-- Record revenue of $4,974,747 for the period -- Increase in revenue of 54% over 2007 -- Stable gross margins of 21% -- Closed the third tranche of $1,450,000 of funding -- Issued 498,000 shares of Series B Preferred Stock -- Recorded a deemed preferred stock dividend of $1,112,200 related to the issuance of warrants that were exchangedOperating Results Revenues for the three months ended June 30, 2008 increased $1,445,788 or 41% to $4,974,747, compared with revenues of $3,528,959 for the three months ended June 30, 2007. Revenues for the six months ended June 30, 2008 increased $3,371,562 or 54% to $9,611,626, compared with revenues of $6,240,064 for the six months ended June 30, 2007. The Company experienced a net loss of $2,636,836 or $0.09 per share loss for the three months ended June 30, 2008 compared to a net loss of $1,499,245 or $0.04 per share for the comparable period in 2007. During this period, the Company reported a deemed preferred stock dividend of $1,112,200 related to the issuance of warrants that were exchanged. This non-recurring deemed preferred stock dividend negatively affected the earnings per share. The Company experienced a net loss of $5,128,075 or $0.14 per share loss for the six months ended June 30, 2008 compared to net loss of $4,395,494 or $0.11 per share loss for the comparable period in 2007. "Despite one of the worst economic landscapes in recent times, Juma has continued to grow our business and deliver quarter over quarter growth," said Chairman and Chief Executive Officer Anthony M. Servidio. "Our second quarter earnings are a testament to the continued health and stability of our company and our future potential," said Servidio. About Juma (www.jumacorp.com) Juma Technology Corp provides advanced IP Convergence solutions that integrate voice, data and video applications. Juma's IP Convergence solutions enable companies to increase productivity, enhance mobility and create significant cost savings, particularly for multi-location businesses. Juma has been recognized as an industry leader in providing integrated business communications and services, helping customers leverage network convergence to achieve their business goals. Nectar Services Corp, an IP communications solutions provider, is a wholly owned subsidiary of Juma and represents the company's services division. Forward-Looking Statements Historical results and trends should not be taken as indicative of future operations. Management's statements contained in this report that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934 (the "Exchange Act"), as amended. Actual results may differ materially from those included in the forward-looking statements. The Company intends such forward-looking statements to be covered by the safe-harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, and is including this statement for purposes of complying with those safe-harbor provisions. Forward-looking statements, which are based on certain assumptions and describe future plans, strategies and expectations of the Company, are generally identifiable by use of the words "believe," "expect," "intend," "anticipate," "estimate," "project," "prospects," or similar expressions. The Company's ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse affect on the operations and future prospects of the Company on a consolidated basis include, but are not limited to: changes in economic conditions, legislative/regulatory changes, availability of capital, interest rates, competition, significant restructuring and acquisition activities, and generally accepted accounting principles. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. Further information concerning the Company and its business, including additional factors that could materially affect the Company's financial results, is included herein and in the Company's other filings with the SEC.
Juma Technology Corp. and Subsidiaries Condensed Consolidated Statement of Operations For the three and six months ended June 30, Three months Three months Six months Six months ended ended ended ended June 30, June 30, June 30, June 30, 2008 2007 2008 2007 ------------ ------------ ------------ ------------ Sales $ 4,974,747 $ 3,528,959 $ 9,611,626 $ 6,240,064 Cost of goods sold 3,919,401 2,901,506 7,573,500 5,324,050 ------------ ------------ ------------ ------------ Gross margin 1,055,346 627,453 2,038,126 916,014 ------------ ------------ ------------ ------------ Operating expenses: Selling 536,546 629,552 1,057,105 1,309,276 Research and development 207,937 177,091 389,522 177,091 Goodwill impairment - - 204,600 1,995,259 General and administrative 2,362,709 1,276,974 4,621,774 2,068,062 ------------ ------------ ------------ ------------ Total operating expenses 3,107,192 2,083,617 6,273,001 5,549,688 ------------ ------------ ------------ ------------ (Loss) from operations (2,051,846) (1,456,164) (4,234,875) (4,633,674) Interest income/ (expense), net (584,691) (43,081) (891,501) (68,603) ------------ ------------ ------------ ------------ (Loss) before income taxes (2,636,537) (1,499,245) (5,126,376) (4,702,277) Provision/(Benefit) for income taxes 299 - 1,699 (306,783) ------------ ------------ ------------ ------------ Net (loss) $ (2,636,836) $ (1,499,245) $ (5,128,075) $ (4,395,494) Deemed preferred stock dividend 1,112,200 - 1,112,200 - ------------ ------------ ------------ ------------ Net (loss) attributable to common shareholders $ (3,749,036) $ (1,499,245) $ (6,240,275) $ (4,395,494) ============ ============ ============ ============ Basic and diluted net (loss) attributable to common shareholders per share $ (0.09) $ (0.04) $ (0.14) $ (0.11) ============ ============ ============ ============ Weighted average common shares outstanding 43,948,950 42,144,560 43,947,741 41,843,167 ============ ============ ============ ============ Juma Technology Corp. and Subsidiaries Condensed Consolidated Balance Sheet June 30, December 31, 2008 2007 (Unaudited) (Audited) ASSETS ------ Current assets: Cash $ 943,231 $ 302,889 Accounts receivable, (net of allowance of $196,955 and $0, respectively) 3,918,511 3,775,360 Inventory 156,288 184,357 Prepaid expenses 71,219 100,180 Other current assets 281,128 312,051 ------------- ------------- Total current assets 5,370,377 4,674,837 Fixed assets, (net of accumulated depreciation of $643,243 and $540,344, respectively) 1,909,195 1,686,189 Other assets: Security deposits 109,252 101,700 ------------- ------------- Total assets $ 7,388,824 $ 6,462,726 ============= ============= LIABILITIES AND STOCKHOLDERS' DEFICIENCY ---------------------------------------- Current liabilities: Convertible notes payable, (net of discount of $109,078 and $219,444, respectively) $ 1,292,288 $ 905,556 Current portion of capital leases payable 213,651 196,720 Accounts payable 3,042,386 2,564,353 Accrued expenses and taxes payable 1,293,480 552,006 Deferred revenue 1,278,261 654,032 ------------- ------------- Total current liabilities 7,120,066 4,872,667 Capital leases payable, net of current maturities 286,614 397,256 Convertible note payable, (net of discount of $441,541 and $484,376, respectively) 6,686,692 3,615,624 ------------- ------------- Total liabilities 14,093,372 8,885,547 ------------- ------------- Commitments and contingencies Stockholders' deficiency Series A Preferred stock, $0.0001 par value, 8,333,333 shares authorized, 8,333,333 shares issued and outstanding, respectively 833 833 Series B Preferred stock, $0.0001 par value, 1,666,667 shares authorized, 498,000 and 0 shares issued and outstanding, respectively 50 - Common stock, $0.0001 par value, 900,000,000 shares authorized, 43,948,950 and 43,943,950 shares issued and outstanding, respectively 4,394 4,394 Additional paid-in capital 17,300,855 15,342,357 Retained deficit (24,010,680) (17,770,405) ------------- ------------- Total stockholders' deficiency (6,704,548) (2,422,821) ------------- ------------- Total liabilities and stockholders' deficiency $ 7,388,824 $ 6,462,726 ============= =============
Contact Information: Contact: Melissa Nacerino Juma Technology Corp 646.291.8264