Jan 15, 2002 : Myrient Reports Q4 Results

📅 January 15, 2002 - Myrient (myrient.net) an outsourced IT solutions provider, yesterday reported financial results for its fiscal 2002 first quarter ended Nov. 30 2001, highlighted by a substantial improvement in the company's gross margins.

"We are experiencing the most challenging transition in Myrient's history,and we are progressing with encouraging results," said Bryan L. Turbow,president and CTO, Myrient. "We have diversified our product offering fromconsisting primarily of DSL-based broadband solutions with nominal profitmargins to advanced, high margin managed services and outsourcing solutions.This transition, coupled with an increased focus on research anddevelopment, has presented new opportunity for our company's futureprospects of profit and growth. Releasing these new products and achievingour goal of net profitability is our highest priority."
Jim Ferguson, executive vice president Worldwide sales added, "Myrient willachieve profitability through an aggressive campaign of stimulating salesthrough multiple channels. We continue to develop a unique, branded set ofproducts and services that will revolutionize the way companies deploymission critical IT solutions. By focusing on the needs of the marketplaceand aggressively pursuing the opportunities that our first-mover productscreate within these channels, we will continue to improve bottom lineresults and Myrient's shareholder value."
Myrient increased gross profit by $119,244 to $815,523 for the three monthsended Nov. 30, 2001 from $696,279 for the three months ended Nov. 30, 2000.Gross profit margin increased by 15% from 19% for the fiscal 2002 firstquarter to 34% for the three months ended Nov. 30, 2001. Net sales decreased$1,235,030 to $2,404,165 for the three months ended Nov. 30, 2001 from$3,639,195 for the three months ended Nov. 30, 2000. This decrease wasoffset by an increase in revenues from higher margin managed services forthe fiscal 2002 first quarter as compared to the corresponding period offiscal 2001, which resulted in the higher gross profit amount for the threemonths ended Nov. 30, 2001 as compared to the corresponding period of 2000.The company reported a quarterly net loss of $1,118,725, representing a50.9% decrease in net loss over the first quarter 2000, and decreasedquarterly per share loss by $0.04, from $0.06 to $0.02.
During the first fiscal quarter, Myrient acquired 15 new Managed Servicesclients, primarily consisting of managed hosting, managed security andmanaged messaging solutions, and 57 Managed Virtual Private Network clientsusing Myrient's Centrapath Managed VPN solution.
Myrient enhanced Research and Development efforts recognizing the distinctadvantages of being early innovators in bundling critical outsourced ITneeds. This included the expansion of its Aliso Viejo laboratory area anddata center facilities, and the hiring of expert level software, securityand network engineers.
The company also increased shareholder value by limiting the public sale of4 million shares formerly held by an ex-affiliate, and has prevented theshares from being offered for public sale for a period of 3 years.Subsequent to the first quarter, Myrient also retired 500,000 shares held bya different former affiliate, and classified an additional 500,000 shares as"Non-Negotiable" and expects to retire them shortly.
Myrient will host a Webcast to discuss its first quarter fiscal 2002earnings today, Jan. 15, 2002, beginning at 1:30 p.m. (PST). See Myrient'sWeb site for further details.