Anyone seen this news on MTMC???? I looked it up when I heard a guy on the radio say that it would hit $15-$20 in the short term. He may be right!
Micros-To-Mainframes, Inc. Featured in Smart Money as a Recommended Buy - February 1999
VALLEY COTTAGE, NY--(BUSINESS WIRE)--Feb. 5,
1999--Micros-To-Mainframes, Inc. (NASDAQ:MTMC), a leading provider of
computer network engineering, network management, and consulting
services today announced that it has been featured in Smart Money for
February 1999 (http://www.hirschorganization.com/smart/sm2.htm).
Smart Money had the following to say about Micros-to-Mainframes:
"Micros-To-Mainframes is not a telecom firm, but a large and
growing portion of its revenues comes from telecommunications and
Internet-related activities. These will be the major areas of growth.
This is a very small firm but it's on solid ground financially and
otherwise.
We see substantial appreciation potential both from earnings
growth and increased recognition. This could be multiplied if
investors come to realize that the company is increasingly involved in
Internet services. (And that it's an "Internet" firm that's already
profitable.)
The company began as a computer equipment dealer and systems
integrator. If your business needed a computer system, MTMC would
design it, buy and install the hardware and software, train your
employees, and (if desired) monitor the system and provide service.
The company did well at this business, becoming one of the larger
suppliers to Fortune 100 companies--the cream of the crop. It became a
top-level reseller of Cisco equipment and Microsoft and Novel software
systems.
But management realized that there was more profit in
engineering, network management and consulting than in hardware, and
has moved steadily to emphasize its higher-margin operations. There
was always an emphasis on networking, and that has been strengthened.
The company aims to be a major player in networking, with an emphasis
on the Internet. Recently MTMC became an Internet Integration Partner
with PSINet, a leading connectivity and Web hosting firm, to design,
engineer and install Internet sites. In another typical deal, MTMC was
selected by Mortgage Lenders Network, a leading private financial
firm, to oversee a major nationwide, highly secure data network.
Last year Micros-to-Mainframes bought 19.9% of Pivot
Technologies, with an option to obtain a full 100%. Pivot provides
remote management of enterprise corporate networks and systems. This
sort of technology is likely to play an important part in the
networking of the future--continuous monitoring and trouble shooting
of systems, but with minimal human intervention needed except in
emergencies.
To help fund its expansion, the company has been awarded a $13
million credit facility by Deutsche Financial Services (a unit of
Deutsche Bank) and the Bank of New York. This is a significant vote of
confidence.
The company has achieved substantial growth. From rather small
numbers a few years ago (when the firm was private) MTMC last year
reported sales of $69.6 million versus $58.1 million. Service revenue
(as opposed to equipment sales) has been the smaller part of the
total, but much faster growing and more profitable.
So the company has extended its efforts to emphasize service. For
the fiscal six months ended September, sales declined slightly to
$32.1 million. But that was due to shutting down some hardware sales
operations. Importantly, service-related sales increased 54% to $10.0
million. Earnings almost doubled to $.10 a share. This was despite a
substantial increase in overhead due to hiring more technicians and
engineers.
The stock is selling at a very reasonable multiple of earnings
and below book value. With its tiny market cap, there is big potential
upside for MTMC if it gets recognition. We have followed this company
for some time. In recent conversations with management we detected a
new aggressiveness that is likely to help achieve that recognition--as
well as accelerated growth."
Micros-To-Mainframes is a premier provider of network analysis &
diagnostics, management, architecture, design, implementation and
support services serving the New York Tri-State area since 1986.
Micros-To-Mainframes' practices in Network Analysis, Network & Systems
Management, Internet Services, IT Consulting, Data & Network Security,
Network Infrastructure Engineering, Integrated Communications, and
Enterprise LifeCycle Managed Services create a comprehensive computer
and communication services suite. The Company maintains sales,
technology labs, help desk, network management operation centers,
training and service facilities in Valley Cottage, New York, New York
City, and Connecticut. Micros-To-Mainframes is an authorized reseller
of Intel Corp (NASDAQ:), IBM (NYSE:), Dell Computer (NASDAQ:), Compaq
Computer (NYSE:), Hewlett Packard (NYSE:), Cisco Systems (NASDAQ:),
Citrix (NASDAQ:CTXS), Axent Technologies (NASDAQ:), Microsoft
(NASDAQ:), PSINet ((NASDAQ:PSIX), and Novell (NASDAQ:). For more
information visit our web sites at www.mtm.com and www.pivottech.com.
"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM
ACT OF 1995: The statements contained in this release which are not
historical facts are forward-looking statements that are subject to
risks and uncertainties that could cause actual results to differ
materially from those set forth in or implied by forward-looking
statements. These risks and uncertainties include the Company's entry
into new commercial businesses, the risk of obtaining financing, and
other risks described in the Company's Securities and Exchange
Commission filings.
CONTACT:
Micros-To-Mainframes, Inc.
Steven H. Rothman
Phone: (914) 268-5000
Fax: (914) 268-9695
Email: stever@mtm.com
WWW: mtm.com
pivottech.com
KEYWORD: NEW YORK
BW1271 FEB 05,1999
10:43 PACIFIC
13:43 EASTERN |
