StarTek?s Income Falls as Turnaround Continues

Business process outsourcing firm StarTek Inc. (NYSE: SRT) reported today third quarter net income of $371,000, a 76 percent decline from profits of $1.6 million in the third quarter of 2006. Through the first nine months of 2007, the company had losses of nearly $3.3 million, down from profits of $4.5 million during the same period in 2006.

Denver-based StarTek reported revenues of nearly $63.2 million, record and a rise of 2 percent from $61.8 million in the third quarter of 2006. StarTek said the growth was due to reopening a call center in Petersburg, Va., greater business from current clients, the signing of two new accounts and greater productivity.

The company reported its quarterly income was lowered due to Canadian currency exchange rates and a $1 million restructuring and impairment charge for the closing of its Hawkesbury, Ontario center.

StarTek operates 19 facilities in the U.S. and Canada.