Dynamic Response Group, Inc. Announces 2nd Quarter Results: Net Profit & Decreased Operating Expenses
Reorganization Key to Profitability; New Subsidiary Provides High Hopes for Big 4th Quarter
MIAMI, FL, Aug 17, 2009 (MARKETWIRE via COMTEX) -- Dynamic Response Group, Inc (OTCBB: DRGZ) announced today, results for the Quarter ended June 30, 2009. As a result of aggressively reducing expenses, implementing salary furloughs, and eliminating underperforming products, we recognized net income of $59,957 (earning .05 cents per share) for the second quarter of 2009 as compared to a net loss of $341,516 during the first quarter. The first quarter loss was due to a one time write down of $394,433 of bad debt & nbs. Generally the Company has started the process of rolling out several new and innovative products and expects to have finalized the funding for its subsidiary Medico Express and converting its debt to equity in coming weeks. While second quarter revenues are traditionally lower than other quarters, sales are down over second quarter last year. The Company does plan to ramp up in coming quarters to match previous revenue numbers, but it intends to do so slowly in order to control expenses.
2nd Quarter Highlights
-- Net profit of $59,957 for the three months ended June 30, 2009 up $1,929,002 as compared to $(1,869,045) for the same period in 2008.
-- Total operating expenses decreased $8,167,420 or 59% to $5,612,108 for the six months ended June 30, 2009 as compared to $13,779,528 for the six months ended June 30, 2008
The company will continue its efforts to drive growth and increase sales. DRG has added to its product lineup, most notably;
-- Aeropedic which we anticipate testing during 3rd Quarter '09.
-- Gem Magic which we expect to test during 4th Quarter of '09.
-- Our subsidiary, Medico, was approved for billing on July 28, 2009.
About Dynamic Response Group
Dynamic Response Group, Inc. is a marketing company, developer and distributor of personal development, wellness and entertainment consumer goods and services through print catalogs, radio, direct mail, direct response television programming (also known as DRTV or infomercials) and the Internet.
About Medico Express
Medico Express markets direct-to-consumer medical products designed to help treat Diabetes and other diseases. Medico's marketing strategy specifically targets Hispanic communities throughout the Continental U.S., Puerto Rico and the U.S. Virgin Islands. Medico Express, Inc. is a majority owned subsidiary of Dynamic Response Group, Inc
Forward-Looking Statements
This press release includes statements that constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Reform Act"). Dynamic Response Group, Inc. claims the protection of the safe-harbor for forward-looking statements contained in the Reform Act. These forward-looking statements are often characterized by the terms "may," "believes," "projects," "expects," or "anticipates," and do not reflect historical facts. Specific forward-looking statements contained in this press release include, but are not limited to: our successful integration of diversified growth companies, impact of the company's expansion plan, and new business development success, future financial results, development and acquisition of new product lines and services, the impact of competitive products or pricing from technological changes, the effect of economic conditions and other uncertainties. The forward-looking statements contained herein involve risks and uncertainties that could cause actual results to differ materially from the expectations contained in any such forward-looking statements. These risks include, but are not limited to: failure to manage operating expenses or integrate new companies and/or technologies, each of which could have a material impact on our business, our financial results, and the company's stock price. These risks and other factors are detailed in the Company's regular filings with the U.S. Securities and Exchange Commission. Most of these factors are difficult to predict accurately and are generally beyond the Company's control. Forward-looking statements speak only as to the date they are made and Dynamic Response Group, Inc. does not undertake to update forward- looking statements to reflect circumstances or events that occur after the date the forward-looking statements are made.
Investor Relations Contact:
Mirador Consulting, Inc
Frank Benedetto
561-989-3600
877-647-2367
SOURCE: Dynamic Response Group, Inc.
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SUBJECT CODE: Lifestyle and Leisure:Personal Care/Fitness
Retail:Consumer Interest
Medical and Healthcare:Surgery and Treatments
Media and Entertainment:Television
