SOURCE: SupportSave Solutions, Inc.

SupportSave Solutions, Inc.

October 15, 2009 07:59 ET

SupportSave Announces Record Earnings for Its Fiscal First Quarter

LOS ANGELES, CA--(Marketwire - October 15, 2009) - SupportSave Solutions, Inc. (OTCBB: SSVE), a provider of Business Processing Outsourcing ("BPO") services, today announced financial and operating results for the 1st quarter ended August 31, 2009.

Financial and operating highlights for the 1st Quarter ending August 31, 2009 include:

--  "Revenue" increased by 31% and "Total Revenue" increased by 35% during
    the three month ended August 31, 2009 when compared to the three month
    ended August 31, 2008.
--  During the three months ended August 31, 2009 "Operating Expenses" was
    75% of "Total Revenue" as against 71% of "Total Revenue" for the three
    months ended August 31, 2008. This is due to increase in the client base
    that leads to the leveraging of operating expenses.
--  During the three months ended August 31, 2009 SupportSave Solutions
    generated a Net Income of $127,470 (Net Profit 22%) as against $77,085 (Net
    Profit 18%) for the three months ended August 31, 2008, an increase of 65%.
--  When compared the three month ended result of August 31, 2009 with
    August 31, 2008, "Cash and cash equivalents" are increased by $291,905.
    

Financial Results

(All amounts are in U.S. Dollars and in accordance with the generally accepted accounting principles in the United States ("GAAP"), unless otherwise specified. Consolidated financial results include financial results of "Philippine Operations")

For the three months ended August 31, 2009, revenue was $596,804 as against $454,460 for the three months ended August 31, 2008. This was accomplished as a result of higher BPO sales realization and expansion of our facilities and operation during the reported period.

Even with our increased customer base "Returns and Allowances" during the three months ended August 31, 2009 $(5,111), is less as compared to the three months ended of August 31, 2008 figure of $(16,562).

For the three months ended August 31, 2009 our "Total Revenue" was $591,693, as compared with $437,898, for the same three month period ended August 31, 2008.

Operating expenses for the three months ended August 31, 2009 were $446,060 as compared to $308,740 for the same three month period ended August 31, 2008. Increase in Operating expenses was due to increased operational activity.

"Other Income (Expenses)" for the three month ended August 31, 2009, includes a "Gain on sale of Investments" for $27,395 and a favorable foreign currency hedging transactions resulted in a gain of $17,437 when compared with $(18,895) for the same three months period ended August 31, 2008.

EBITDA for the three months ended August 31, 2009 is $157,950, as compared to $(140,003) for the three months ended August 31, 2008.


                                    Three Months Ended  Three Months Ended
                                     August 31, 2009     August 31, 2008

Operating Income                    $          145,633  $          129,158
Add: Depreciation                   $           12,317  $           10,845

                                    ==================  ==================
  EBITDA                            $          157,950  $          140,003
                                    ==================  ==================


The Net Income for the three month ended August 31, 2009 was $127,470, as compared to $77,085, for the three month ended August 31, 2008.

For the three month ended August 31, 2009 the Company's working capital was $744,434 as against $534,371 for the three month ended August 31, 2008. Major portion of our Current Assets is in the form of "Cash and cash equivalents" of $766,531.

For the three months ended August 31, 2009 "Net cash provided by operating activities" was $189,579 as against $120,710 for the three months ended August 31, 2008. Net operating cash flow increased due to the increase in net income by 65%.

With our strong liquidity position we will not require additional capital to execute our plans for the future, unless we expand into additional facilities or grow through the acquisition of complementary businesses.

Chris Johns, SupportSave's CEO, noted, "We have achieved 35% increase in the Revenue and 65% in Net Earnings during the three months ended August 31, 2009 when compared to the three months ended August 31, 2008. My sincere thanks to our clients and employees. Even during the global recession we have made our service attractive and increased our client base. Our services are in great demand as small to mid-sized corporations across the globe look to reduce costs to withstand the economic downturn. Going forward we plan to cater to a wider segment of the market and expand our client base."

About SupportSave Solutions, Inc.

SupportSave Solutions is the fastest growing publicly traded Business Process Outsourcing (BPO) provider with 96% Year over Year growth in its latest fiscal year ended May 31, 2009. SupportSave offers low-cost, high quality outsourced customer service, technical support and back-office support to businesses of any size. With Operations in both the US and The Philippines, we provide full-time dedicated agents from just $5 per hour. Visit www.SupportSave.com or www.OutsourcedEmployee.com for small businesses.

