Q2 2020 Earnings Call
internet phone business
Subscription revenue for our cloud-based unified Communications offering grew by 42% year-over-year to seven and a half million dollars. We added 11,000 net seats from organic growth this quarter Thursday. We are cumulative total seats served as of January thirty first two 123,000 seats, exclusive of the impact of the Ring South acquisition during the second quarter ring South a highly-regarded Spanish UPS provider gives us a foothold to address the broad you Market with an initial focus on Spain as I mentioned last quarter. We are also accelerating software development and deployment of noon at the phone for more features to drive larger account wins. For instance. We recently released an integration solution with Microsoft teams teams is Microsoft collaboration platform to facilitate Communications sharing and collaborative work within groups and organizations with our integration teams users can now access net phone services including unlimited international calling from inside dog.
environment this
Integration in combination with others will be releasing later this year will enhance Netflix ability to address Enterprise Market customers and we have already started to see the benefits this quarter with a $500 plus seat deal and multiple other large deals in our interests business Revenue in the second quarter was roughly in line with our expectations increasing 35% year-over-year to 2.1 million dollars off but decreasing from 2.4 million dollars in q1. One of the reasons for the lower Revenue was that we incentivize new retailers to sign up for both NRS pay and our POS and exchange. They received a discount of approximately 33% of their purchase.
That's a great deal for them and for us interests pays our payment processing solution that enables retailers to accept all major forms of electronic payments including credit card and debit cards as well as electronic benefits transfer or EBT and soon Wick because of the services compelling economics new interest pay retailers quickly generate more than enough incremental margin to cover the discount on the time nevertheless in the second quarter revenue from the sale of new POS terminals was negatively impacted by this change an arrest continue to expand its retailer customer Network in the court applying over 750 POS terminals at January 31st, the interest Network comprised approximately $8,700 active Terminals and our Boss Revolution International money transfer service business Revenue increase 45% year-over-year to seven point seven million dollars last quarter. I mentioned that we were working hard to grow retailer origination transaction volumes that approaches work log.
well with the year-over-year transaction growth
Seating 60% for the quarter in our core offerings. We have been contending with an industry-wide decline in the pavement and Telecommunications market for years. These headwinds drove a year-over-year decrease in core of $1,000 percent of Revenue or twenty nine point nine million dollars to three hundred and one point two million dollars. However, the margin contribution percentage of our three largest core offerings Boss Revolution calling Palm tire services and mobile top up all increased year-over-year offsetting virtually all the revenue impact on our bottom-line the stable contribution from the core businesses in combination with the expansion of our higher margin growth of businesses resulted in an increase in Consolidated Revenue, Less Direct cost of Revenue to sixty one point two million dollars the highest it has been in any quarter since fiscal 2016, excuse of an outlier and Q4 2018.
Income from operations with 1.3 million dollars in the second quarter compared to a loss from operations of $457,000 in the year-ago quarter and a loss from operations of 1.4 million in the first month. I just did Evita was seven point four million dollars unchanged from the year-ago quarter and a slight increase from 7.3 million in the first quarter.
Overall, this quarter's results were consistent with recent quarters with growth from a new businesses and stable margin contribution from our core and our growth accelerated into the quarter end now Marcella and I would be happy to take your questions.
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