2nd Q Earnings announcement:
Strategia Corporation Reports Second Quarter Results
LOUISVILLE, Ky.--(BUSINESS WIRE)--Aug. 15, 1997--Strategia Corporation (ASE: SAA) announced results for the second quarter ending June 30, 1997.
Revenues increased to $2,771,850 in the 1997 second quarter versus $2,375,601 in the comparable quarter of 1996. The company recorded an after tax net loss of ($23,403) or ($0.01) per share for the quarter versus an after tax net loss of ($251,456) or ($0.10) per share for the quarter in the comparable 1996 period. Average weighted shares were 4,407,772 and 2,522,006, respectively.
Revenues in the six months ended June 30, 1997, totaled $5,473,698 versus $4,719,718 in the six months ended June 30, 1996. The company incurred a net after tax loss of ($4,913) or ($0.01) per share in the six months ended June 30, 1997, versus an after tax net loss of ($357,179) or ($0.10) per share in the comparable 1996 period. Average weighted shares were 3,068,356 versus 2,517,962 in the six month periods.
Richard W. Smith, Chief Executive Officer of Strategia Corporation, stated that, "The second quarter brought growth to the company. The millennium services business became a more important segment of our revenue base and we believe the balance of 1997 will show continued growth in both year 2000 revenues and contracts."
"Expenditures for the second quarter increased significantly as we prepared the company for anticipated strong demand for our millennium services. We made critical investments in growing our technical and marketing staff, opening a new compliance testing center, and advertising and promoting our services in both North America and Europe. We intend to continue to expand our Year 2000 capabilities with additional key personnel, facilities, and equipment for the balance of the year to meet anticipated demand for our services in 1998 and beyond. Our second quarter results also reflect certain post-offering professional expenses associated with our recent financing, including expenses related to our August 6th listing on the American Stock Exchange."
Several comments relating to earnings and revenues set forth above are forward-looking statements. Management cautions that all statements as to future results of operations are necessarily subject to risks, uncertainties, and events that may be beyond the control of Strategia, and no assurance can be given that such results will be achieved. Potential risks and uncertainties include the ability to procure and successfully complete projects, the availability of technical personnel, changes in technology, and competition. Other risks and uncertainties are discussed under the heading "Risk Factors" in the Company's Form 10-KSB filed with the Securities and Exchange Commission. |
