Oct. 29, 2003 --Managed hosting provider Inflow Inc. was "EBITDA positive" for the third quarter of 2003, the company said today.
EBITDA - short for Earnings Before Interest, Taxes, Depreciation and Amortization - is an accounting tool that helps investors track the cash flow and operating results of companies with large capital expenses. For data center providers, it's an important milestone on the way to profitability.
Inflow said it had $12.1 million in total revenue in the third quarter of 2003, with 804 customers as of Sept. 30.
The company also continued to make progress on cost control, according to chief financial officer Mark Hughes, who said the Denver-based company expects to become cash-flow positive in early 2004.
"Our ability to achieve this financial milestone is a result of our company focus on process and automation, which drives efficiencies while increasing revenue," said Hughes. "Our streamlined operations model, combined with our minimal operating costs, continues to fuel our growth."
In July, Inflow announced plans to double its sales staff and expand its network of data centers, which currently includes 13 facilities in 12 second-tier US markets. Citing strong first-half sales, Inflow said it is expanding its Nashville data center center by 70 percent and plans to acquire additional facilities in several current markets.