.