Auctionworks, an eBay Preferred Solution Provider providing online marketplace sales management software and services, announced it achieved profitability in the fourth quarter of 2002. It helped facilitate over $148 million in customer sales in 2002, according to the company.
Auctionworks launched its service in February 2000, targeting high volume sellers on eBay. Today, the company said many of the largest businesses in the sporting goods, jewelry, electronics, computer and photography categories use Auctionworks software to manage their online business.
"The company grew gross merchandise sales by over 150% in 2002 and continues to gain momentum," stated Alec Peters, Auctionworks founder and CEO. "Most importantly, 95% of our revenue is recurring, so our profitability is sustainable."
Unlike most other software companies, Auctionworks took in a relatively small amount of capital and has relied on its growing revenues to fund the business. "We're especially proud of the fact that we have had 10 consecutive quarters of revenue growth and that employees still own almost 60% of the company," said Peters. He also said the company will be introducing new products in 2003.
