While revenue decreased by 16%, MandrakeSoft says operational expenses have been reduced by 39%, and that while the company is still not profitable, it has lost less money in the last year than ever before.
This, though, is the most telling statement in the report:
The company entered redressement judiciaire (a Chapter 11 like process) on January 27, 2003. It was granted an initial six month "observation period", which was renewed in July 2003. Throughout this process, the company is assisted by a court appointed administrator. The company has exploited this opportunity to eliminate a number of long term contracts unnecessary for current or planned operations.
The company is now preparing a plan to exit the redressement judiciaire and resume normal trading.
This is good news not only for MandrakeSoft investors, but for anyone who values MandrakeSoft's many contributions to the Linux and free software communities, and hopes to see Mandrake remain one of the world's premier Linux distributions for many years to come.