VANCOUVER, Wash., Aug. 18, 2006 (PRIMEZONE) -- eNucleus, Inc. (Pink Sheets:ENUI) today announced its results of operations for the quarter ending June 30, 2006.
ENUCLEUS, INC.
CONSOLIDATED STATEMENT OF OPERATIONS
(UNAUDITED)
Three Months Ended Six Months Ended
June 30, June 30,
----------------------- ------------------------
2006 2005 2006 2005
---------- ---------- ---------- ----------
Revenues $ 1,859,517 $ 2,386,524 $ 3,658,119 $ 3,407,440
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Expenses:
Cost of goods sold 755,605 963,894 1,227,383 963,894
Operating expenses 1,420,027 1,348,989 2,869,932 2,338,504
---------- ---------- ---------- ----------
2,175,632 2,312,883 4,097,315 3,302,398
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Income (loss) from
operations (316,115) 73,641 (439,196) 105,042
Other expenses:
Interest 110,462 58,185 135,812 78,956
---------- ---------- ---------- ----------
Income (loss)
before provision
for income taxes (426,577) 15,456 (575,008) 26,086
Provision for
income taxes -- -- -- --
---------- ---------- ---------- ----------
Net income (loss) $ (426,577) $ 15,456 $ (575,008) $ 26,086
========== ========== ========== ==========
Basic net income
(loss) per common
share $ (0.01) $ 0.00 $ (0.01) $ 0.00
========== ========== ========== ==========
Diluted net income
(loss) per common
share $ (0.01) $ 0.00 $ (0.01) $ 0.00
========== ========== ========== ==========
Weighted average
shares outstanding
- basic 47,360,503 36,193,660 46,562,748 32,170,218
========== ========== ========== ==========
Weighted average
shares outstanding
- diluted 47,360,503 39,873,660 46,562,748 35,850,218
========== ========== ========== ==========
According to Randy Edgerton, president and CEO, "The second quarter loss from operations resulted primarily from a shift in business strategy begun in January. eNucleus has discontinued the practice of providing stand-alone user-installed software and is focusing on providing our technology through the business process outsourcing (BPO) model. We have a unique opportunity in BPO to leverage our proprietary technologies leading to an improvement in our operating margin." Edgerton further went on to say, "We will continue to have some one-time expenses into the third quarter as we restructure. This will result in a reduction of U.S. operating expenses of approximately $1,000,000 per year."
eNucleus also announced that its new Ahmedabad BPO center went live August 9th in support of its program with Prospect International. Albert F. Case, chairman, said, "In our first full week of operation in support of the mortgage origination outsourcing services, we're already generating qualified mortgage applications. We're very pleased with the preliminary results, which confirm our BPO strategy. Operating this BPO center gives us the resources we need to convert our existing software products into powerful tools to provide new and profitable outsourcing services."
According to management, the eNucleus BPO center will be adding bulk fuel procurement, engine maintenance planning and scheduling, human resources and benefits processing, and sales force CRM support to its portfolio of BPO services offered. Edgerton commented, "Now that the BPO center is live, we can migrate from software licenses and hosted software services to higher-value BPO services that use our unique technologies to generate either hard-dollar cost savings or revenue enhancements for our clients. For example, before our BPO center went live, we provided web-based online benefits enrollment to insurance brokers and employers. Now, with our BPO center online, we can offer not only the web-based online benefits enrollment program, but also agent services to assist employers and employees with questions and annual enrollment needs."
Separately, eNucleus announced that it has begun an upgrade to its existing OilPilot online oil analysis data management program, which will focus on the mining of data from millions of engine maintenance and oil analysis records. Even though the company has been providing oil analysis data management services for a number of years and currently is connected to over 40 laboratories worldwide, the company never capitalized on this maintenance database." said Case. "By engaging mechanical and engineering professionals in addition to software professionals to mine this wealth of data we will not only be able to connect clients with their engine oil analysis labs online, but we will provide enhanced diagnostic and predictive maintenance data."
About eNucleus
eNucleus, Inc. is a Vancouver, Wash. based provider of technology enabled business process outsourcing and hosted software (SaaS) solutions. eNucleus provides "back office" support services through its offshore BPO center in Ahmedabad, India, and offers a variety of technology solutions including FuelPilot, OilPilot, and BenefitsAccelerator. Visit www.eNucleus.com, www.FuelPilot.com, www.OilPilot.com and www.BenefitsAccelerator.com for more information.
Forward-Looking Statements
The information contained in this press release, including any "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 contained herein, should be reviewed in conjunction with the Company's annual report, financial filings and other publicly available information regarding the Company, copies of which are available from the Company upon request as well as with its periodic SEC filings. Such publicly available information sets forth many risks and uncertainties related to the Company's business and such statements, including risks and uncertainties related to that are unpredictable and outside of the influence and/or control of the Company.