AdSouth Partners Reports Record 677% Increase in Quarterly Earnings and 295% Increase in Advertising Revenues
BOCA RATON, Fla., Aug 16, 2004 /PRNewswire-FirstCall via COMTEX/ -- AdSouth Partners, Inc. (ADPR), AdSouth is pleased to announce today that its Advertising operations segment revenues increased 295% sequentially from $375,000 for the first quarter of 2004 to $1.48 million for the second quarter of 2004. The Company also reported that its Advertising operations segment income before the deduction of depreciation and non cash stock based compensation increased 677% from a loss of $106,000 for the first quarter of 2004 to income of $611,000 for the second quarter. In addition, the Advertising operations segment GAAP profits increased from an operating loss of $3.293 million for the first quarter of 2004 to operating income of $469,000 for the second quarter of 2004.
"We are pleased at the dynamic growth both in revenue and in profit during the second quarter of 2004," said John P. Acunto, Jr., Chief Executive Officer and Chairman of the Board. "We are optimistic as we look towards the balance of 2004 to continue these positive trends," added Acunto.
The Company's Product segment, which features the Dermafresh skin care product line, completed its test marketing campaign in the second quarter. Furthermore the divisions infrastructure was established, systems were put in place, a national network of sales representatives was rolled out and the first shipments of "Dermafresh" product arrived in the warehouse. In addition, several local and national ads were run with the results exceeding expectations, and the Company received commitments for product from several important national retailers. "The preliminary results from Dermafresh have been very encouraging. Major retailers have embraced Dermafresh and we are prepared to execute sales forecasts for the balance of the year," stated John Cammarano, President.
Overall, the consolidated results of the Advertising and Product segments resulted in consolidated income before the deduction of depreciation and non cash stock based compensation of $464,000 for the second quarter of 2004, a 340% increase compared to the loss of $195,000 for the first quarter of 2004. Consolidated GAAP net income for the second quarter of 2004 was $251,000 compared to a consolidated net loss of $3.886 million for the first quarter of 2004.
Outlook
Based on our strong performance in the second quarter of 2004 and the continued momentum that we are currently experiencing in the third quarter of 2004, the Company currently projects that revenue and earnings growth will continue through the second half of 2004.
AI
