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Beacon Enterprise Solutions Reports 51% Increase in Net Sales and 97% Increase in Gross Profit for Fiscal First Quarter 2012
Feb 08, 2012 (04:02 PM EST)
-- Income from Operations Increases by $1.5 Million Year over Year --
-- Conference Call To Be Held Tomorrow at 10:00 A.M. Eastern Time --
LOUISVILLE, Ky., Feb. 8, 2012 /PRNewswire/ -- Beacon Enterprise Solutions Group, Inc. (OTCBB: BEAC) (www.askbeacon.com), an emerging global leader in the design, implementation and management of high performance Information Technology Systems ("ITS") infrastructure solutions, reports fiscal first quarter financial results for the period ended December 31, 2011, which are discussed below:
Financial Highlights for the Fiscal 2012 First Quarter:
Bruce Widener, Chairman and CEO of Beacon Enterprise Solutions commented, "Fiscal 2012 is shaping up to be another year of significant growth for Beacon. We're reporting another quarter of double-digit sales growth, improved and stable gross profit margins and positive income from operations. Although we have been impacted by the current challenges in the global economy, having seen some large infrastructure projects delayed and experienced longer than usual sales cycles, we have continued to grow our business, strengthen our customer relationships and expand our capabilities despite these challenges. We are currently on track to achieve a minimum of 50% annual sales growth in 2012, without the benefit of pending large infrastructure projects, and expect to achieve sustainable profitability. Our sales pipeline remains robust and continues to expand. We are also continuing to pursue a number of large project opportunities that could have a significant, positive impact on our growth and profitability in 2012."
"In the fiscal first quarter we continued the upward trends that began last year and worked to further solidify our position as a leading global ITS provider," added Jerry Bowman, President and COO of Beacon. "Our implementation of NetSuite has enabled our global sales force and customer base to work within one system architecture in multiple languages and currencies. We have increased our efforts to win more Fortune 100 clients and are actively engaged with over 25 different potential qualified client targets. We have demonstrated with our existing marquee clients the ability to win significant new business that results in multi-year, multi-million dollar contracts. Our recent announcement of $2 million dollars in new contract awards with Fortune 100 clients is a great example of these initiatives in action."
"We are extremely pleased with the increase in corporate productivity that we achieved this quarter, and with the strong contributions from our employees," said Victor Agruso, Chief Administrative Officer. "We achieved 50%+ increases (annualized) in both net revenue and operating income per employee, which reflects our staff's commitment to provide the highest level of professional services in a cost-efficient manner."
"Gross profit margin improved to 39%, compared with 30% in last year's first quarter. This amount is comparable to the amount we recorded in the fourth quarter of fiscal 2011, and is also in line with management's expectations," said S. Scott Fitzpatrick, Vice President Corporate Controller and Treasurer. " We expect to see consistent gross margin performance throughout 2012, with variances depending on the mix of higher margin professional services work and the relative delivery stage of our larger projects and programs."
Earnings Conference Call, Thursday, February 9, 2012 @ 10:00 a.m. EST:
Beacon's Management will hold a conference call on Thursday, February 9, 2012 at 10:00 a.m. EST to discuss its fiscal first quarter 2012 financial results for the period ending December 31, 2011. Participants on the call will include Bruce Widener, Chairman and CEO; Jerry Bowman, President and COO; Victor Agruso, Chief Administrative Officer and S. Scott Fitzpatrick, Vice President Corporate Controller and Treasurer. The teleconference can be accessed by calling 888-495-3916 and entering conference ID # 43328861. Participants outside of the U.S. and Canada can join by calling 706-634-7530 and entering the same conference ID. Please dial in 15 minutes prior to the beginning of the call. The conference call will be simultaneously webcast and available on the company's website, http://www.askbeacon.com, under the "Investor Relations" tab. A digital recording of the conference call will be available for replay two hours after the end of the call's completion until 11:59 p.m. EST on Saturday, February 11, 2012 by calling 404-537-3406 and entering conference ID # 43328861.
About Beacon Enterprise Solutions Group, Inc.
Beacon Enterprise Solutions Group is an emerging global leader in the design, implementation and management of high performance Information Technology Systems ("ITS") infrastructure solutions. Beacon offers fully integrated, turnkey IT infrastructure solutions capable of fully servicing the largest companies in the world as they increasingly outsource to reduce costs while optimizing critical IT design and infrastructure management. Beacon is headquartered in Louisville, Kentucky, with regional headquarters in Cincinnati, Ohio, Dublin, Ireland, Prague, Czech Republic and personnel located throughout the United States and Europe.
For additional information, please visit Beacon's corporate website: www.askbeacon.com
This press release may contain "forward-looking statements." Expressions of future goals and similar expressions reflecting something other than historical fact are intended to identify forward-looking statements, but are not the exclusive means of identifying such statements. These forward-looking statements may include, without limitation, statements about our market opportunity, strategies, competition, expected activities and expenditures as we pursue our business plan. Although we believe that the expectations reflected in any forward looking statements are reasonable, we cannot predict the effect that market conditions, customer acceptance of products, regulatory issues, competitive factors, or other business circumstances and factors described in our filings with the Securities and Exchange Commission may have on our results. The company undertakes no obligation to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this press release.
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SOURCE Beacon Enterprise Solutions Group