Columbia Capital Corp. Reports 2nd Quarter Results Earnings Up 65% Over 1st Quarter
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FORT LAUDERDALE, Fla., July 10 /PRNewswire/ -- Columbia Capital Corp. (OTC Bulletin Board: CLCK - news; the ''Company'') today reported financial results for the second quarter ended June 30, 1998.
For the second quarter of fiscal 1998, the Company reported net income of $666,875 or $0.05 per share based upon 12,648,351 average shares outstanding, compared with net income of $402,171 or $0.03 per share based on 12,500,000 shares then outstanding, for the first quarter of fiscal 1998. This represents an increase in earnings of 65% over the first quarter. Total operating revenue for the six months ended June 30, 1998 increased approximately 196% to $5,837,439 from $1,970,580 for the six months ended June 30, 1997. Furthermore, credit card processing revenue during the six months ended June 30, 1998 increased 426% to $4,698,934 from $892,843 during the six months ended June 30, 1997.
The significant improvement in net income was due primarily to a 34% increase in revenues to $3,342,062 from $2,495,378 in the first quarter of 1998, offset in part by an 25% increase in expenses to $2,319,133 in the second quarter of 1998 from $1,851,541 in the first quarter of 1998. These increases represent in large part the acquisition of First Independent Computers, Inc., the Company's principal operating subsidiary, in September, 1997 and revenues generated from operations since that time.
The Company's total assets as of June 30, 1998 increased approximately 30% to $4,556,340 from $3,510,654 at March 31, 1998. Shareholders net equity increased approximately 55% to $2,494,787 from $1,614,162 for the same period.
CLCK president Ken Klotz, stated that he was very pleased with the second quarter results. He went on to say that projected revenues from certain recently signed agreements were not included in the second quarter results because of the time necessary to get new programs started and the ramp-up period. He said, ''As soon as our new programs are online and with the recently announced expected acquisition of Berwyn Holdings, Inc., and FiScrip, Inc., we anticipate our earnings to continue to grow as the past three quarters have shown.'' He went on to say that the Company anticipates continued growth through the acquisition of additional accounts. Since the beginning of the second quarter, the Company has increased the net number of accounts it services from approximately 464,500 on April 1, 1998 to approximately 577,000 as of June 30, 1998.
Columbia Capital Corp. operates through its wholly-owned subsidiary, First Independent Computers, Inc. The Company is a multi-faceted information and transaction processing service organization. The services provided by the Company include credit and debit card processing and servicing, transaction processing for the health care industry, bank and financial services processing and document management and distribution services. The Company concentrates on a niche market, consisting of small to medium-sized financial institutions, retailers and health care providers that have not achieved the economies of scale to operate their own in-house programs and systems.
Forward-looking statements in the press release are necessarily subject to risks and uncertainties, which may affect the accuracy of such statements. Such risks may include any delays in the addition of business or loss of existing customers. For a full discussion of such risks, please refer to the Company's Form 10-KSB/A for the fiscal year ended December 31, 1997 and subsequent filings. The Company undertakes no obligation to update such factors or to publicly announce the results of any revisions to the forward- looking statements contained herein.
SOURCE: Columbia Capital Corp. |
