|
TAMPA, Fla., Aug. 11 /PRNewswire/ -- 800 Travel Systems, Inc. (Nasdaq:
IFLY IFLYW) announced today that total revenues were $2,996,935 in the
second quarter of 1998, an increase of 44% over revenues in the second
quarter of 1997. The revenue reflects an increase in reservations booked
to $20,819,983 from $13,134,858 in the second quarter of 1997. The
Company earned net income of $100,676 during the second quarter of 1998
vs. net income of $174,564 in the same quarter of 1997.
Revenues for the first six months of 1998 were $5,075,318 vs. $3,721,651
in the first six months of 1997, an increase of 36%. The increase in
revenue reflects an increase in reservations booked to $35,969,382 from
$23,576,642 for the first six months of 1997, an increase of 53%.
Mark Mastrini, President of 800 Travel, commented that, ''We are very
pleased once again that our growth trend and core business continues to
remain strong as we move forward with an Internet commerce initiative.
The Company's balance sheet is strong, which lets us remain focused on
our growth strategies.''
George A. Warde, Chairman of 800 Travel, also commented, ''The pace at
which the company is growing while paying close attention to the bottom
line is exciting. Reservations have gone from $15,150,399 in the first
quarter to $20,818,983 in the second quarter, a 37% increase. Revenues
increased from $2,078,383 to $2,996,935, a 44% increase. Net income went
from a loss of ($169,108) to a gain of $100,676, an increase of 161%.
Operating expenses as a percentage of revenues are down 13%. Our
management is paying very close attention to both the top and
bottom-line growth.'' In an additional comment, Mr. Warde said, ''We are
very pleased to say that our Internet initiative remains on schedule.''
Jerry Sendrow, CFO of 800 Travel, added, ''Showing a profit in the
second quarter was a tremendous feat for our staff in the wake of the
significant increase in reservation agents and funding of the Internet
project. We expect to continue on this path of profitability as we grow
our top-line.''
800 Travel System, one of the 100 largest independent travel agencies in
the United States, provides low-priced airline tickets for domestic and
international travel through its easy-to-remember numbers:
''800-LOW-AIR-FARE'' (800-569-2473) and ''800-FLY-4-LESS''
(800-359-4537).
This release contains forward-looking statements relating to the future
performance of the Company. The ability of the Company to achieve the
results anticipated is dependent upon various factors discussed in its
annual report on Form 10-KSB, including the Company's relationships with
various airlines and economic conditions impacting upon the success of
the airlines and industry in general.
800 TRAVEL SYSTEMS, INC.
STATEMENTS OF OPERATIONS
For the six For the three
months ended months ended
June 30, June 30, June 30, June 30,
1998 1997 1998 1997
REVENUES
Commissions $3,574,274 $3,000,192 $2,015,359 $1,660,207
Ticket delivery
and service fees 1,501,044 721,459 981,576 421,198
Total revenues 5,075,318 3,721,651 2,996,935 2,081,405
OPERATING EXPENSES
Payroll, commissions
and employee
benefits 2,327,792 1,775,614 1,261,346 927,371
Telephone 810,649 501,246 484,976 234,132
Ticket delivery 447,549 327,926 280,298 148,959
Advertising 154,359 107,044 105,749 61,499
General and
administrative 1,441,311 1,110,164 780,398 476,499
Total operating
expenses 5,181,660 3,821,994 2,912,767 1,848,460
EARNINGS (LOSS) BEFORE
OTHER INCOME (106,342) (100,343) 84,168 232,945
OTHER INCOME (EXPENSE)
Interest income 51,038 5,368 23,791 2,888
Interest expense (13,128) (67,453) (7,283) (61,269)
NET EARNINGS (LOSS) $(68,432) $(162,428) $100,676 $174,564
NET EARNINGS (LOSS)
PER COMMON SHARE
- BASIC $(0.01) $(0.03) $0.01 $0.03
- DILUTED $(0.01) $(0.03) $0.01 $0.03
WEIGHTED AVERAGE NUMBER
OF COMMON SHARES
OUTSTANDING
- BASIC 7,427,622 5,956,352 7,473,694 5,959,709
- DILUTED 7,427,622 5,956,352 7,837,296 6,199,709
|
