Socrates Technologies Corporation Reports Profitable Year and Record Fourth Quarter and Year End Revenues
Quarter and Year End Revenues
LARGO, Md., Dec. 28 /PRNewswire/ -- Socrates Technology Corporation,
(Nasdaq: SOCT), a Washington, D.C. area broad based information technology and
software development company, announced today profitable year end results as
well as record fourth quarter and year end revenues for the period and year
ended September 30, 1998.
Revenues from continuing operations for the fourth quarter, ending
September 30, 1998, were $18,140,822 million, a 92% increase from revenues
from continuing operations of $9,439,812 million during the same quarter last
year. Total revenues for the Corporation for the year ended September 30, 1998
("FY 1998") were $62,007,968, an 81% increase from revenues of $34,334,698 for
the year ended September 30, 1997 ("FY 1997"). FY 1998 income and earnings
from continuing operations for the year were $1,387,906 and $0.09 per share
compared to net income and earnings from continuing operations of $816,705 of
$0.08 per share for the same period in FY 1997. On a fully diluted basis,
earnings per share for FY1998 and FY1997 were $0.09 and $0.06 respectively.
Revenue, Earnings and Earnings per Share From Continuing Operations
Year ended September 30, 1998 1997*
Revenues $62,007,968 $34,334,698
Net Earnings $ 1,387,906 $ 816,705
Basic Earnings per Share $0.09 $0.08
Diluted Earnings per Share $0.09 $0.06
*Restated to eliminate discontinued operations.
The loss from Discontinued Operations for FY1998 was ($5,981,688) compared
to a loss of ($707,159) for the FY1997 period. As a result of the Discontinued
Operations, the company incurred a net loss for FY1998 of ($4,593,782)
compared to Net Earnings of $109,546 for FY1997. The Net Earnings (loss)
resulted in a loss of (0.31) per share for FY1998 compared to a profit of 0.01
per share for FY1997. On a fully diluted basis, FY1998 showed a loss, net of
discontinued operations, of ($0.31), while FY1997 net earnings resulted in a
profit of $0.01.
Revenues, Net Income, Earning per Share
(Including Discontinued Operations)
Year ended September 30, 1998 1997
Revenues $62,007,968 $34,334,698
Net Earnings from Continuing Operations $ 1,387,906 $ 816,705
Net Earnings (loss) from Disc. Operations $(5,981,688) $ (707,159)
Net Earnings (loss) $(4,593,782) $ 109,546
Basic Earnings (loss) per Share $(0.31) $0.01
Diluted Earnings (loss) per Share $(0.31) $0.01
"We are pleased to report profitable year end results and, for the third
consecutive year, revenue growth -- exceeding our target by 50%," said Abbas
Fathi, President and Chief Executive Officer of Socrates Technologies
Corporation. "This revenue growth is a direct result of our increased market
share and customer base, which is crucial in our plan to introduce new value
added services. It is also important to note that we doubled our Company's
revenues without experiencing the uncontrolled costs normally associated with
such growth. Despite the impact of the losses incurred by JMR and Expert, and
subsequent reorganization into the Socrates family, we were still able to show
a profit from continuing operations for this fiscal year."
"Fiscal year 1998 also saw our dynamic software development subsidiary
(Technet) more than double in revenues, with increased software development
efforts at both existing customer locations and new customer sites. Technet
will continue its current growth through increased on site presence as well as
in SAP (NYSE: SAP) new product development and Oracle (Nasdaq: ORCL) data base
implementation efforts."
"In linewith the Company's 1999 growth plan (which will be announced
shortly), as well as to ensure a strong market presence for the future,
Socrates will continue to invest in its growth. The efforts expended in
development of new products and services are in direct response to the
industries ever-changing technology and to meet customer demands for added
value in our product offerings. Our aggressive marketing efforts will continue
in 1999 and will facilitate the execution of our growth plan," concluded
Fathi.
Socrates Technologies Corporation is a full service Software Development
and Information Technology Company located in the Washington, D.C. metro area.
Major corporate clients of Socrates Technologies and Technet, the Company's
wholly owned software development subsidiary, include the World Bank, British
Telecom, Newport News Shipbuilding Corporation, Raytheon, Chrysler, Shared
Medical Systems, Cable and Wireless, Delta Airlines, IBM, and Freddie Mac as
well as Washington Sports and Entertainment (MCI Center).
Certain statements in this press release constitute forward looking
statements within the meaning of the Private Securities Litigation Reform Act
of 1995, as amended. There are a number of important factors that could cause
the Company's actual results to differ materially from those indicated by such
forward-looking statements. Such factors include, but are not limited to:
risks in products and technological developments; market acceptance of new
products and services and continuing product demand; the impact of competitive
products, services, pricing and tactics; and the other factors mentioned in
the Company's current and future filings with the Securities and Exchange
Commission and public announcements.
For additional information on Socrates Technologies Corporation, or its
wholly owned Software Development subsidiary, Technet Computer Services, Inc.,
please contact the Company at its principal executive offices at 9301
Peppercorn Place, Largo, MD 20774, telephone (301) 925-2200; facsimile
(301) 925-4150; and Web site www.soctech.com.
SOURCE Socrates Technologies Corporation
-0- 12/28/98
/CONTACT: Steven Kaston of Socrates Technologies, 516-719-7575/
/Web site: soctech.com
(SOCT)
CO: Socrates Technologies Corporation |
