Smart-Tek Solutions, Inc. Reports Revenue Increase 189.7% Over the Prior Year Period
NEWPORT BEACH, Calif., Nov. 12, 2010 /PRNewswire-FirstCall/ -- Smart-Tek Automated Services, Inc., (OTC Bulletin Board: STTN) Reports Sales Increase of 189.7%. During the three month period ended September, 2010, Smart-Tek had net revenues of $5.3 million versus $1.8 million the same period prior year. Smart-Tek also reported net income of $613,962 as compared to a net loss of $(164,600) during the comparative period in 2009. The business of our subsidiary, Smart-Tek Automated Services, Inc. accounted for $695,000 of the net income offset by the core business having a loss of $73,000 and corporate expenses of $6,500. Smart-Tek Automated Services, Inc. also accounted for 87.9% of our total revenues during the period.
"Our increase in sales activity is due, in part, to the demand for better Human Resource (HR) Outsourcing solutions from small to medium sized business owners," commented Brian Bonar, CEO. "I expect continued growth in our business segment and believe we are poised to establish ourselves as an industry leader in the human resource outsourcing industry in 2010."
Mr. Bonar went on to comment that he was particularly pleased that reported financial results exceeded the Company's forecasts released for the comparative reporting period. "While I am optimistic about the future, we are continuing to evaluate our growth potential in the near and long-term future and expect to release additional forecasts when appropriate."
Complete financial statements (unaudited) with notes thereto are provided with the Company's Form 10Q filed with the Securities and Exchange Commission on this date.
About Smart-Tek Solutions, Inc:
The parent, Smart-Tek Solutions, Inc., generates revenue from the installation of security systems in construction projects.
About Smart-Tek Automated Services, Inc.:
Smart-Tek Automated Services, Inc. provides financial services to small and medium-size businesses, relieving our clients from many of the day-to-day tasks that negatively impact their core business operations, such as payroll processing, human resources support, workers' compensation insurance, safety programs, employee benefits, and other administrative and aftermarket services predominantly related to staffing: staff leasing, temporary staffing and co-employment. It not only provides core services, but a wide selection of employee and employer benefits and aftermarket products.
Statements in this press release that are not historical facts are forward-looking statements, including statements regarding future revenues and sales projections, plans for future financing, the ability to meet operational milestones and marketing arrangements and plans. Estimated revenues from its Smart-Tek Solutions, Inc. subsidiary are somewhat subjective and based on information available to the Company at the time of the determination. Also, such statements reflect management's current views, are based on certain assumptions and involve risks and uncertainties. Actual results, events, or performance may differ materially from the above forward-looking statements due to a number of important factors, and will be dependent upon a variety of factors, including, but not limited to, the continued growth of business as planned including the fruition of new agreements in hand, existing business staying intact, and our ability to obtain additional financing that will allow us to continue our current and future operations and whether demand for our products and services in domestic and potential international markets will continue to expand. The Company undertakes no obligation to publicly update these forward-looking statements to reflect events or circumstances that occur after the date hereof or to reflect any change in the Company's expectations with regard to these forward-looking statements or the occurrence of unanticipated events. Factors that may impact the Company's success are more fully disclosed in the Company's most recent public filings with the U.S. Securities and Exchange Commission, including its annual report on Form 10-K for the year ended , and its subsequent filings with the SEC.
SOURCE Smart-Tek Solutions, Inc.