¶ S.W, CYAA: VERY BULLISH NEWS... CyberAmerica Corp. on Track for Record Earnings...
CYAA was trading below $1.00... Now @ $1.62, plus 63% and worth much more with a projected EPS of $2.00 to $2.50 for Year 2000... Excellent Index Material... JMHO
SALT LAKE CITY--(BUSINESS WIRE)--Aug. 21, 2000--CyberAmerica Corp.
(OTC BB: CYAA) Monday announced that it filed its Form 10QSB for the
quarter ended June 30, 2000.
CYAA's Form 10QSB showed significant financial improvement for the
six months ended June 30, 2000 as compared to the previous year. As a
result of improved profitability stockholder equity increased by
$1,341,372 to $8,815,133.
CYAA recorded a net profit of $2,434,533 for the first six months
of 2000 compared to a net profit of $1,222,664 for same period of
1999, an increase of 99 percent. As a result of these net profits,
CYAA's earnings per share totaled $.79 for the first six months
compared to $1.14 for the entire year of 1999.
CYAA believes that the company is on track to have record earnings
by year-end and indeed the first six month's results reflect that
pace.
Gross revenues for the six months ended June 30, 2000 were
$592,142 as compared to $1,767,795 for the comparable period in 1999.
The six months ended June 30, 1999 revenue figures included a $840,000
land sale compared to no land sales in the first six months of 2000.
If this event is removed, the $592,142 revenue for the six months
ended June 30, 2000, compares to $927,795 or a reduction of $335,653
due mostly to a reduction in consulting revenue. Due to the period of
time involved in a particular consulting project and the sporadic
nature of land sales, management feels it is not abnormal to see
swings in gross revenue from time to time.
CYAA's book value per share dramatically increased from $2.32 on
Dec. 31, 1999 to $3.15 as of June 30, 2000, a 36 percent increase.
With the six-month growth rate in equity of 36 percent and the
current stock price, which may be depressed due to some negative
press, CYAA believes that its share price may be undervalued ($1.00
per share, Friday 8/18/2000 close price) and could represent a bargain
to new investors.
CYAA's significant increase in profitability allowed it to improve
its working capital position and gain further financial stability. At
June 30, 2000, CYAA had current assets of $6,807,123 and total assets
of $19,115,816, as compared to $6,019,507 and $17,726,261,
respectively at Dec. 31, 1999.
The increase allowed CYAA to enjoy a working capital surplus of
$5,444,043 for the six months ended June 30, 2000, compared to a
surplus of $3,831,190 for the year ended Dec. 31, 1999. The working
capital surplus equates to approximately $1.95 per share.
The financial improvement that CYAA showed in 1999 and continues
to show in 2000 has helped give CYAA the resources to enter into
negotiations with lending institutions for lines of credit to further
expand CYAA's consulting and real estate operations and obtain better
rates on current loans.
CYAA's investment strategy and operational mode will continue to
be aggressively geared toward a diversified portfolio of high-risk
real estate and investment securities which management believes may
lead to greater returns and hopefully substantial increases in
shareholder value.
To help realize CYAA's future plans, management is continuing to
evaluate business lines and properties to streamline operations and
eliminate non-performing assets from the company. Significant strides
in this area have been made since the end of the quarter, see press
releases in July and August of this year, and the company is
aggressively pursuing these opportunities.
CYAA is a diversified holding company that specializes in
investing and developing undervalued real estate and provides
financial consulting services to public and private companies.
For more information on CyberAmerica's real estate holdings please
visit www.cyaa.com. For more information on the CyberAmerica's
consulting service please visit www.hudsonconsult.com. CyberAmerica
strongly encourages that the above information be read in conjunction
with its Form 10KSB for Dec. 31, 1999, and 10QSB for June 30, 2000.
The above documents can be viewed at www.sec.gov.
A number of statements contained in this press release are
forward-looking statements which are made pursuant to the Safe Harbor
provisions of the Private Securities Litigation Reform Act of 1995.
These forward-looking statements involve a number of risks and
uncertainties, including the timely development, and market acceptance
of products and technologies, competitive market conditions,
successful integration of acquisitions and the ability to secure
additional sources of financing.
The actual results that CYAA may achieve may differ materially
from any forward-looking statements due to such risks and
uncertainties.
--30--clf/ix*
CONTACT: CyberAmerica Corp., Salt Lake City
Richard Surber, 801/575-8073
Fax: 801/575-8092 |
