Rainmaker Systems Inc. reported unaudited consolidated earnings results for its first quarter ended March 31, 2012. Net revenue in the first quarter of 2012 was $8.6 million, compared to net revenue in the first quarter of 2011 of $8.8 million. Net loss for the first quarter of 2012 was $1.5 million, or a loss of $0.05 per basic and diluted share, compared to a net loss in the preceding quarter of $1.9 million, or a loss of $0.07 per basic and diluted share, and a net loss in the first quarter of 2011 of $3.1 million, or a loss of $0.15 per basic and diluted share. First quarter 2012 non-GAAP net loss, which excludes stock-based compensation expense, amortization of purchased intangible assets, and a gain due to change in fair value of warrant liability was $1.3 million, or a loss of $0.05 per share, compared to a non-GAAP net loss in the preceding quarter of $1.6 million, or a loss of $0.06 per share, and a non-GAAP net loss in the first quarter of 2011 of $2.3 million, or a loss of $0.11 per share. Adjusted LBITDA was $614,000 for the three months ended March 31, 2012 and adds back to EBITDA non-cash stock based compensation expense of $187,000 incurred in the first quarter of 2012. The company reported operating loss was $1,408,000, loss before income tax expense was $1,396,000 against $2,997,000 and $3,034,000 respectively a year ago. Net cash provided by operating activities was $673,000 against $1,946,000 a year ago. Purchases of property and equipment were $354,000 against $446,000 a year ago. The company continues to anticipate achieving a return to positive cash flow in the third quarter of 2012.