American TonerServ Reports Record Revenue for Third Quarter18 Nov, 2009
American TonerServ Reports Record Revenue for Third Quarter
SANTA ROSA, CA (NOV 2009) - American TonerServ Corp ("ATS"), a leader in the highly fragmented $6.0 billion printer supplies and services industry, reports sequential revenue growth for the 3rd quarter and nine-months ended September 30, 2009.
Financial highlights for the quarter include:
- Revenue increased 192% to $7,760,601 compared with $2,653,858 reported for the third quarter of 2008, primarily due to the acquisition of iPrint Technologies.
- Gross profit increased 86% to $2,000,083 compared with $1,078,174 reported in the third quarter of 2008
- Adjusted EBITDA totaled $61,200, compared with a negative adjusted EBITDA of $401,400 for the third quarter of 2008
- Net loss increased to $1,028,777, or $ 0.01 per fully diluted share, compared to a net loss of $956,080, or $0.01 per fully diluted share for the third quarter of 2008
Financial highlights for the nine-months ended September 30, 2009 include:
- Revenue increased 165% to $21,493,092 compared with $8,106,084, for the nine-month period ended September 30, 2008, primarily due to the acquisition of iPrint Technologies.
- Gross Profit increased 105% to $6,215,305 compared with $3,036,228 reported for the nine-months ended to September 30, 2008
- Adjusted EBITDA totaled $345,616 compared to a negative Adjusted EBITDA of $1,158,902 for the nine-month period ended September 30, 2008
- Net loss decreased to $1,874,843, or $0.02 per fully diluted share, compared to a net loss of $3,408,006, or $0.05 per fully diluted share, reported for the nine-month period ended September 30, 2008
Chuck Mache, CEO of American TonerServ, commented: “We are very pleased with the continuing improvements in our financial results. We have set another record for revenue this quarter and achieved positive adjusted EBITDA for the third consecutive quarter. The trajectory suggests that the coming quarter and 2010 will see further strengthening of our position as a leader in the compatible toner cartridge business.”
Mr. Mache continued: “Since the education and medical business segments are strong vertical markets for us, and with the education sector largely closed down and hospitals in the Florida region slower during the third quarter, we have seen reasonable downward seasonality in our business this quarter. However, we are pleased with our 3rd quarter growth over the previous quarter, and since the end of the quarter, we have seen an acceleration in sales, and indeed, we are now selling over 1,000 cartridges a day.”
Mache concluded, “Through the execution of our organic growth strategies, largely sparked by the iPrint division’s strong quarter, we are working toward our goal to establish ATS as the brand of choice in the compatibles market as Hewlett Packard is in the OEM market.”
Conference Call Information:
Management will host a conference call on Wednesday, November 11, 2009, at 4:30 Eastern Standard Time.
The conference call will be available to interested parties by dialing 800-447-0521 from the U.S. or Canada, or 847-413-3238 from international locations, passcode 25804114. This call is also available through a live, listen-only audio Web broadcast via the Internet at www.AmericanTonerServ.com under Investor Relations. Listeners are encouraged to visit the Web site at least 15 minutes prior to the start of the scheduled presentation to register, download and install any necessary audio software. The call will be archived and accessible on the Web site for one year.
Presentation of Non-GAAP Information
This press release contains non-GAAP financial measures, including EBITDA (earnings before interest, income taxes, depreciation and amortization) and Adjusted EBITDA (earnings before interest, income taxes, depreciation, amortization and other non-cash related expenditures). The Company believes these non-GAAP financial measures are useful to investors in evaluating its results. These measures are not a measurement of financial performance under GAAP and should not be considered as alternatives to net income, income from operations, or any other performance measures derived in accordance with GAAP or as an alternative to cash flow from operating, investing or financing activities as a measure of liquidity. For more info visit the ATS website.
American TonerServ (OTCBB:ASVP) is a leading marketer of compatible and original-equipment-manufactured toner cartridges. The company is strategically building a nationwide organization to efficiently serve the printing needs of small- and medium-sized businesses by executing on key organic growth initiatives designed to build sales distribution across the country. In the more than $6.0 billion recycled printer cartridge and printer services industry, the company offers top-quality, environmentally friendly products and local service teams to its customers. Please see www.AmericanTonerServ.com for more information.