eGlobe Announces Significant Improvement in First Quarter Revenues
WASHINGTON, March 15 /PRNewswire/ -- eGlobe (Nasdaq: EGLO - news) today announced that it expects substantial improvement in revenues in the first quarter of 1999. Following the best February revenues in the history of the Company, the anticipated revenues for the quarter ending March 31, 1999 are expected to significantly exceed the performance of last quarter (December 1998) and result in year on year improvement when compared to the quarter ending a year ago (March 1998).
''The revitalization efforts and the new strategy implemented in the past year are beginning to bear fruit,'' commented eGlobe Chairman Christopher Vizas. ''We are no longer dependent on a single line of service. We are positioned as a global provider of a range of services to carriers, offering multiple services and concentrating on new Internet Protocol (IP) based services which carriers need to serve their premium customers. Hard work by our employees and the management team has made these first tangible gains possible.''
As previously indicated by management, the revenue growth is being fueled by an investment in hardware, software and human resources, particularly in the new network services business of the Company led by IDX. While those investments make immediate and significant demands on cash flow, the increased revenues can be expected to lead to positive EBITDA (earnings before interest, taxes, depreciation and amortization) during the last several months of 1999 and profitability thereafter.
eGlobe's revised corporate strategies are evident in its acquisition of both IDX and Telekey during the past year. These acquisitions provide eGlobe additional products and services to complement their previous, distinctive global network of intelligent platforms, and are indicative of the Company's renewed commitment to growth and excellence in the communications industry.
eGlobe is a leading supplier of global enhanced telecommunications and information services, including Internet voice and fax, calling card services along with related validation, billing and payment systems, and other international Intranet and inter-networking services in partnership with telecommunications operators around the world. Operating through its World Direct network, eGlobe originates traffic in 90 territories and countries and terminates anywhere in the world. eGlobe provides its services principally to telecommunications companies and financial institutions. |
