VERB EXCHANGE HALF YEAR REVENUE EXCEEDS $6.7 MILLION
Verb Exchange Inc. has released its second quarter fiscal 2006 financial statements for the six-month period ending June 30, 2006.
The company is pleased to announce quarterly revenue of $3,346,381, a $3,069,322 increase as compared with second quarter of 2005, bringing year-to-date revenue to $6,783,078. Net loss for the period was $491,498 and includes non-cash items totalling $274,040.
"As the company continues to report strong revenue numbers, we have also concentrated on consolidating our service platforms in order to create additional technical and operating efficiencies," stated the company's chief executive officer, Craig Goldenberger. "Our services are highly scalable and with our systems now centrally located we will be able to add new features and upgrades to our existing products and services, and more importantly, bring new VoIP-based products and services to market with more expedience."
A breakdown of second quarter results follows.
(in thousands of dollars)
Three months ended Six months ended
June 30, June 30, June 30, June 30,
Revenue $ 3,346 $ 277 $ 6,783 $ 560
Cost of sales $ 3,278 $ 242 $ 6,684 $ 494
Gross margin $ 68 $ 35 $ 99 $ 66
Expenses $ 572 $ 429 $ 950 $ 797
Net income (loss) $ (491) $ (394) $ (823) $ (731)
Subsequent to the end of the quarter, on Aug. 30, 2006, the company settled $454,202 in outstanding indebtedness through the issuance of 3,028,011 common shares. The shares were issued pursuant to the debt settlement announced in Stockwatch on Aug. 17, 2006, and are subject to a hold period expiring on Dec. 30, 2006.