NEWS
_______________________________________
Bidhit.com Announces First Quarterly Results as a Public Company; Positive
Performance: Indication of Continued Growth
Business Editors
BOTHELL, Washington--(BUSINESS WIRE)--June 23, 1999--Bidhit.com
(OTC BB:BHIT), a growing online auction company, reported financial
results today for the first quarter ended March 31, 1999. These
results reflect company operations prior to its recent public offering
and subsequent $3 million equity financing. Revenue for the first
quarter was up 56 percent from the previous year to $209,207. As in
all previous quarters, the company remained profitable. Net income in
the first quarter was $17,339, or 8.2 percent of sales.
First quarter 1999 financial results indicate the ongoing
viability of the Bidhit.com business model and set the stage for the
company to achieve exponential growth as a public entity.
"We are proud of the fact that our first financial reports as a
public company include both profitable and debt free performance",
said Timothy Black, President and CEO. "As a progressive and growing
company our focus is on the tremendous market opportunity in the
online auction segment."
Operational Infrastructure
Bidhit.com has built an operational infrastructure that is highly
scaleable to keep pace with its rapid growth. The company's highly
secure transaction system is second to none in ensuring customer
service and satisfaction. This positions the company to successfully
capitalize on the online auction segment, the fastest growing
e-commerce sector on the Internet.
Strong Relationships
Bidhit.com has established strong relationships with vendors and
alliance partners and online users alike. Favorable vendor
partnerships enable the company to offer a wide selection of name
brand consumer goods at attractive prices to its customer base. The
company's alliances with industry players such as Interactive
Marketing Inc. (IMI) enable Bidhit.com to tap into leading Internet
resources as it executes its strategic marketing plan.
IMI is a leading interactive marketing consulting company based
in Manhattan Beach, CA, that has guided many well-known media,
technology and Internet companies in developing successful business
models.
IMI represented YAHOO! (NASDAQ:YHOO) to create its initial
advertising and promotional strategies. More recently, IMI created the
blueprint strategy for the "Lycos Network" (NASDAQ:LCOS). IMI consults
for selected Web properties and interactive technology companies
creating unique marketing, promotional, sponsorship and e-commerce
strategies and has a proven track record in providing business
planning and development services.
IMI has developed interactive strategies for other major
organizations such as American Express (NYSE:AXP), Citibank (NYSE:C),
Barnes & Nobel.com (NYSE:BKS), Netscape, an AOL company (NYSE:AOL),
CBS Corp. (NYSE:CBS), and 24/7 Media Inc (NASDAQ:TFSM), the National
Football League and NBC, a subsidiary of General Electric (NYSE:GE).
Solid Financial State
In less than two years Bidhit.com has gone from an innovative
business model to a profitable company with a solid financial
foundation. The first phase of the company's development culminated
with it going public and raising in excess of three million dollars.
Bidhit.com now has sufficient resources to meet its current
operational requirements and has earmarked significant funds to fuel
its growth.
Continued Growth
"With our solid financial footing, Bidhit.com will pursue
marketing, alliance and acquisition endeavors in our pursuit of
increased market share", said Mr. Black. "We are focused on
development in four key areas over the short term. This includes
expanding our customer base, increasing our product offering, further
enhancing our technical infrastructure and building our corporate
team."
The company intends to gain an even larger portion of the online
auction audience through aggressive strategic marketing and
communications initiatives currently being developed in conjunction
with Interactive Marketing Inc.
At the same time, Bidhit.com is striving for more efficient and
effective service to further build its customer base. In the next
quarter, Bidhit.com will expand the frequency of its online auctions,
add new and profitable product categories and leveraging its database
technology to target distinct customer segments. The company believes
these initiatives will lead to increase sales and further
profitability.
To achieve its growth plans, Bidhit.com will build its corporate
infrastructure by making key management additions, strategic alliances
and acquisitions. With the right team in place, Bidhit.com will
continue its exponential, yet responsible, growth pattern.
"Ultimately", said Mr. Black, "our business success will continue
to translate into long-term value for our shareholders. We look
forward to releasing further developments as Bidhit.com progresses."
About Bidhit.com
Bidhit.com is a fully developed, profitable, real time online
auction company with a customer database of over 100,000 registered
users. The company is focused on providing quality brand name consumer
goods to distinct and growing customer segments. Bidhit.com has
achieved rapid growth by building a solid operational infrastructure
and is now leveraging this success to become one of the leading online
auction brands on the Internet.
About the Online Auction Segment
According to Forrester Research, 52 percent of online business is
expected to be transacted via auctions by 2002, (Reported in Business
2.0, June 1999). The success of online auction sites such as eBay,Inc.
(NASDAQ:EBAY), uBid,Inc. (NASDAQ:UBID), Onsale Inc. (NASDAQ:ONSL) and
Bid.Com International (NASDAQ:BIDS), has been well documented. Bidhit
will be focused on growing its online auction presence in attracting
and sharing the enormous audience for online auctions.
On Behalf of the Board of Directors,
Timothy J. Black, President and CEO Bidhit.com
'Safe Harbor' statement under the Private Securities
Litigation Reform Act of 1995: This release contains forward
looking statements that are subject to risks and uncertainties,
including, but not limited to, the impact of competitive products and
pricing, product demand and market acceptance, new product
development, reliance on key strategic alliances, availability of raw
materials, the regulatory environment, fluctuations in operating
results and other risks detailed from time to time in the company's
filings with the Securities and Exchange Commission.
--30--lhs/mi*
CONTACT: Park Avenue Capital Corp.
Timothy J. Black, 800/953-8711
Email: bhit@parkcap.com
KEYWORD: WASHINGTON
INDUSTRY KEYWORD: COMED TELECOMMUNICATIONS
|
