DALLAS, TX--(Marketwire - November 15, 2007) - NewMarket Technology, Inc. (
OTCBB:
NMKT)
announced today the filing of the Company's financial performance results
on SEC Form 10Q for the nine month period ended September 30, 2007.
Nine Months Ended September 30, 2007
The Company reported $63.5 million in revenue for the nine months ended
September 30, 2007 and $2.8 million in net income. Year-to-date revenue
has increased 19% compared to the same period last year and net income has
increased 21%.
Three Months Ended September 30, 2007
Revenue in the third quarter increased 24% from $18.9 million in 2006 to
$23.4 million in 2007. This revenue increase was due to organic growth as
the Company's last acquisition was in early 2006. Third quarter net income
increased 13% from $1.4 million in 2006 to $1.6 million in 2007.
Financial Performance Highlights
Balance sheet:
-- Stockholders' equity increased 29% from same quarter last year ($53.3
v. $41.3m)
-- Stockholders' equity increased 18% year-to-date ($53.3 v. $45.2m)
-- Working capital increased 250% from same quarter last year ($17.8 v.
$5.1)
-- Total assets increased 15% from same quarter last year ($72.5 v.
$62.8)
Statement of Operations:
-- Revenue for 3rd quarter 2007 increased 24% from 3rd quarter 2006
($23.4m v. $18.9m)
-- Revenue for first 9 months 2007 increased 19% from first 9 months 2006
($63.5m v. $53.2m)
-- Operating expense percentage decreased, 14% of sales in 3rd quarter
2007 v. 23% of sales in 3rd quarter 2006
-- Net income (before currency translation) for 3rd quarter 2007
increased 13% from 3rd quarter 2006 ($1.6m v. $1.4m)
-- Net income (before currency translation) for first 9 months 2007
increased 21% from first 9 months 2006 ($2.8m v. $2.3m)
Organic Growth; Bottom Line Performance; Issued and Outstanding Stability
"NewMarket continues to mature as reflected in the third quarter financial
report," said CEO Philip M. Verges. "The Company has experienced
tremendous five year revenue growth from less than $1 million in 2002 to
$77.6 million through 2006 with our top line continuing to grow
aggressively in 2007. Organic sales are accounting for a larger percentage
of current growth than in the past five years. NewMarket has not made an
acquisition in almost two years. Our bottom line growth also continues to
improve each quarter compared to the same period the previous year. After
using the Company's stock as a currency to acquire operating assets
supporting the reported dramatic growth, the company's capital structure is
now stabilizing and the shares outstanding count growth has slowed
appreciably. The increase in issued and outstanding stock between the
second and the third quarter of 2007 was negligible following several
previous quarters of increases. NewMarket organic growth, bottom line
performance and capital structure stability will remain as top priorities
in the company's continuing maturation."
Third Quarter Earnings Webcast and Recent Letter to Shareholders
NewMarket Technology management will be conducting a webcast on Monday,
November 19, 2007 at 4:30 pm EST to review the Company's 3rd quarter
financial performance, including results for NewMarket China, Inc. (
OTCBB:
NMCH) and updates on the Company's Latin American operations that are being
consolidated into NewMarket Latin America, Inc. (
PINKSHEETS:
NLAI). Log on
details for the webcast are available on
www.newmarkettechnology.com on the
home page under "Current Events" or can be accessed at
http://biz.yahoo.com/cc/3/87613.html.
Separately, NewMarket CEO Philip M. Verges recently released a letter to
shareholders addressing the Company's corporate maturation and continued
growth, emerging market growth strategy and 2008 early outlook. The letter
can be read in its entirety at:
http://biz.yahoo.com/iw/071113/0328052.html.
To be added to NewMarket's corporate e-mail list for shareholders and
interested investors, please send an e-mail to
ir@newmarkettechnology.com
About NewMarket Technology, Inc. (
www.newmarkettechnology.com)
NewMarket helps clients maintain the delicate balance between maintaining
legacy systems and gaining a competitive edge from the latest technology
innovations. NewMarket provides certified integration and maintenance
services to support the prevailing industry standard solutions such as
Microsoft, Oracle, SAP, Siebel and Sun Microsystems. Concurrently,
NewMarket continuously seeks to acquire emerging technology assets to
incorporate into an overall product portfolio carefully packaged to
complement the prevailing industry standard solutions. Some emerging
technology solutions NewMarket provides include VoIP, Broadband Wireless
and Security.
NewMarket delivers its portfolio of products and services through its
network of Solution Integration subsidiaries in North America and the
leading emerging markets around the world to include, Latin America, China
and Singapore.
NewMarket ranked Number One in Texas, Number Three in the United States and
Number Five in North America on Deloitte's 2006 Technology Fast 500, a
ranking of the 500 fastest growing technology, media, telecommunications
and life sciences companies in North America. Rankings are based on
percentage revenue growth over five years, from 2001-2005. The Company grew
from less than $1 million in revenue in 2001 to over $50 million in
profitable revenue in 2005. In 2006, the company continued its rapid
growth, reporting $77.6 million in revenue with a net income of $5.8
million.
"SAFE HARBOR STATEMENT" UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT
OF 1995
This press release contains forward-looking statements that involve risks
and uncertainties. The statements in this release are forward-looking
statements that are made pursuant to safe harbor provision of the Private
Securities Litigation Reform Act of 1995. Actual results, events and
performance could vary materially from those contemplated by these
forward-looking statements. These statements involve known and unknown
risks and uncertainties, which may cause NewMarket's actual results in
future periods to differ materially from results expressed or implied by
forward-looking statements. These risks and uncertainties include, among
other things, product demand and market competition. You should
independently investigate and fully understand all risks before making
investment decisions.
Contact Information: Contact:
NewMarket Technology, Inc.
Investor Relations
214-722-3065
ir@newmarkettechnology.com
www.newmarkettechnology.com