KowaBunga! Inc fka KOW (KOW)

[shmolton]

CGI Holding Corporation Reports Record Year
Thursday March 31, 4:05 pm ET
Company Posts 203% Revenue Increase and 820% After-Tax Earnings Increase over Prior Year


NORTHBROOK, Ill.--(BUSINESS WIRE)--March 31, 2005--CGI Holding Corporation (AMEX: THK - News), which plans to seek shareholder approval to change its name to Think Partnership Inc., today announced its financial results for 2004 and for the three months ended December 31, 2004. The Company's 2004 revenues rose to $21,473,565, a 203% increase over 2003. The Company's 2004 pre-tax earnings rose to $4,726,199, a 500% increase over 2003. The Company's 2004 after-tax earnings rose to $2,939,966, an 820% increase over 2003. The Company's 2004 after-tax earnings rose to $0.10 per diluted share, an increase of 900% over 2003.
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The Company's revenues in the fourth quarter of 2004 rose to $7,352,460, a 173% increase over the fourth quarter of 2003. The Company's pre-tax earnings in the fourth quarter of 2004 were $1,138,997, a 123% increase over the fourth quarter of 2003. The Company's after-tax earnings in the fourth quarter of 2004 were $724,737, a decrease from the Company's after-tax earnings in the fourth quarter of 2003 which were $1,242,441. The Company's after-tax earnings in the fourth quarter of 2004 were $0.02 per diluted share, a decrease from the Company's after-tax earnings in the fourth quarter of 2003 which were $0.05 per diluted share. This decrease in after-tax earnings and in after-tax earnings per diluted share in the fourth quarter of 2004 was due to a combination of factors including: a higher than expected bad debt writeoff during the fourth quarter of 2004; disproportionately higher sales later in the quarter, combined with a number of longer-term contract signings, which resulted in lower than anticipated revenue recognition during the fourth quarter of 2004; a higher number of shares and warrants outstanding due to our December 2004 private placement; and the elimination of a deferred tax valuation allowance during the fourth quarter of 2003.

Gerard M. Jacobs, the Company's CEO, stated, "Think Partnership Inc. grew significantly during 2004: our WebSourced subsidiary showed robust growth in its search engine optimization business, and launched a new pay per click advertising campaign management business which is now managing an average of $1.9 million per month in spending. We also entered the growing online dating business with our acquisition of WebCapades, now called Cherish. And, our aggressive acquisition efforts during the second half of 2004 have culminated in our 2005 acquisitions to date of the MarketSmart Companies, Personals Plus, Ozline, KowaBunga and Smart Interactive."