EVCI on the move. Company reaches operating profit. 10 consecutive increases in quarter over quarter revenue.
Trading at a discount to sales....trading at a discount to stockholder's equity. This stock has a lot of room to climb.
The industry:
Education is the second largest component of our Gross Domestic Product, over $700 billion. Recent technology advancements are helping learning providers create programs that are easy to use, convenient and effective thus allowing corporations and individuals to save time and money while keeping themselves more educated than ever. Distance learning, corporate training and eLearning is a rapidly emerging market that will increasingly influence how we learn in schools, in the work force, and at home. This market sector includes educational content creation and delivery in K-12, colleges and universities, at home and in corporate environments.
WR Hambrecht eLearning index: CLBRQ, CLKS, CTRA, DCNT, DTHK, ECLG, ELOQ, EVCI, HSTM, LSPN, LTWO, MNTE, RLRN, RVDP, SABA, SCIL, SCTC, SKIL, SMTF, TUTR, UOPX, VCMP, WEBX: wrh.stockpoint.com.
Educational Video Conferencing, Inc.
NASDAQ Small Cap: EVCI
Approx. Shares Outstanding: 4.49 Million Approx. Float: 2.10 Million
Company Profile:
Educational Video Conferencing, Inc. (EVCI) provides post secondary education and training at six locations in four states. EVCI purchased Interboro Institute, a two year college located in New York City, in January of 2000 and ICTS, Inc., a chain of information technology training and certification centers in Atlanta, GA, Baltimore, MD, Alexandria, VA, and Hampton, VA in July of 2001. In addition, ICTS offers on-site IT training to employers and recently began offering IT courseware on line. As a combined entity, EVCI expects dramatic revenue growth in the second half of 2001 with their revenue run rate now approaching $20 million.
EVCI also aggregates educational and training content provided by others and delivers it to remote locations, synchronously using interactive video conferencing technologies over IP, and asynchronously using the narrow band Internet. These technologies include the Company's broadband network design and enabling technology that permits video conferencing at approximately 30 frames per second (broadcast quality), via group room systems or desk top computers. EVCI offers both synchronous and asynchronous programs, everything from on demand courses to "live" virtual classrooms. In EVCI's virtual classroom, students from all over the world can see and hear each other "live", see and hear their instructor "live", and the instructor can see and hear each student "live", all at broadcast quality over their desk top computers.
As a content aggregator, EVCI specializes in corporate training and distance education. EVCI, at present, can offer more than 200 degree programs, over 2,100 college courses, and 1000's of other K-12 programs, corporate training, professional development, and test preparation courses. Some of the educational institutions that provide content include St. John's University, the University of Notre Dame, Adelphi University, Clemson University, Manhattan College, The College of Insurance, Computer Generated Solutions, Inc., Mercy College, Concordia College, Golden Gate University, Kaplan Educational Centers, the Dearborn Institute, Touro College/Touro University (including Touro Law School), Corporate Scenes, AxcessPoint, and others.
EVCI's bricks and mortar for profit post secondary education business is currently positioned for exceptional growth. EVCI has evidenced abilities as a turn around specialist of post secondary educational institutions. In just their first year of ownership, EVCI successfully turned Interboro Institute around from $6 million in revenues and losses of $3 million in 1999 to revenues of approximately $7.8 million and operating income of approximately $1.5 million in 2000 with continued improvements throughout 2001.
Though they have just recently purchased ICTS, Inc., EVCI’s management has stated they have begun to implement their plan for operating profitability at ICTS. Under the previous ownership, ICTS 2000 revenues were approximately $11 million and the company showed a net loss of approximately $1.8 million. Within the first month of EVCI operations, EVCI cut the annualized losses of ICTS by approximately $100,000 per month ($1.2 million per year) and looks to have the schools operating profitably before year end 2001.
EVCI feels that with their school division operating profitably and their technology division operating at a break even, they will achieve profitability from operations by the end of this year.
Recent Developments:
Friday November 9, 8:53 am Eastern Time: Educational Video Conferencing Reaches Profitability from Operations biz.yahoo.com
Monday October 22, 8:59 am Eastern Time: EVCI Rolls Out Second Generation Video-Conferencing Technology Platform biz.yahoo.com
Monday October 15, 10:16 am Eastern Time: EVCI Subsidiary Gets MCSE 2000 Certification Training Contract From Major Corporate Client biz.yahoo.com
Tuesday October 9, 9:02 am Eastern Time: EVCI Initiates Educational and Video-Conferencing Services to Caribbean Basin biz.yahoo.com
EVCI announces 10th consecutive increase in quarter over quarter revenue. Projected revenue for the second half of 2001 is estimated to be $9,960,000, or 107% growth, thereby approaching an annualized run rate of $20 million. |
