CASTLE ROCK, CO--(Marketwire - May 14, 2008) -
Selected Highlights:
-- First quarter revenue up 54% to $725,200 from $471,300
-- Highest revenue quarter in Company's history
-- USVerified™ and network revenue up 52% and 33%, respectively, year
over year
-- SG&A expense declines 24% over same quarter last year
-- Net loss reduced by 79% year over year
Integrated Management Information, Inc. (IMI Global) (OTCBB: INMG), a
leading provider of verification and Internet solutions for the
agricultural/livestock industry, today announced continued strong revenue
growth and a sharply reduced net loss for its first quarter ended March 31,
2008.
"We continued to focus on enhancing and expanding our USVerified solutions
and network businesses while carefully managing our cost structure and
moving steadily toward our objective of sustainable profitability," said
John Saunders, president and CEO. "We're particularly pleased with
prospects for our expanded solutions portfolio, including our e-learning
solutions, which contributed significantly to revenue in the first quarter,
as well as our Born and Raised in the USA® labeling program, which offers
excellent potential in a high growth niche."
Total revenue increased 54% in the first quarter to $725,200 from $471,300
in the first quarter last year. On a sequential quarter basis, revenue
increased 5% from $688,500 in the fourth quarter of 2007. The Company
achieved year-over-year growth in all revenue streams. USVerified
solutions, the Company's third party verification programs, grew by 52% in
the first quarter to $430,300 from $283,800 in the first quarter last year.
Revenue from the Company's networks, including advertising and product
sales from CattleNetwork.com and CattleStore.com, respectively, increased
33% to $249,700 in the first quarter from $187,500 in the same quarter last
year. The Company's e-learning solutions, a separate revenue stream
beginning in 2008, reported revenue of $45,200 in the first quarter.
E-learning solutions, primarily consisting of sales force and support staff
training modules, are offered to existing customers for the Company's
USVerified and advertising offerings.
Gross profit increased 37% in the first quarter to $373,800 from $272,600
-- a result of higher overall revenue. As a percent of revenue, gross
margin declined by six basis points due to an increase in the number of
dedicated personnel required to support revenue growth and a larger
customer base.
The Company continued to carefully monitor its expense base in the first
quarter. Selling, general and administrative expense decreased 24% to
$422,600 from $557,900 in the same quarter last year. The decline is
primarily attributable to a reduction in contract services and lower
professional fees. In addition, the Company had an $18,000 reduction in
stock-based compensation expense during the period. Net loss in the first
quarter was reduced by 79% to $60,600, or less than one cent per basic and
diluted share, from a net loss of $290,700, or $0.02 per basic and diluted
share, in the first quarter last year. On a sequential quarter basis, net
loss was down from $71,400 in the fourth quarter of 2007. The improved
bottom line enabled the Company to increase its line of credit to $125,000
during April 2008.
Conference Call
IMI Global will conduct a conference call and Webcast today at 9:30 a.m.
Mountain Time (11:30 a.m. Eastern Time). Dial 800-257-6566 for domestic
toll free or 303-262-2191 for local and international. Conference ID
#11114112. A telephone replay will be available through June 13, 2008, at
800-405-2236 or 303-590-3000, passcode 11114112#.
To access a live Webcast of the call, please visit IMI Global's website at
www.imiglobal.com and click the Webcast link. A replay of the Webcast will
be available at that website through June 13, 2008.
About IMI Global
Founded in 1995, IMI Global is a leading provider of verification and
Internet solutions for the agriculture industry. Go to www.IMIGlobal.com
for additional information. IMI has worked with some of the largest
agricultural organizations in the United States, providing web-based
applications for verification and identification as well as a range of
consulting services tailored to meet each customer's needs. IMI operations
include www.CattleNetwork.com, an online service offering market
information and industry news to the cattle industry, and
www.CattleStore.com, an online source for livestock supplies, such as
animal identification, medical equipment and veterinarian supplies.
Additional IMI web sites include www.USVerified.com, www.AgNetwork.com and
www.PetSupplyVerified.com.
CAUTIONARY STATEMENT
This news release contains "forward-looking statements" within the meaning
of the U.S. Private Securities Litigation Reform Act of 1995, based on
current expectations, estimates and projections that are subject to risk.
Forward-looking statements are inherently uncertain, and actual events
could differ materially from the Company's predictions. Important factors
that could cause actual events to vary from predictions include those
discussed in our SEC filings. Specifically, statements in this news
release about growth, profitability, potential, leadership, the impact and
efficacy of the Company's products and services on the marketplace are
forward-looking statements that are subject to a variety of factors,
including availability of capital, personnel and other resources;
competition, governmental regulation of the beef industry, the market for
beef and other factors. In addition, financial results for the three and
twelve-month periods are not necessarily indicative of future results.
Readers should not place undue reliance on these forward-looking
statements. The Company assumes no obligation to update its
forward-looking statements to reflect new information or developments. For
a more extensive discussion of the Company's business, please refer to the
Company's SEC filings at www.sec.gov.
Integrated Management Information, Inc.
Condensed Statements of Operations
(Unaudited)
Three months ended
March 31,
2008 2007
------------ ------------
Revenues $ 725,175 $ 471,315
Costs of revenue 351,415 198,715
------------ ------------
Gross profit 373,760 272,600
Selling, general and administrative expenses 422,567 557,852
------------ ------------
Loss from operations (48,807) (285,252)
Other expense (income):
Interest expense 12,888 7,123
Other income, net (1,145) (1,694)
------------ ------------
Loss before income taxes (60,550) (290,681)
Income taxes - -
------------ ------------
Net loss $ (60,550) $ (290,681)
============ ============
Loss per share, basic and diluted $ (0.00) $ (0.02)
============ ============
Weighted average shares outstanding,
basic and diluted 19,993,088 19,051,061
============ ============
Integrated Management Information, Inc.
Condensed Balance Sheets
March 31, December 31,
2008 2007
------------ ------------
ASSETS
Current Assets:
Cash and cash equivalents $ 25,199 $ 170,882
Accounts receivable, net 298,276 193,737
Inventories 20,031 18,759
Prepaid expenses and other current assets 35,293 43,495
------------ ------------
Total current assets 378,799 426,873
Property and equipment, net 67,732 54,134
Goodwill 418,208 418,208
Intangible assets, net 24,336 28,395
------------ ------------
Total assets $ 889,075 $ 927,610
============ ============
LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT)
Current liabilities:
Accounts payable $ 289,302 $ 259,103
Accrued expenses and other current liabilities 34,867 40,406
Deferred revenues - 5,750
Short-term debt and current portion of
notes payable 422,000 420,000
------------ ------------
Total current liabilities 746,169 725,259
Notes payable and other long-term debt 300,000 300,000
Stockholders' equity:
Preferred stock - -
Common stock 28,246 28,246
Additional paid-in capital 4,708,512 4,705,679
Treasury stock (1,486,718) (1,485,000)
Accumulated deficit (3,407,124) (3,346,574)
------------ ------------
Total stockholders' equity (157,094) (97,650)
------------ ------------
Total liabilities and stockholders' deficit $ 889,075 $ 927,610
============ ============
Contact Information: Company Contacts:
John Saunders
Chief Executive Officer
303-895-3002
Jay Pfeiffer
Pfeiffer High Investor Relations, Inc.
303-393-7044