SOURCE: enherent Corporation

August 14, 2007 08:00 ET

enherent Corp. Reports Continued Financial Improvement With Growth in Second Quarter Earnings

ROSELAND, NJ--(Marketwire - August 14, 2007) - enherent Corp. (OTCBB: ENHT) (www.enherentcorp.com), an information technology services provider, today announced its results for the second quarter of 2007. The Company's financial results represented a significant increase in revenues and net income over the results of the prior year.

Revenues for the three months ended June 30, 2007 increased $935,000 or 12.4% to $8.48 million compared to $7.55 million for the quarter ended June 30, 2006. Revenues for the six months ended June 30, 2007 increased $1.4 million, or 9.8%, to $16.0 million compared to $14.6 million for the prior year period. The increased revenues resulted from an increase in the sales of both software and services in 2007.

Net income for the three months ended June 30, 2007 was approximately $142,000, or $0.00 per share, compared to net income of approximately $26,000, or $0.00 per share for the second quarter of 2006. The increase in net income resulted from a reduction in operating expenses during the three months ended June 30, 2007.

Net income for the six months ended June 30, 2007 was approximately $192,000, or $0.00 per share, compared to a net loss of approximately ($491,000), or $(0.01) per share, for the prior year period. The change in net income was due primarily to the increase in gross profit from service revenues along with a reduction in operating expenses during the six months ended June 30, 2007.

Pamela Fredette, Chairman, CEO and President, commenting on the financial results for the second quarter of 2007, said "We are pleased with the continued improvement in operating results for the quarter versus the same period last year. We experienced revenue growth and achieved a substantial improvement in our net income as we maintain firm control over our costs. The Company continues its positive financial trend as we reached profitability for the fifth consecutive quarter. We continue to focus on improving shareholder value through sustained profitability, exploring growth opportunities and making strategic acquisitions."

Forward-Looking and Cautionary Statements

Except for the historical information and discussions contained herein, statements contained in this release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on certain assumptions and analyses made by the Company derived from its experience and perceptions. Actual results and developments may vary materially from those described because they are subject to a number of known and unknown risks and uncertainties. Such risks and uncertainties include, but are not limited to, future demand for the Company's services; general economic, market and business conditions; the Company's ability to increase the amount of services rendered to existing clients and develop new clients and reduce costs of providing services; the Company's ability to recruit and retain IT professionals; and various other factors discussed in the Company's filings with the Securities and Exchange Commission including those set forth under Item 1A of the Company's recent Form 10-K. The Company disclaims any intention or obligation to revise any forward-looking statements whether as a result of new information, future developments, or otherwise.

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