TigerTel Communications Inc.
TSX VENTURE : TTL

TigerTel Communications Inc.

December 10, 2007 16:01 ET

TigerTel Communications Inc. Announces Record Breaking Results for the First Six Months Ending October 31, 2007

MISSISSAUGA, ONTARIO--(Marketwire - Dec. 10, 2007) - TigerTel Communications Inc. (TSX VENTURE:TTL) (TigerTel), announced today its operating results for the three-month period ending October 31, 2007. TigerTel reported revenue of $5,478,444, direct costs of $2,867,808 and a gross profit of $2,610,636. Operating expenses amounted to $1,803,292. Net earnings before interest, taxes and amortization for the period was $807,344. Interest, amortization, provision for income taxes amounted to $142,329, $293,686, and $130,218 respectively resulting in net earnings for the period of $241,111.

For the corresponding period last year the Company reported revenue of $4,269,510, direct costs of $2,358,513 and a gross profit of $1,910,997. Operating expenses amounted to $1,632,497. Net earnings before interest, taxes and amortization for the period was $278,500. Interest, amortization, provision for current income taxes and recovery of future income taxes amounted to $139,561, $254,506, $2,259 and $40,000 respectively resulting in a net loss for the period of $77,826.

For the six months ended October 31, 2007, TigerTel reported revenue of $10,978,153, direct costs of $5,625,211 and a gross profit of $5,352,942. Operating expenses amounted to $3,582,071. Net earnings before interest, taxes and amortization for the period was $1,770,871. Interest, amortization and provision for income taxes amounted to $284,998, $550,187 and $345,869 respectively resulting in net earnings for the period of $589,818.

For the corresponding six-month period last year the Company reported revenue of $8,964,642, direct costs of $4,614,995 and a gross profit of $4,349,647. Operating expenses amounted to $3,323,889. Net earnings before interest, taxes and amortization for the period was $1,025,759. Interest, amortization and provision for current and future income taxes amounted to $279,124, $496,744, $4,518 and $80,000 respectively resulting in net earnings for the period of $165,373.

Douglas D. Swift, President and CEO, commented, "It was very encouraging to see such a strong Q2 showing on revenues and net earnings this year versus last year. Revenues improved by over $1.2million (28%) and net earnings remained strong and improved by almost $319,000 over Q2 of last year. Year to date we are experiencing our best fiscal year ever with record revenues and net earnings. During the current quarter we began the installation process on our major technology infrastructure project. This project is expected to cost $1.8 million and take approximately eight months to fully transition. However once completed it is anticipated to benefit the company for many years to come through lower operating costs and expanded service offerings to existing and new customers. We remain optimistic for the remainder of the fiscal year, in spite of the economic uncertainty that has quickly spread across the US and Canada. We are approaching this uncertainty with a proactive approach to operations and cost controls in order to minimize the effect of any potential negative turns in the general economy over the near term."

About TigerTel/UTR

Canada call centers organization TigerTel/UTR specializes in inbound and outbound call center solutions and services for clients throughout North America. With multiple call centers in Canada, TigerTel/UTR has built an infrastructure that provides personalized services to our clients while at the same time delivering world-class results at every level.

This news release contains forward-looking statements that involve risks and uncertainties and are based on current expectations. Consequently, actual results could differ materially from the expectations expressed in forward-looking statements.

TIGERTEL COMMUNICATIONS INC.

Douglas D. Swift, President and Chief Executive Officer

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content on this news release.

Contact Information

  • TigerTel Communications Inc.
    P. Livingstone
    (905) 629-7190