Iomega Corporation, the parent company of Iomega has reported a successful first quarter's trading.

The company achieved $9.8 million net income in the quarter, which ended April 1. Revenues decreased by $66.7 million compared to the year-ago quarter. Iomega blames this on lower revenues from its Zip and Jaz drives.

Bruce Albertson, Iomega president and CEO, said: "We were able to control costs and increase pre-tax income by five per cent compared to the fourth quarter of 2000.

"We believe that our newest products, Predator, HipZip, and Peerless drives for the Mac market, as well as upcoming product releases, demonstrate our commitment to develop growth opportunities."

The company has cash and investment reserves of $372.9 million.