CALGARY, Alberta, Oct. 12, 2005 (PRIMEZONE) -- miNetwork Group, Inc. (Pink Sheets:MWKG) today announced management-prepared financial results for the three months ending March 31, 2005 and six months ended June 30, 2005. The Corporation will shortly release third quarter results as well. All financial amounts are expressed in thousands of Canadian dollars, except per share amounts or unless otherwise noted.
For the three months ended June 30, 2005, miNetwork Group continued to achieve sequential growth in consolidated revenue. Revenue in the quarter was $121,764.62, an increase of $61,834.24 or 103.2% compared with $59,930.38 for the three months ended March 31, 2005. Total revenues for year ending 2004 were $128,811.19. The Company has also increased its level of miPhone inventory to a total of $143,339.21 as of June 30, 2005, an increase of $79,383.95 or 124.1% from year ending 2004 levels of $63,955.26 in anticipation of larger orders expected during the late third and early fourth quarters of 2005.
Net loss for the corporation is continuing to trend to a break even quarter in the near future with a second quarter loss, ending June 30, 2005 of $(22,766.24) or $(0.0006) per share, compared with net loss of $(103,884.26) or $(0.0029) per share in the first quarter ending March 31, 2005, and a net loss of $(502,154.49) or $(0.014) per share for the year ending December 31, 2004.
Cash from financing for the year ending June 30, 2005 was $81,378.20 compared to $763,373.10 for the year ending December 31, 2004.
The Company is evaluating various financing and strategic alternatives, in light of the requirement to continue to invest in the VoIP infrastructure required to grow the business internationally. In addition, the company is investing in necessary hardware and bandwidth purchases in order to launch commercially applications utilizing the proprietary video compression technology developed by one of the Corporation's strategic partners. The Company has recently retained the services of Ascot Investments Ltd. to advise on alternatives which currently include, but are not limited to, seeking investment from industry partners, strategic investors, existing shareholders or other investors.