NEW YORK and TUNBRIDGE WELLS, U.K., Dec. 30, 2005 (PRIMEZONE) -- Auto Data Network, Inc. (Pink Sheets:ADNW) a provider of software and data services to the worldwide automotive industry today announced audited results of operations for its wholly owned subsidiary Aftersoft Group Inc.
Wholly owned Auto Data Network subsidiary Aftersoft Group inc. (which recently completed the reverse acquisition of W3 Group) today filed audited financial statements for the combined entity, showing the results of operations for the twelve months to 30th June 2005, and for the subsequent period from 1st July 2005 until 21st December 2005.
For the Twelve months ended 30th June 2005 the combined entity produced revenues of $22,062,000 with an EBITDA of $3,825,000 (14 cents a share) and income of $3,075,000 (earnings of 9 cents per share) before one time exceptional items of $788,000. For the period from July 1st to 21st December 2005 the combined entity produced revenues of $9,538,000 and earnings of 3 cents per share, which is in line with the group's historical seasonal performance and the Group is on target to exceed revenues of $24,000,000 and earnings of 10 cents per share for the current fiscal year ending June 30, 2006 without any further acquisitions.
As previously announced Auto Data Network plans to distribute its shareholding in Aftersoft Group Inc. to its shareholders subject to receiving the requisite approvals necessary which it will seek in January 2006.
About Auto Data Network, Inc.
Auto Data Network is a group of established companies which provide software products and services to the automotive industry. The company's main customer base is the auto dealership marketplace. This marketplace consists of approximately 78,000 dealers in North America and 92,000 dealers in Europe. The company estimates that this represents a $15 billion market for software and services specifically for auto dealerships. The company supplies a suite of software solutions and services that enable dealerships to run their businesses more efficiently while achieving considerable cost savings. The majority of the company's current solutions is focused on serving the aftermarket and finance areas of dealerships. These areas are of particular importance as the aftermarket business is responsible for 48 percent of a dealership's profit from 12 percent of their overall revenue. The second most profitable area is vehicle finance and insurance; this area contributes 35 percent of profits from 2 percent of revenues.
About Aftersoft Group, Inc.
Aftersoft is a leading supplier of business management solutions serving small and medium sized businesses. Aftersoft Group, Inc. has operations in Sheffield (United Kingdom), Allentown (Pennsylvania), and San Juan Capistrano (California). Aftersoft is currently focused on serving the Auto Parts aftermarket, which is a $68 billion market opportunity in the U.S. alone with approximately 20,000 potential clients. Aftersoft has recently developed its products so as to be able to serve the wholesale market, a $263 billion U.S. market opportunity with 31,000 potential clients, and the hardlines and lumber market, a $95 billion market opportunities with 29,000 potential clients.
Our customers have complex supply chains that need specialized software services to operate efficiently. Our customers operate in complex distribution environments and manage market and sell large quantities of diverse types of products. Business with complex supply chains need more sophisticated systems in tune with their vertical market place to operate efficiently.
The Company's Systems and Services
Meeting the needs of the automotive aftermarket requires a combination of business management systems, information products and online services that combine to deliver benefits for all parties involved in the timely repair of a vehicle. The Company provides systems and services that meet these needs and help its customers to meet their customers' expectations. These products and services include:
-- Business management systems comprised of the Company's
proprietary software applications, implementation and training
and third-party hardware and peripherals;
-- information products related to parts, tires, labor
estimates, scheduled maintenance, repair information,
technical service bulletins, pricing and product features
and benefits, which are used by the different participants
in the automotive aftermarket; and
-- Online services and products that provide online connectivity
between manufacturers, warehouse distributors, retailers
and automotive service providers. These products enable
electronic data interchange throughout the automotive
aftermarket supply chain between the different trading
partners. They also enable procurement and business services
to be projected over the Web to an expanded business audience.
Safe Harbour Statement
This press release contains forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Readers are cautioned not to place undue reliance on these forward-looking statements. Actual results may differ materially from those indicated by these forward-looking statements as a result of risks and uncertainties impacting the company's business including increased competition; the ability of the company to expand its operations through either acquisitions or internal growth, to attract and retain qualified professionals, and to expand commercial relationships; technological obsolescence; general economic conditions; and other risks detailed time to time in the company's filings with the Securities and Exchange Commission (SEC).