SOURCE: Modern Technology Corp

February 17, 2006 11:58 ET

Modern Technology Corp Issues Positive Earnings Guidance for 2006 With $65,000,000 Revenue Projected

OXFORD, MS -- (MARKET WIRE) -- February 17, 2006 --Modern Technology Corp (OTC BB: MOTG) a diversified technology development and acquisition company issued positive EPS guidance for 2006 and reiterates its revenue goal of $65,000,000 in annualized revenues for calendar year-end 2006.

Our present Earnings-per-share is expected to improve with each passing month throughout 2006. If we make no further acquisitions, the company projects revenues of $25,000,000 and bases its EPS estimate on this conservative figure alone. We therefore anticipate a $(0.01) or $(0.02) EPS by calendar year-end 2006. This EPS is estimated based on a fully-diluted capitalization, and actual earnings-per-share may be higher.

The company has acquisitions under late-stage negotiations, that if completed, will bring 2006 revenues above $65,000,000. Should the company succeed in completing these new acquisitions, the actual EPS for 2006 on a fully-diluted basis may be higher than $(0.02). Additional EPS guidance will be released subsequent to any further acquisitions.

Our current losses are in main part attributable to the extraordinary costs related to acquisitions and the accompanying legal, accounting, and various other closing costs normally associated with those activities. These costs are expected and moderate losses are anticipated for the short-term subsequent to significant acquisitions. As we add more subsidiaries and increase profitability among them, our losses narrow and as operational efficiencies are increased, we obtain a positive EPS.

Pursuant to our stated business plan and corporate vision, we achieved our initial base of revenues, assets, and operational subsidiaries. As of this writing, the company is reducing operational redundancies, consolidating business functions common to subsidiaries, and exploiting new revenue producing strategies between operational entities.

Our synergy-based approach to operations and our model of continuous growth have resulted in significant progress in the areas of building new revenues and overall operational cost reductions. Shareholders will soon see the complete audited financials of our latest acquisition, INmarketing Group. The consolidation of revenues will not be apparent until our next quarterly filing.

Anthony Welch, Modern Technology Corp's Chairman said, "We have accomplished our stated goals and continue to move forward. In the coming months, we focus on profits and efficiencies. We have obtained the 'critical mass' we targeted since the beginning. This year will be an exciting year for MOTG. We continue to work on new acquisitions and have set bold, but achievable goals. We release this guidance to inform current and potential stockholders on a regular basis."

About Modern Technology Corp

Modern Technology Corp, a diversified technology development and acquisition company, builds revenues through continuous growth, strategic acquisitions, and commercialization of nascent technology. MOTG improves operating efficiencies through the elimination of cost redundancies and realized synergy between subsidiaries. MOTG also commercializes new technology and provides to its subsidiaries new product lines, operations infrastructure, and significant intellectual capital. The company's mission is to build shareholder value through a model of continuous growth. Web Address: http://www.moderntechnologycorp.com

Safe-Harbor Statement

This press release contains statements (such as projections regarding future performance) that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to those detailed from time to time in the Company's filings with the Securities and Exchange Commission.

Contact Information

  • Company Contact:
    Megan Peterson
    1.662.236.5928