WebTech Wireless, a supplier of GPS location-based and fleet-telematics services, reported a second-quarter loss of C$1.6 million compared with a profit of C$966,000 a year earlier.
Revenue declined to C$7 million from C$8.1 million the year before, the company said in a statement.
“We feel that the company’s sales are not reflecting their potential given the recent rollout of several new product offerings and technologies,” WebTech Wireless CEO Scott Edmonds said in a statement.
As part of its second-quarter earnings statement, the Vancouver, British Columbia-based firm reported it discovered almost a million dollars had been diverted from its now-defunct U.K. operations from 2009 to 2012.
“We are confirming that we have a liability of C$0.8 million at June 30, 2014, related to the fraudulently diverted funds, including interest,” Chief Financial Officer Trevor Greene said in a statement.