Exhibit 99.2
Integrated Business Systems & Services, Inc.
Announces Results for Third Quarter 2003
COLUMBIA, S.C.--(BUSINESS WIRE)--Nov. 10, 2003--
Cost-Cutting Initiatives Deliver 36% Increase In Net Income For
Current Three-Month Period And Results In Over 70% Decrease In
Net Losses For Prevailing Nine-Month Period
Integrated Business Systems and Services, Inc. (IBSS) (OTCBB:IBSS)
today announced results for the three and nine month periods ended
September 30, 2003.
Financial Performance Highlights For Three-Month Period Ended
September 30, 2003, When Compared to Same Period in 2002:
-- Although revenue was $902,831, a 19% decline from $1,115,141,
revenue reflected for the three months ended September 30,
2002 included an unusually large licensing order from one of
the Company's enterprise customers;
-- Operating expenses fell 37.6% to $398,443 from $638,183
primarily due to several cost cutting initiatives that
decreased general and administrative expenses to approximately
$300,000 from $457,000;
-- Net income increased 36% to $23,157 from $17,013; during 2003,
the Company has realized successive quarter-over-quarter
improvement in net income (loss).
Financial Performance Highlights For Nine-Month Period Ended
September 30, 2003, When Compared to Same Period in 2002:
-- Revenues increased to $2,477,008 from $2,458,361;
-- Gross profit margins jumped to 64.7% from 57.2%;
-- Operating expenses were reduced 35.5% to $1,601,942 from
$2,484,352 primarily due to cost-cutting that resulted in
general and administrative expenses falling to $1,216,139
compared to $1,722,742;
-- Net losses decreased over 70% to $555,561, or $.02 loss per
share, from net losses of $1,891,271, or $0.10 loss per share,
reported in the comparable nine-month period in 2002.
George Mendenhall, CEO of IBSS, noted, "IBSS' third quarter
results reflect that this has indeed been a pivotal quarter in setting
the stage for the Company's future growth. Fueled by steady
quarter-over-quarter bottom line improvements, and enhanced by the
Company's aggressive cost-cutting initiatives, it is our belief that
IBSS' is on track to begin delivering consistent profitability on a
quarter-over-quarter basis. Further, thanks to our success in securing
more favorable terms with our convertible note holders, as previously
announced, we will no longer be subject to booking $100,000 in
quarterly interest charges. This alone is expected to measurably
enhance our bottom line performance."
"The mission of IBSS remains the same - to establish Synapse(TM)
as the preferred Online Transaction Processing development and
executive framework for dynamic, networked, distributed applications
within the wireless/Automated Data Collection markets. The market
conditions are ideal at this time for IBSS to fully exploit our
Synapse technology platform and to concentrate our efforts on
leveraging our existing world -class customer base to secure broader
market acceptance and increased market share. It is truly a very
exciting time for IBSS."
Integrated Business Systems and Services, Inc.
Consolidated Condensed Statements of Operations
(Unaudited)
Three Months Nine Months
Ended September 30, Ended September 30,
---------------------------------------------
2003 2002 2003 2002
---------------------------------------------
Revenues:
Services $806,491 $857,568 $2,338,592 $1,810,123
Licenses 48,438 250,000 48,438 506,590
Maintenance and support 47,902 5,718 64,953 54,521
Hardware - third party - 1,855 25,025 84,802
Other - - - 2,325
---------------------------------------------
Total revenues 902,831 1,115,141 2,477,008 2,458,361
Cost of revenues 324,185 282,117 874,002 1,052,947
---------------------------------------------
Gross profit 578,646 833,024 1,603,006 1,405,414
---------------------------------------------
Operating expenses:
Sales and marketing 81,794 102,557 266,228 430,602
Research and development 17,958 77,963 119,575 331,008
General and administrative 298,691 457,663 1,216,139 1,722,742
---------------------------------------------
Total operating expenses 398,443 638,183 1,601,942 2,484,352
---------------------------------------------
Income (loss) from
operations 180,203 194,841 1,064 (1,078,938)
---------------------------------------------
Interest and miscellaneous
income 32,845 168,754 49,210 173,554
Interest expense (189,891) (346,582) (590,334) (985,887)
Loss on sale of assets - - (15,501) -
---------------------------------------------
Total other expenses (157,046) (177,828) (556,625) (812,333)
---------------------------------------------
Net Income (loss) $23,157 $17,013 $(555,561)$(1,891,271)
---------------------------------------------
Basic loss per share $0.00 $0.00 $(0.02) $(0.10)
Basic weighted average
shares outstanding 22,405,240 18,816,627 22,312,893 18,162,628
Diluted loss per share $0.00 $0.00 $(0.02) $(0.10)
Diluted weighted average
shares outstanding 22,405,240 32,115,376 22,312,893 18,697,886
About IBSS
IBSS is the creator of Synapse(TM), a ground-breaking new software
technology. Synapse is a complete framework and methodology used to
create, implement and manage a wide variety of dynamic, distributed,
networked, and real-time enterprise applications, quickly and
efficiently. Global enterprises utilizing Synapse leverage the power
of its single, flexible framework to enjoy tremendous time and cost
advantages (as much as 60%), in the development, deployment and
on-going management of customized applications.
Enabled by Synapse to take competitive advantage of cutting-edge
technologies such as wireless networking, mobile computing and RFID,
IBSS and its partners bring solutions to customers for
mission-critical applications in manufacturing, distribution,
healthcare, finance, insurance, retail, education, and government.
IBSS is headquartered in Columbia, South Carolina. For more
information about IBSS and its Synapse technologies and services, call
803-736-5595 or 800-553-1038, or visit www.ibss.net.
Except for historical information, the matters discussed in this
news release include forward-looking statements that involve a number
of risks and uncertainties. Actual results may vary significantly as a
result of a number of factors, including, but not limited to, risks
associated with the Company's ability to satisfy its obligations
incurred in recent private placements of secured debt, risks in
product and technology development and integration, market acceptance
of new products and continuing product demand, the impact of
competitive products and pricing, changing economic conditions, and
other risk factors detailed in the Company's most recent quarterly
report on Form 10-QSB under the heading "Risk Factors That May Affect
Our Financial Condition and Operating Results" and in other public
filings the Company makes with the Securities and Exchange Commission.
Copies of these filings may be obtained from the Securities and
Exchange Commission at its principal office in Washington, DC at
prescribed rates by calling 1-800-SEC-0330. These filings are also
available electronically through the Internet World Wide Web site
maintained by the Securities and Exchange Commission at the Internet
address: http://www.sec.gov
CONTACT: Elite Financial Communications Group, LLC
Stephanie Noiseux or Andrea Strittmatter, 407-585-1080
steph@efcg.net or andrea@efcg.net