American Businessphones Says Profits for ’87 Nearly Doubled
American Businessphones Inc. of Irvine, realizing the benefits of a refocused marketing effort and a less ambitious expansion program, reported that its fiscal 1987 profits nearly doubled to $1.1 million from $557,000 the previous year.
ABI’s sales were $27.1 million for the year ended June 30, a 14% increase over $23.9 million a year earlier.
For the fourth quarter, the company recorded profits of $330,000, more than double the $152,000 of a year earlier. Sales of $7.1 million were up 11% from $6.4 million in the final quarter of ABI’s fiscal 1986.
ABI President and Chairman Frank Feitz attributed the dramatic earnings increase to the company’s decision to stop selling equipment to retail customers in need of only a handful of telephones.
During the last year, ABI converted its four retail telephone stores in Santa Ana, Anaheim, Los Angeles and Colton into sales demonstration centers for clients needing systems with 10 to 150 telephones. The average system sold by ABI has 25 instruments.