Veramark Announces Record Annual Sales 164% Increase in '99 Profits
PITTSFORD, N.Y.--(BUSINESS WIRE)--Feb. 10, 2000--Veramark Technologies, Inc. (Nasdaq:VERA - news) today announced financial results for the year ended December 31, 1999. Sales for the year set a company record at $24.2 million. That represents a 41% increase over sales in the previous year. Net income for the year was $2,694,452, or $.33 per diluted share, an increase of 164% over the prior year. Results for 1999 do not include results of The Angeles Group, which merged with Veramark on January 7, 2000.
David G. Mazzella, Veramark's President and CEO, commented that, ``This is Veramark's second consecutive year of near 40% growth. It is particularly satisfying that all of Veramark's product lines contributed to the solid gains in revenues with VeraBill and DNT (formerly TMS) leading the way with 144% and 63% improvements. Just as significant in terms of 1999 accomplishments was the completion of our new Internet accounting module which is now undergoing test at key potential distributors.'
Mazzella continued, ``We ended 1999 with very strong fourth quarter revenues, up 44% over the prior year, notwithstanding hesitation on the part of some customers due to Y2K bug concerns. We also invested heavily in building our staff to support future VeraBill growth and to prepare for an early 2000 launch of VeraWeb and related Internet accounting modules. Expenditures in those two areas will continue at relatively high levels during the first half of 2000. In addition, during the fourth quarter of 1999, we upgraded our entire base of DNT customers to a new release level. Although costly, this upgrade will result in improved customer satisfaction and lower support costs. With these three areas of significant expense impacting the fourth quarter, while profits were up as compared with the prior year, they increased at a lower rate than we enjoyed in the prior three quarters.'
Veramark Technologies, Inc. is engaged in the design, production and servicing of telecommunications management, Internet management, and billing systems for users and providers of telecommunications services in the global market.
The forward looking statements contained in this release are estimates by the Company's management of future performance and are subject to a variety of risks and uncertainties that could cause actual results to differ materially from management's current expectations. |
