SwingTrade Member Forum

[Zephyr]

NMKT - weeeeee! lol - news>> NewMarket Technology, Inc. Files SEC Form 10QSB Reporting Q204 Revenue of $7.6 Million; Approaching Breakeven with Cash on Hand of $3.3 Million

August 12, 2004 10:38:00 (ET)


DALLAS, Aug 12, 2004 (BUSINESS WIRE) -- NewMarket Technology, Inc. (NMKT, Trade) today announced filing SEC Form 10QSB reporting operation results for the Second Quarter of 2004. Net Revenue increased 1,250% from $562,000 for the quarter ended June 30, 2003, to $7.6 million for the quarter ended June 30, 2004. Second Quarter of 2004 revenue increased 280% over First Quarter revenue of $2.6 million. Forty percent (40%) of this increase or $2.8 million was due to organic sales growth of the existing core operations and organic growth from the previously acquired companies.

Substantial earnings improvements in the Second Quarter accelerated the Company toward realizing forecasted operational profitability by year end 2004. While management anticipated quarterly losses associated with investments to expand operations, the reported net loss for this quarter of $73,529 is less than 1% of revenue and reflects a reduction in loss of 88% over the previous quarter.

In addition to improved earnings, the Company also reported a working capital surplus of $1.2 million with cash on hand of $3.3 million. The reported revenue of $10.2 million for the first six months of 2004 reflects just over 50% of the forecasted booked revenue of $20 million for 2004. The Company has a revenue run rate goal of $50 million by year end 2004.

"In December 2003, NewMarket Technology announced an aggressive plan to introduce an innovative new business model that included an equally aggressive financial forecast," said Philip Verges, CEO of NewMarket Technology. "The Company is consistently meeting or exceeding both planned objectives and financial milestones. We expect to continue to meet or exceed planned objectives and milestones into the third and fourth quarter of 2004. Third and fourth quarter results will reflect our continuing organic sales growth and the additional benefit to be realized beginning in the third quarter from our recent acquisition which will contribute an additional $20 million in annualized revenue."

About NewMarket Technology Inc. (www.newmarkettechnology.com)

In 2002, NewMarket launched a business plan to continuously introduce emerging communication technologies to market. The plan included a financing model for early technologies and an approach to creating economies of scale through a specialized service and support organization intended specifically for the emerging technology industry. The Company posted six consecutive profitable quarters through 2003 and established an annualized $15 million in revenue. In 2003, NewMarket acquired Infotel Technologies in Singapore and IP Global Voice, led by CEO Peter Geddis, a former Executive Vice President and Chief Operating Officer of Qwest Communications (Q, Trade). In 2004, the Company diversified its communications technology offering into the healthcare and homeland security industries with the respective acquisitions of Medical Office Software Inc. and Digital Computer Integration Corp. RKM IT Solutions of Caracas, Venezuela was also recently acquired as NewMarket's entry into the Latin American market.

This press release contains statements (such as projections regarding future performance) that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to those detailed from time to time in the Company's filings with the Securities and Exchange Commission.

SOURCE: NewMarket Technology, Inc.


NewMarket Technology, Inc.
Investor Relations, 404-261-1196
[e-mail]
www.newmarkettechnology.com
www.ipvoice.com

Customize your Business Wire news & multimedia to match your needs.
Get breaking news from companies and organizations worldwide.
Logon for FREE today at www.BusinessWire.com.

Copyright (C) 2004 Business Wire. All rights reserved.