Ackroo cuts operating costs to boost profit

Ottawa gift card and loyalty solution provider Ackroo’s second-quarter results released Tuesday showed reduced sales but increased gross profits over the same period last year.

Sales dropped from $290,259 to $285,673. The company’s gross profits came in at $196,073, compared with $189,572 for the quarter ending June 30, 2013.

“Reducing our operating costs has been a large focus for Ackroo this year," said Ackroo CEO Steve Levely in a statement.

The company, based on Hazeldean Road, reported it had reduced operating costs by 32 per cent.

"In order to achieve our goal of business break-even, we put great focus in Q2 on cost reduction in all aspects of the business,” said Mr. Levely.

He said Ackroo (TSXV: AKR) was also able to secure deals with Air North and Mr. Gas, bringing it up to 800 clients across North America, and positioning it well for the third quarter and beyond.