Forward-Looking Statements

Certain statements, other than purely historical information, including estimates, projections, statements relating to our business plans, objectives, and expected operating results, and the assumptions upon which those statements are based, are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements generally are identified by the words "believes," "project," "expects," "anticipates," "estimates," "intends," "strategy," "plan," "may," "will," "would," "will be," "will continue," "will likely result," and similar expressions. We intend such forward-looking statements to be covered by the safe-harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, and are including this statement for purposes of complying with those safe-harbor provisions. Forward-looking statements are based on current expectations and assumptions that are subject to risks and uncertainties which may cause actual results to differ materially from the forward-looking statements.


                        SUPPORTSAVE SOLUTIONS, INC.
                        CONSOLIDATED BALANCE SHEETS
         AS OF AUGUST 31, 2009 (UNAUDITED) MAY 31, 2009 (AUDITED)


                                                   August 31,    May 31,
                    ASSETS                           2009         2009
                                                  (Unaudited)   (Audited)
                                                  -----------  -----------
Current Assets
    Cash and cash equivalents                     $   766,531  $   474,626
    Investment in marketable securities                20,013       98,063
    Accounts receivable - trade                        40,449       14,932
    Accounts receivable - other                            --        6,200
    Prepaid expenses                                      790          790
                                                  -----------  -----------
          Total Current Assets                        827,783      594,611
                                                  -----------  -----------

          PROPERTY AND EQUIPMENT, NET                 143,291      130,546
                                                  -----------  -----------

          Other Assets
            Security deposits                          11,482        7,482
            Note receivable - Florida office
             building                                 210,000      210,000
            Investment in closely held company         16,500           --
  Deferred income tax                                      --       50,000
                                                  -----------  -----------
    Total Other Assets                                237,982      267,482
                                                  -----------  -----------

        TOTAL ASSETS                              $ 1,209,056  $   992,639
                                                  ===========  ===========

    LIABILITIES AND STOCKHOLDERS' EQUITY

Current Liabilities
    Accounts payable - trade                      $    25,132  $    31,961
    Payroll tax withholdings                           11,412           --
    Accrued wages                                      31,898       25,560
    Deferred revenue                                      907        2,719
    Accrued income taxes                               14,000           --
                                                  -----------  -----------
          Total Current Liabilities                    83,349       60,240
                                                  -----------  -----------

STOCKHOLDERS' EQUITY
    Common stock, $.00001 par value, 100,000,000
     shares authorized, 13,255,198 shares issued
     and outstanding                                      132          132
    Additional paid-in-capital                      1,153,096    1,143,292
    Treasury stock                                     (3,029)     (64,207)
    Cumulative translation adjustment                 (27,103)     (21,958)
    Retained earnings (deficit)                         2,611     (124,860)
                                                  -----------  -----------
          Total Stockholders' Equity                1,125,707      932,399
                                                  -----------  -----------

TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY        $ 1,209,056  $   992,639
                                                  ===========  ===========




                        SUPPORTSAVE SOLUTIONS, INC.
                  CONSOLIDATED STATEMENTS OF OPERATIONS
      FOR THE THREE MONTHS ENDED AUGUST 31, 2009 AND 2008 (UNAUDITED)


                                                 Three Months  Three Months
                                                     Ended        Ended
                                                   August 31,   August 31,
                                                      2009         2008
                                                  -----------  -----------
REVENUE
    Sales                                         $   596,804  $   454,460
    Less returns and allowances                        (5,111)     (16,562)
          TOTAL REVENUE                               591,693      437,898

OPERATING EXPENSES                                    446,060      308,740
                                                  -----------  -----------

          OPERATING INCOME                            145,633      129,158
                                                  -----------  -----------

OTHER INCOME (EXPENSE)
    Interest income                                     3,880        1,826
    Other income                                          125        4,596
    Gains/(losses) on sales of investments             24,395           --
    Gains/(losses) from currency hedging
     contracts                                         17,437      (18,895)
                                                  -----------  -----------
          TOTAL OTHER INCOME (EXPENSE)                 45,837      (12,473)
                                                  -----------  -----------

          NET INCOME BEFORE PROVISION FOR
           FEDERAL INCOME TAX BENEFIT                 191,470      116,685

PROVISION FOR FEDERAL INCOME TAX (BENEFIT)            (64,000)     (39,600)
                                                  -----------  -----------

          NET INCOME                              $   127,470  $    77,085
                                                  ===========  ===========

Contact Information

  • Contact:

    SupportSave Solutions, Inc.
    Craig Jackson
    248-230-4101
    Email Contact