As mentioned in previous earnings calls, the company is aggressively pursuing a plan we refer to as the Pathway to Profitability. We are pleased to report that we’ve already made significant progress on this front. First we’ve form a committee to scrutinize all expenses with the clear objective of eliminating, reducing and managing these costs downward. Based on the committee’s recommendations, we’ve successfully cut cost and streamline corporate overheads through the cancelation of various ongoing employment and consultant agreements. We now believe our overall corporate cost run rate are in line with industry norms. While we are pleased to see these costs reducing as percentage revenue we know it remains plenty of room of improvement and we’re committed to our Pathway to Profitability and we’ll continue to search out additional savings.
The company reported a net loss of $8.8 million for the quarter, compared to a loss of 4.1 million in the prior year. It’s absolutely imperative that you understand that the net loss that year contained $7.9 million of noncash charges including a $5.2 million one-time only noncash restructuring charge that relates to our Pathway to Profitability. If you’d like to see additional color and detail regarding these charges I would call your attention to yesterday’s earning’s press release, this includes a detailed schedule reconciling the reporting net loss to positive adjusted EBITDA of approximately $572,000. These non-GAAP adjustments are clearly itemized in the press release and includes traditional EBITDA adjustments $5.7 million one-time restructuring charges, as well as various acquisitions, capital raising, non-cash and other non-recurring costs.
With the full impact of the acquisitions now assimilated, our quarterly revenue of $33.9 million now corresponds to our annual run rate of $130 million. However, please keep in mind that our Q3 results will likely show us sequential dip in revenue due to the seasonal effects of the winter weather in our revenue cycle. This seasonal impact is common throughout Staffing industry as well as many other businesses with operations in the North East. We’ve already facted into our annual budget and we still expect to report organic year over year improvements in Q3.
In conclusion, I want to reiterate that we are pleased with the tremendous revenue and gross margin growth. We are encouraged in reporting positive adjusted EBITDA earlier than forecasted and look forward to reporting in the very near future positive EBITDA. Going forward the company’s cash flow should continue to improve, EBITDA profitability will follow shortly there after and share price should begin to reflect our efforts and the company’s financial performance and opportunity With that said, it’s my pleasure to introduce Matt, our CEO, for further discussion about the company’s operations. Matt?
