Call Genie Inc.
TSX : GNE

Call Genie Inc.

May 08, 2008 08:30 ET

Call Genie Announces First Quarter 2008 Financial Results

30 Customers, Multiple Products Drive Operating Results

TORONTO, ONTARIO--(Marketwire - May 8, 2008) - Call Genie (TSX:GNE), a leading provider or mobile local search and advertising solutions, today announced financial results for the first fiscal quarter ended March 31, 2008.

First Quarter 2008 Results

- Revenues of $1,013,313 compares to $293,363 for the first quarter of 2007 and $757,829 for the fourth quarter of 2007. This excludes approximately $86,000 of cash received related to implementation work partially completed during the quarter but classified as deferred revenue.

- Net loss of $4,957,932 ($0.06 per share) compares to $2,353,436 ($0.04 per share) for the first quarter of 2007 and $4,202,921 ($0.06 per share) for the fourth quarter of 2007.

- Cash used in operations was $4,235,088 compares to $1,940,506 for the first quarter of 2007 and $2,804,549 for fourth quarter of 2007.

- At March 31, 2008 the Company had positive working capital of $16,078,478 including total Deferred Revenue of $740,474.

First Quarter 2008 Highlights

- Completion of PhoneSpots Inc acquisition for $5.4 million on January 2, 2008.

- This is the 13th consecutive quarter that revenues have increased.

- The Company invested approximately $0.5 million in capital assets primarily related to equipping a data center in the United States for the purposes of providing hosting services to current and prospective customers.

Mr. Michael Durance, the company's Chief Executive Officer, remarked "I am pleased with the progress we have made integrating our recent acquisitions. Our expanded customer base and broader product offering has led to a significant milestone - quarterly revenues in excess of $1.0 million. The Company continues to execute on its strategy of international expansion."

The preceding Quarterly Results for Call Genie should be read in conjunction with Call Genie's unaudited financial statements and the accompanying notes for the three months ended March 31, 2008 and the related Management Discussion and Analysis ("MD&A"), which have been filed with certain securities regulatory authorities in Canada and available on SEDAR (www.sedar.com) and on the Call Genie website at www.callgenie.com

About Call Genie Mobile Local Search Product Suite

The CG Mobile Local Search Product Suite includes three product lines: CG Interact, CG Open and CG ADvantage. These product lines provide directory assistance providers, Yellow Pages publishers, wireless carriers and search engine companies, the applications and technology platforms required to deliver innovative mobile local search services that lead trends rather than respond late in today's shorter consumer adoption cycles.

The CG Interact products deliver automated or operator-assisted voice enabled solutions, mobile data search and seamless delivery of information to phones from web sites. CG Open products have been designed with the underlying philosophy that a positive user experience must be the foundation for any service that will be monetized through ad sponsorship. CG Open products deliver key benefits to reduce costs and enhance the user experience. All of the CG Open platforms leverage industry standards to maximize their ability to integrate into and interoperate with our customer's existing systems, data sources and with mobile content providers. CG ADvantage products enable our customers to capitalize on the emerging Mobile Local Search advertising opportunity and deliver inventory, taxonomy and campaign management specifically optimized for this unique ad inventory.

About Call Genie Inc.

Call Genie is a leading provider of local mobile search and advertising solutions to Yellow Pages publishers, directory assistance providers, and wireless carriers. These solutions enable companies to offer an exceptional experience for both advertisers and consumers. Call Genie won the Yellow Page Association Industry Excellence Award for Marketing Innovation in North America, the Whitaker Innovation Award in Europe, and the 118 Tracker Award for Technology Innovation in the UK. Call Genie has over 30 customers in 11 countries. For more information, visit www.callgenie.com.

The TSX Exchange has neither approved nor disapproved the contents of this news release.

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