TAMPA, Fla., Aug. 4, 2005 (PRIMEZONE) -- FTS Wireless Inc., a wholly owned subsidiary of FTS Group, Inc. (OTCBB:FLIP), today announced that it expects to report second quarter revenue in the range of $325,000 to $365,000 when it files its form 10Q. The Company also announced that it expects to report a significant reduction in operating losses.
FTS Chief Executive Officer Scott Gallagher stated, "We're pleased to deliver another strong quarter to the stockholders of our Company. We expect to report record operating results for the second quarter ending June 30, 2005. During the quarter, our top-line revenue grew by more then 200% from $116,787 in Q2 of 04' to more then $325,000 on strong sales of wireless handsets, camera phones and accessories." Gallagher went on to say, "In addition to the top-line revenue growth our Company experienced during the quarter, we expect to report a significant reduction in operating losses as our cost containment initiatives and economies of scale begin to pay dividends."
Future Business Outlook
For the second half of 2005 FTS plans to continue to execute its growth plans by increasing its retail and Internet distribution channels as well as adding additional next generation wireless products and services to its current portfolio. The Company is currently in discussions with a major next generation prepaid wireless carrier, whereby FTS is seeking to secure sales and marketing rights in certain markets. If FTS is successful in securing an agreement to offer the new prepaid products and services, the Company would expect to realize a significant increase in handset sales for Q3 and Q4 of 2005. FTS hopes to release additional information regarding the potential agreement shortly.
About FTS Wireless, Inc.
FTS Wireless Inc., a wholly owned subsidiary of FTS Group, Inc. (OTCBB:FLIP), is an emerging regional operator of retail wireless locations that market and sell next-generation wireless products and services and operate Wi-Fi HotSpots. FTS Wireless currently operates a chain of retail wireless locations in the Florida Gulf Coast region. The company markets and sells products worldwide through its e-commerce site http://www.CellChannel.com. For additional information about FTS Group, Inc. or its subsidiary, please visit our web site http://www.FTSWireless.com or review periodic filings with the Securities and Exchange Commission at http://www.sec.gov.
Forward-Looking Statements
Included in this release are certain "forward-looking" statements, involving risks and uncertainties, which are covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding the Company's financial performance. Such statements are based on management's current expectations and are subject to certain factors, risks and uncertainties that may cause actual results, events and performance to differ materially from those referred to or implied by such statements. In addition, actual future results may differ materially from those anticipated, depending on a variety of factors, sales and earnings growth, ability to attract and retain key personnel, and general economic conditions affecting consumer spending, including uncertainties relating to global political conditions, such as terrorism. Information with respect to important factors that should be considered is contained in the Company's Annual Report on Form 10-K as filed with the Securities and Exchange Commission. Readers are cautioned not to place reliance on these forward-looking statements, which speak only as of the date hereof.