BOCA RATON, Fla., Oct. 5, 2006 (PRIMEZONE) -- Juniper Group, Inc. (OTCBB:JUNI) reported a second consecutive quarter of revenue growth. Juniper reported strong second quarter of June 30, 2006 revenues of $1,214,000 vs. $100,821 for same period in 2005. Juniper's first quarter revenue for March 31, 2006 was $1,159,000. The increase in revenues was due to the continuing growth of the March 2006 acquisition of New Wave Communications, Inc.
Juniper's CEO, Vlado P. Hreljanovic, stated "We are very pleased with our second quarter performance, and we have increased revenues from our existing customer base. Additionally, we have entered into new Master Service Agreements with substantial new clients that will be effective in the third quarter. The financial results from this new business are expected to be reflected beginning in the following quarter. The entire management team is extremely excited and optimistic with our goal to move from a regional player to a national player in the broadband and wireless infrastructure services market. The path of growth has been established, our gross profit margins are increasing and our corporate administrative and general expenses have decreased as a percentage of revenues. The Company's financial performance has increased for a second straight quarter and is in line with our estimated goal for a $5.0 million revenue run rate. Now we look to continue to expand our growth, market share, national expansion, and profitability for the future."
Here is an overview of Juniper's recent revenues:
Year end 1QTR 2QTR
12-31-05 3-31-06 6-30-06
Revenue $581,000 $1,159,000 $1,214,000
Operating Cost 515,000 901,000 785,000
Gross Profit 66,000 (11%) 258,000 (22%) 430,000 (35%)
Net loss $(4,882,000) $(382,000) $(185,000)
For the quarter ended June 30, 2006 vs. the quarter ended June 30, 2005, the net loss per share decreased to $(0.01) from $(0.08) on revenue of approximately $1,214,400 for the three month period ended June 30, 2006. This represents a 1005% increase in revenue and a 456% decrease in net losses. The increase in revenue was predominantly attributable to the acquisition of New Wave. JUNI's gross profit margin for the three month ended June 30, 2006 was approximately $428,900 representing 35% of revenue, compared to approximately $7,700 gross profit margin for the three month ended June 30, 2005 representing 7.6% of revenue. During the 2nd quarter, we solicited a number of new contracts which have closed in the 3rd quarter.
Selling, general and administrative costs increased from approximately $489,000 for the three months ended June 30, 2005 to approximately $550,000 for the three months ended June 30, 2006, a 12% increase. However, the selling, general and administrative expenses as a percentage decreased from 486% of revenue to 45% of revenue for the respective quarters in 2005 and 2006.
Six Months Ended June 30,
2006 2005
Revenues:
Broadband & Wireless Installation
& Services $ 2,373,000 $ 183,000
Film Distribution Services -- 55,000
------------ ------------
Total Revenue $ 2,373,000 $ 238,000
------------ ------------
Operating Costs:
Broadband & Wireless Installation
& Services 1,686,000 181,000
Film Distribution Services -- 28,000
------------ ------------
Total Cost of Revenue 1,687,000 209,311
------------ ------------
Gross Profit 686,000 (29%) 29,000 (12%)
------------ ------------
Corporate, general and admin cost (1,250,000) (1,280,000)
Net (loss) (567,000) (1,255,000)
Shares outstanding 14,389,748 9,998,298
============ ============
Basic and diluted net income
(loss) per common share $ (0.04) $ (0.13)
============ ============
During the first six month period ended June 30, 2006, JUNI's net loss available to common stockholders was approximately $(567,000), or $(0.04) per share on revenue of approximately $2,373,000. This represents a 996% increase in revenue and a 222% decrease in net loss. Broadband installation and wireless infrastructure services recognized revenue of approximately $2,373,000 for the six month period ended June 30, 2006 compared to approximately $238,000 for the six month ended June 30, 2005. The increase in revenue was predominantly attributable to the acquisition of New Wave. JUNI's gross profit margin for the six month ended June 30, 2006 was approximately $686,000 representing 29% of revenue, compared to approximately $29,000 gross profit margin for the six month ended June 30, 2005 representing 12% of revenue.
About Juniper Group Inc.
Juniper (OTCBB: JUNI) provides broadband and wireless infrastructure services, including the deployment and maintenance of wireless/tower system surveys with leading telecommunication companies providing them with site surveys, tower construction and antenna installation on a regional basis to national and regional mobile voice data carriers. Additionally, Juniper performs installations and maintenance services regionally for national and international general contractors and tower portfolio management companies.
Safe Harbor Statement. This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. The forward-looking statements are based on current expectations, estimates and projections made by management. The Company intends for the forward-looking statements to be covered by the safe harbor provisions for forward-looking statements. Words such as `anticipates,' `expects,' `intends,' `plans,' `believes,' `seeks,' `estimates,' or variations of such words are intended to identify such forward-looking statements. Such statements are valid only as of today, and we disclaim any obligation to update this information. Actual results may differ significantly from management's expectations. These forward-looking statements involve risks and uncertainties that include, among others, risks related to potential future losses, amount of, obtaining and satisfying terms of credit lines, competition, financing and commercial agreements and strategic alliances, seasonality, potential fluctuations in operating results and rate of growth, management of potential growth, system interruption, consumer and industry trends, limited operating history, and government regulation. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the Company or any other person that the objectives and plans of the Company will be achieved. Please refer to the Company's Form 10-K and other filings with the SEC for additional information regarding risks and uncertainties, including, but not limited to, the risk factors listed from time to time in such SEC reports. Copies of these filings are available through the SEC's electronic data gathering analysis and retrieval system (EDGAR) at http://www.sec.gov