Message #13 From:
NewsBot Date: November 20, 2007 09:50:26 PM
Communicate.com Reports Third Quarter and Year-to-Date Results
Company Raises Funds and Strengthens Senior Management Team in Q3 to Accelerate Development of Strategy to Grow Commerce and Media Assets
Communicate.com Inc. (OTCBB: CMNN), an Internet commerce and media company, today announced results for the three and nine months ended September 30, 2007. All results are reported in US Dollars under accounting principles generally accepted in the United States of America (US GAAP).
Geoffrey Hampson, Chairman and CEO of Communicate.com, stated, "When I joined the Company in June, I made attracting world class management and supplementing working capital top priorities. In the third quarter we closed a $5.1 million financing with key institutional investors and started to build an exceptional management team and board. Over the next several quarters, we will continue to strengthen the management team and board and begin to execute on a strategy that exploits our valuable domain name assets."
Select Q3 and Year-to-Date Financial Highlights and Q3 Corporate Developments Include:
- Record Q3 eCommerce revenues of $1.64 million, an increase of 5% year-over-year
- Record nine month eCommerce revenues of $4.85 million, an increase of 11% year-over-year
- Announced the appointment of Jonathan Ehrlich as President and Chief Operating Officer
- Closed a non-brokered $5.1 million private placement of common shares at $2 per share. Participants in the financing included institutional investors as well as Communicate.com Chairman & CEO, Geoffrey Hampson and its new President & COO, Jonathan Ehrlich
- Appointed James P. Taylor, CPA, to the Board of Directors and elected him Chairman of the Audit Committee
- Appointed Mark Benham, Managing Partner of Celerity Partners, a Bay Area Private Equity Fund, to the Board of Directors
- Registered a Stock Incentive Plan to provide incentives to attract, retain and motivate top caliber employees
For the third quarter ended September 30, 2007, gross revenues were $1,770,594 compared to $2,127,828 for the same period last year. Net loss for the third quarter period was $429,166 compared to a net income of $347,859 for the same period a year ago. For the nine months ended September 30, 2007, gross revenues were $5,118,003 compared to $5,245,104 for the same period last year. Net loss for the nine month period was $677,118 compared to a net income of $388,280 for the same period a year ago. The decrease in gross revenues and the swing from net income to a loss is primarily attributable to the fact that the Company sold no domain names during the 2007 nine month period versus domain name sales of $623,800 in the comparable period of 2006. The increase in marketing costs, general and administrative and management fees and employee salaries is attributed to an increasing investment in team and infrastructure required for growth.
Detailed information regarding Communicate.com's quarterly results can be found in the Company's quarterly report on Form 10-QSB, which has been filed with the SEC and is available via the investor section of Communicate.com's corporate website, at http://www.communicate.com/investor.php.
