CARROLLTON, Texas-CellStar Corp. said it revised its financial results for the first quarter, as announced on March 23. First-quarter revenues were reduced from $524.7 million to $515.3 million; net income was reduced from $16.8 million to $15.6 million; and earnings per share were lowered 1 cent, from 27 cents to 26 cents per diluted share.
The revenue recognition error was discovered during the performance of one of the company’s internal audits. The removed revenues will be appropriately recorded in the second quarter, ending May 31, said CellStar.
