Message #1 From:
Jason Date: May 24, 2007 06:16:35 PM
BERL, Berliner Reports 80% Increase in Revenue to $15.4 Million
Closed on Two Important Acquisitions Creating National Footprint
Berliner Communications, Inc. (OTC Bulletin Board: BERLForum Stocks) ('Berliner') today announced financial results for the three and nine months ended March 31, 2007.
Highlights for the Quarter ended March 31, 2007 and subsequent events:
-- Revenues for the quarter increased 80% over the third quarter of fiscal
2006 and 12% over the second quarter of fiscal 2007;
-- Acquired two significant businesses, expanding operational footprint
nationwide;
-- Selected for $600,000 public safety project for county in southern New
Jersey;
-- Increased availability under line of credit from $2.5 million to $8.0
million.
'This quarter has truly been one of the most exciting periods in our company's history,'' said Rich Berliner, Berliner's Chairman and CEO, 'and one of the busiest. We have continued solid operating and financial performance, strengthened our capital resources and significantly expanded our facilities and employee base on a national basis. Our acquisition of the assets and business of Digitcom in Texas added a team of professionals with an outstanding reputation for exceptional work and customer service to our already developed Texas market. In April, our acquisition of the U.S. operations of Radian Communication Services added over 130 quality professionals to our team, and immediately expanded our footprint to seven offices in six western states. Each acquisition included significant customer relationships we hope to continue and expand upon. In short, we have reached our goal of becoming a full-service, nationwide provider for our customers, and now intend to implement a plan to expand our customer relationships in all of our markets.'
Financial Results
Revenue for the company for the quarter ended March 31, 2007 was $15.4 million, as compared with $13.7 million for the quarter ended December 31, 2006 and $8.5 million for the quarter ended March 31, 2006. Berliner reported net income allocable to common shareholders of $361,000, or $0.02 per basic and diluted share in the three months ended March 31, 2007, as compared to net income allocable to common shareholders of $1.2 million, or $0.07 per basic and $0.06 per diluted share, for the three month period ended December 31, 2006, and net loss of $365,000, or $0.02 per basic and diluted share, for the three month period ended March 31, 2006.
Berliner reported net income allocable to common shareholders for the nine months ended March 31, 2007, of $952,000, on revenues of $36.9 million, or $0.06 per basic and $0.05 per diluted share. Berliner reported net income of $345,000, or $0.03 per basic and diluted share before the effect of the deemed dividend associated with the September 2005 recapitalization of Berliner in the nine months ended March 31, 2006 on revenues of $28.3 million. After recording the deemed dividend of $19.9 million on the conversion of our Series B and Series D Convertible Preferred Stock, the net loss allocable to common shareholders was $19.6 million or $1.58 per basic and diluted share for the nine months ended March 31, 2006.
We currently report our financial results on the basis of two reportable segments: (1) infrastructure construction and technical services and (2) real estate acquisition and zoning. The following represents our revenues and operating income (loss) for each segment for the three and nine months ended March 31, 2007, and 2006, respectively: