NEW BERLIN, Wis., Aug 11, 2010 (GlobeNewswire via COMTEX) — International Monetary Systems, Ltd. /quotes/comstock/11k!itnm (ITNM 1.14, 0.00, 0.00%) , a worldwide leader in business-to-business barter services, has reported its financial results for the second quarter and six-month period ended June 30, 2010.
For the second quarter ended June 30, 2010, gross revenue improved to $3,541,872 compared with $3,481,819 in the year-ago quarter. The improvements in gross revenue were the results of the company’s successful efforts to increase activity in its corporate barter division. Operating expenses for the quarter were $3,105,100, compared with $3,190,938 in the year-ago second quarter. Operating income for the second quarter 2010 increased 50.2% to $436,762 for the quarter, compared with $290,881 in the second quarter 2009. Net income for the quarter increased 23.8% to $222,717, or $0.02 per diluted share, compared with $179,951, or $0.02 per diluted share reported in the year-ago second quarter. EBITDA (Earnings before interest, taxes, depreciation, and amortization), reached a quarterly record of $840,857, compared with $703,715 for the year-ago second quarter.
For the six months ended June 30, 2010, gross revenue was $6,612,293 compared with $6,833,043 in the year-ago six-month period. Operating expenses for the six-month period were $6,434,735, compared with $6,485,848 in the six-month period of 2009. Operating income for the six-month period was $177,558 compared with $347,195 during the comparable 2009 six-month period. Net loss for the six-month period 2010 was $98,045 or $0.01 per share, compared with net income of $125,582 or $0.01 per share in the year-ago six-month period.
Donald F. Mardak, Chief Executive Officer of International Monetary Systems said, “Our financial results this quarter benefited from an improved mix of business, including an increase in national accounts and a newly instituted program for small- to- medium-sized start-up companies, combined with operational efficiencies that we instituted over the past year. As we continue to demonstrate the benefits of our barter system to larger companies, we have been successful in attracting new business throughout the country, with particular strength from the hospitality industry, where new member enrollment has been brisk.”
“In addition to the improved revenue attributable to national accounts, we also continue to benefit from our core base of small business clients. The combination of these two segments has added much depth to the unique benefits that we offer our expanding group of members, as businesses strive to reduce their inventory levels, and barter for products and services that help to improve their own financial results,” he added.
Mr. Mardak concluded, “We continue to work on improvements to our infrastructure, and expect to launch our new operating system in the third quarter. This, combined with our anticipated growth in national accounts, is expected to continue driving improvements in all aspects of our operation.”
Use of Non-GAAP Measures
The company feels that EBITDA (Earnings before interest, taxes, depreciation and amortization) is an important measure of operations as it shows the contribution of ongoing operations, without the significant non-cash expenses associated with acquiring the markets.
Forward-Looking Statement
This press release contains forward-looking statements that involve risks and uncertainties concerning our expected performance as described without limitation in comments about the company’s performance within the safe harbor provisions established under The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from the results predicted and reported results should not be considered as an indication of our future performance. We believe that these potential risks and uncertainties include, without limitation: the continuing development of successful marketing strategies for our concepts; our ability to increase revenues and sustain profitability; the availability of adequate working capital; our dependence both on key personnel, and the effect of changes in the overall economy and in technology. Statements in this release should be evaluated in light of these factors. These risk factors and other important factors that could affect our business and financial results are discussed in our periodic reports and filings with the Securities and Exchange Commission, including our Forms 10-K and Forms 10-Q, which are available at www.sec.gov. All information set forth in this release is as of August 10, 2010, and International Monetary Systems, Ltd. undertakes no duty to update this information.
NEW BERLIN, Wis., Aug 11, 2010 (GlobeNewswire via COMTEX) — International Monetary Systems, Ltd. /quotes/comstock/11k!itnm (ITNM 1.14, 0.00, 0.00%) , a worldwide leader in business-to-business barter services, has reported its financial results for the second quarter and six-month period ended June 30, 2010.
For the second quarter ended June 30, 2010, gross revenue improved to $3,541,872 compared with $3,481,819 in the year-ago quarter. The improvements in gross revenue were the results of the company’s successful efforts to increase activity in its corporate barter division. Operating expenses for the quarter were $3,105,100, compared with $3,190,938 in the year-ago second quarter. Operating income for the second quarter 2010 increased 50.2% to $436,762 for the quarter, compared with $290,881 in the second quarter 2009. Net income for the quarter increased 23.8% to $222,717, or $0.02 per diluted share, compared with $179,951, or $0.02 per diluted share reported in the year-ago second quarter. EBITDA (Earnings before interest, taxes, depreciation, and amortization), reached a quarterly record of $840,857, compared with $703,715 for the year-ago second quarter.
For the six months ended June 30, 2010, gross revenue was $6,612,293 compared with $6,833,043 in the year-ago six-month period. Operating expenses for the six-month period were $6,434,735, compared with $6,485,848 in the six-month period of 2009. Operating income for the six-month period was $177,558 compared with $347,195 during the comparable 2009 six-month period. Net loss for the six-month period 2010 was $98,045 or $0.01 per share, compared with net income of $125,582 or $0.01 per share in the year-ago six-month period.
Donald F. Mardak, Chief Executive Officer of International Monetary Systems said, “Our financial results this quarter benefited from an improved mix of business, including an increase in national accounts and a newly instituted program for small- to- medium-sized start-up companies, combined with operational efficiencies that we instituted over the past year. As we continue to demonstrate the benefits of our barter system to larger companies, we have been successful in attracting new business throughout the country, with particular strength from the hospitality industry, where new member enrollment has been brisk.”
“In addition to the improved revenue attributable to national accounts, we also continue to benefit from our core base of small business clients. The combination of these two segments has added much depth to the unique benefits that we offer our expanding group of members, as businesses strive to reduce their inventory levels, and barter for products and services that help to improve their own financial results,” he added.
Mr. Mardak concluded, “We continue to work on improvements to our infrastructure, and expect to launch our new operating system in the third quarter. This, combined with our anticipated growth in national accounts, is expected to continue driving improvements in all aspects of our operation.”
Use of Non-GAAP Measures
The company feels that EBITDA (Earnings before interest, taxes, depreciation and amortization) is an important measure of operations as it shows the contribution of ongoing operations, without the significant non-cash expenses associated with acquiring the markets.
Forward-Looking Statement
This press release contains forward-looking statements that involve risks and uncertainties concerning our expected performance as described without limitation in comments about the company’s performance within the safe harbor provisions established under The Private Securities Litigation Reform Act of 1995. Actual results may differ materially from the results predicted and reported results should not be considered as an indication of our future performance. We believe that these potential risks and uncertainties include, without limitation: the continuing development of successful marketing strategies for our concepts; our ability to increase revenues and sustain profitability; the availability of adequate working capital; our dependence both on key personnel, and the effect of changes in the overall economy and in technology. Statements in this release should be evaluated in light of these factors. These risk factors and other important factors that could affect our business and financial results are discussed in our periodic reports and filings with the Securities and Exchange Commission, including our Forms 10-K and Forms 10-Q, which are available at www.sec.gov. All information set forth in this release is as of August 10, 2010, and International Monetary Systems, Ltd. undertakes no duty to update this information.
