SOURCE: ImageXpres Corp

March 25, 2011 09:00 ET

ImageXpres Reports 2010 Year-End Financial Results

FreePrintze™, SmartKiosk Advertising Revenues Lead Increases

ROCHESTER, NY--(Marketwire - March 25, 2011) -  ImageXpres Corporation (PINKSHEETS: IMJX), today announced its fourth quarter and full-year 2010 financial results, in advance of its forthcoming company annual management report to the OTC Markets, due at the end of March 2011. The company reported positive financial results for 2010, showing overall strong gains in sales revenues in two key product areas, FreePrintze™ and SmartKiosk advertising, but somewhat lower than expected growth in medical systems sales. Overall, the company reported a continued strengthening of its balance sheet, income statement and positive cash flow. The positive financial performance is a direct result of major gains in acceptance of the Company's newly-launched FreePrintze™ direct mail photo-ad service by local and national advertisers, and increased sales of its SmartKiosk systems product line with associated digital advertising revenues.

For the quarter ending December 31, 2010, the Company recorded total sales revenues of $391,965, and for the full year of 2010 total sales revenues of $2,103,530. Net income for all of 2010 was $109,033, a significant improvement over the net income loss reported in 2009. All three of ImageXpres' major product line areas: Digital Printing, SmartKiosk Systems, and Medical Solutions posted increases in sales revenues from 2009. Sales revenues attributed to ImageXpres Printing Solutions, which includes FreePrintze™ direct mail advertisements, was $1,006,298 for all of 2010, SmartKiosk systems revenues totaled $889,324 for all of 2010, and medical products sales revenues were $207,908.

John Zankowski, ImageXpres Corporation President, CEO, stated, "The Company made major progress in 2010 in all of its key products and services offerings, and achieved substantial sales revenues and earnings increases from the prior year 2009. Overall, we are pleased with the progress we made in 2010, readying several newly-launched ImageXpres products for major sales increases going forward. However, we are not satisfied with the sales revenues results of 2010, and quite honestly, are disappointed that sales revenues from SmartKiosks were below expectations. A good part of the slow growth in SmartKiosk systems sales can be attributed to longer than anticipated sell cycles, and extensive customer trials by key retail prospects. We expect this will all change in 2011, with the launch of new streamlined products and systems."

Mr. Zankowski comments further on the Company's SmartKiosk systems, "The Company is extremely optimistic about its prospects for major sales of SmartKiosks in 2011. ImageXpres has successfully proven, as a result of extensive market trials, that SmartKiosk systems can drive incremental business value, and an enhanced consumer experience, for locations where SmartKiosks are in place. The Company will be announcing new SmartKiosk models, incorporating the Apple iPad, and other tablets, with proprietary features and software apps for targeted commercial market segments. We are very excited about our soon-to-be-released new addition to our SmartKiosk product line, which has the potential for large-scale sales in the coming months ahead. A separate announcement for the new product family is planned.

"The positive revenues and profits recorded in 2010, are testimony to the acceptance of the business traction now being evidenced by the Company's business model, which is focused on delivering extremely effective, multi-modality advertising results for the Company's business customers The Company's revolutionary advertising service, FreePrintze™, is currently expanding in scale, with expectations of reaching millions of consumers this year, who can join the FreePrintze™ service and receive weekly photos and other valuable prizes, at no charge! In concert with growing numbers of consumers joining the program is the resultant spike in associated advertising revenues from small, medium and large businesses seeking a better way to reach targeted consumers in their local geographic area."

The Company's medical healthcare product line, which currently consists of its Surg-i-Scan™ Surgical Checklist boards, and "digital" Surg-i-Scan™ software app for Apple's iPad, iPod, and iPhone devices, is the Company's smallest product / market segment focus, but has significant revenue and profit potential. For all of 2010, reported sales revenues of $207,908 represented a significant increase from 2009, but results were lower than anticipated. As stated previously, although the Company's presence in this important, growing market segment is modest to date, the Company's products are well positioned, highly differentiated from the competition, and priced very competitively.

Mr. Zankowski adds, "Along with a major marketing and sales effort now underway, we will be announcing a new important medical product line that should augment ImageXpres' presence in this important market segment. We are increasing our marketing efforts of contacting thousands of hospitals, with strong referrals from existing medical customers. We expect to achieve significant increases in revenues in this segment in 2011, as our product line becomes more familiar to surgeons, nurses and other caregivers associated with patient care initiatives worldwide."

About ImageXpres

ImageXpres is a digital imaging and printing company, headquartered in Rochester, NY. ImageXpres develops imaging systems solutions for commercial printing, consumer photo, health and business communications market segments. ImageXpres is currently manufacturing and marketing a family of self-service interactive digital kiosks, and LitePix Digital Displays, digital signs that provide unique advertising benefits for business owners. The Company's website is www.imagexpres.com.

Statements in this press release about the company's future expectations, including the rate of growth of the Company's revenues derived from sales of its safety and security products, and all other statements in this release other than historical facts, are "forward-looking statements" within the meaning of Section 27 A of the Securities Act of 1933, Section 21 E of the Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995. It is important to note that actual results and ultimate corporate actions could differ materially from those in such forward-looking statements based on such factors as changes in consumer demand, satisfaction or desire for our products for a variety of reasons. Such "forward-looking statements" are subject to risks and uncertainties set forth from time to time in the company's reports and financial statements.

Contact Information

  • FOR ADDITIONAL INFORMATION, PLEASE CONTACT:

    John S. Zankowski
    President
    ImageXpres Corporation
    info@imagexpres.com
    ph: (585) 292-5177