EXHIBIT 99.1
COMPANY CONTACT:
BILL WILLETT
PROGRAMMER'S PARADISE(R), INC.
CHAIRMAN AND CHIEF EXECUTIVE OFFICER
(732)-389-8950
bill.willett@programmers.com
PROGRAMMER'S PARADISE, INC. REPORTS 2005 FIRST QUARTER
FINANCIAL RESULTS
FIRST QUARTER SALES INCREASE 46%
SHREWSBURY, NJ, APRIL 28, 2005 - Programmer's Paradise, Inc. (NASDAQ: PROG)
today reported financial results for the first quarter ended March 31, 2005. The
results will be discussed in a conference call to be held on Friday, April 29,
2005 at 10:00 AM Eastern time. The dial-in telephone number is (888) 311-9053
and the pass code is 548758.
Net sales for the quarter ending March 31, 2005 were $30.2 million compared with
$20.7 million in the first quarter of 2004, a 46% increase. "This solid
performance is a result of the ongoing expansion of our account executive team
and increased productivity," said William H. Willett, Chairman and Chief
Executive Officer. "We plan to further invest in our sales team in an effort to
continue to grow our market share."
First quarter income from operations in 2005 was $444,000, an increase of 17% as
compared to the first quarter of 2004.
At the start of the second quarter of 2005, we launched a satellite sales center
in Long Island, New York. Our expectation is that this new office will have a
positive impact on our growth.
Programmer's Paradise, Inc. (NASDAQ: PROG) was founded in 1982 and is an
award-winning marketer of technical software and hardware. When it comes to
software, Programmer's Paradise has it all. Programmer's Paradise is one of the
most recognizable and memorable brands in developer marketing. Our experienced
account executives are key in our strategy. We offer our customers customized
extranets, consultancy services, and flexible financing, as well as same day
shipping.
Additional information can be found by visiting www.programmersparadise.com.
Contact Programmer's Paradise, Inc. via Bill Willett, CEO of Programmer's
Paradise, Inc. at (732) 389-8950 or bill.willett@programmers.com.
The statements in this release concerning the Company's future prospects are
forward-looking statements that involve certain risks and uncertainties. Such
risks and uncertainties include the continued acceptance of the Company's
distribution channel by vendors and customers, the timely availability and
acceptance of new products, and contribution of key vendor relationships and
support programs. The forward-looking statements contained herein are also
subject generally to other risks and uncertainties that are described from time
to time in our filings with the Securities and Exchange Commission.
- Tables Follow -
PROGRAMMER'S PARADISE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
March 31, December 31,
2005 2004
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(Unaudited)
ASSETS
Current assets
Cash and cash equivalents $ 5,107 $ 4,888
Marketable Securities 6,820 6,595
Accounts receivable, net 14,196 14,173
Inventory - finished goods 1,283 1,423
Prepaid expenses and other current assets 590 673
Deferred income taxes, current 1,365 1,423
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Total current assets 29,361 29,175
Equipment and leasehold improvements, net 497 303
Other assets 639 581
Deferred income taxes, net of current 2,913 2,855
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Total assets $ 33,410 $ 32,914
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LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities
Accounts payable and accrued expenses $ 16,021 $ 15,994
Dividend payable 474 425
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Total current liabilities 16,495 16,419
Commitments and contingencies
Stockholders' equity
Common stock, $.01 par value; authorized, 10,000,000 shares;
issued 5,284,500 shares 53 53
Additional paid-in capital 32,426 32,642
Treasury stock, at cost, 1,331,465 shares and 1,418,090 shares,
respectively (3,784) (4,130)
Accumulated deficit (11,923) (12,223)
Accumulated other comprehensive income 143 153
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Total stockholders' equity 16,915 16,495
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Total liabilities and stockholders' equity $ 33,410 $ 32,914
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PROGRAMMER'S PARADISE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(Unaudited)
(In thousands, except per share data)
March 31,
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2005 2004
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Net sales $ 30,169 $ 20,679
Cost of sales 26,740 18,078
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Gross profit 3,429 2,601
Selling, general and administrative expenses 2,985 2,222
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Income from operations 444 379
Interest income, net 67 39
Realized foreign exchange loss (11) (21)
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Income before income tax provision 500 397
Provision for income taxes 200 35
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Net income $ 300 $ 362
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Net income per common share - Basic $ 0.08 $ 0.10
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Net income per common share - Diluted $ 0.07 $ 0.09
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Weighted average common shares outstanding-Basic 3,922 3,797
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Weighted average common shares outstanding-Diluted 4,445 4,084
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Reconciliation to comprehensive income:
Net Income $ 300 $ 362
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Other comprehensive income(loss), net of tax:
Unrealized gain (loss) on marketable securities - 10
Foreign currency translation adjustments (10) (38)
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Total comprehensive income $ 290 $ 334
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