Datascension, Inc. Reports Full-Year 2009 Financial Results

LAS VEGAS, April 15 /PRNewswire-FirstCall/ -- Datascension, Inc. (OTC Bulletin Board: DSEN), a leader in global outsourcing solutions, today announced financial results for the Company's full-year ended December 31, 2009.

For the full-year ended December 31, 2009, the Company recorded a net loss of ($533,171) compared to a net loss of ($6,503,644) in the prior year, an improvement of $5,970,473.  For the full-year ended December 31, 2009, the Company generated $14,814,100 in revenues as compared to $18,056,808 during the full-year ended December 31, 2008, a decrease of $3,242,708 or 18.0%. Cost of goods sold decreased to $12,191,404 from $15,955,766, a reduction of $3,764,362, or approximately 23.6%, from the prior year period.  For the full-year ended December 31, 2009, the Company generated a gross profit of $2,622,696 compared to $2,101,042 from the prior year period, an increase of $521,654 or 24.8%. The decrease in revenue is primarily attributable to the current general economic downturn that has affected its customers resulting in less outsourcing for services provided by the Company; however, the revenue was more profitable for the Company. The increase in gross profit was the direct result of the aggressive action taken by management to slash operating costs along with driving hourly productivity yields on work done for clients.

Total selling, general and administrative expenses decreased by $509,772 to $2,293,543 for the full-year ended December 31, 2009, from $2,803,315 in the prior year period.

The decrease in expenses is related to the reduction in executive staff salaries and benefits along with rigorous cost cutting measures related to all aspects of the Company's operations.

Interest expense declined by $413,165, or approximately 38.0%, to $674,238 for the full- year ended December 31, 2009, as compared to $1,087,403 for the full-year ended December 31, 2008. The Company was able to reduce its interest expense through a combination of renegotiation of the interest rate on its convertible debt along with the repayment of some other debt obligations.  

Basic and diluted loss per share was ($0.02) for the full-year ended December 31, 2009, as compared to basic and diluted loss per share of ($0.22) for the full-year ended December 31, 2008.  

For the full-year ended December 31, 2009, the Company increased its working capital position by $352,859 from ($1,369,443) as of December 31, 2008 to ($1,016,584) as of December 31, 2009, as a result of the restructuring of the Company's convertible debt, including an extension of the maturity date to March 31, 2011.

"For Datascension, 2009 was a defining moment as we made significant progress in our turnaround plan," said Datascension Chairman and CEO Lou Persico. "I am pleased by the way our team rose to the challenge and executed against the priorities of our turnaround program. We did this work in a difficult economic environment, and our efforts paid off. The Datascension turnaround is not complete by any measure," Persico said. "While we have taken positive first steps, our goal is to become a consistently and predictably profitable company that generates free cash flow and delivers outstanding quality in our targeted area of market research data collection and offshore outsourcing solutions. We have leveraged our strong brand to expand our global footprint by establishing partnerships in Asia Pacific, Europe and the U.S. in order to satisfy increased demand from our customers for services in these emerging markets," stated Persico. "With a robust portfolio of services, and a closer proximity to the customer base, we anticipate that these new markets will generate growth for the years ahead."

"We are well-positioned to win going forward," said Persico. "We have a strong plan. We are making the right investments. We are executing well. Our record performance in such a tough environment validates the strength of our strategy and the talent of our team. Our focus on gross profit improvement in 2009 delivered approximately 52.6% greater profit yield than we generated in the prior year. We are committed to our strategy of growing globally, driving innovation, developing partnerships and using our scale to deliver value to our customers without compromising quality."  

ABOUT DATASCENSION, INC.

Datascension, Inc. is a multi faceted data collection, contact center and business operations provider. This global outsourcing solutions company with offices in Las Vegas, Nevada and operations in San Jose and Limon, Costa Rica is committed to customer service, quality and on-time project management. Its dedication to providing both value and excellence for its clients, employees and shareholders continually fosters its excellent reputation within the industry.  Datascension is positioning itself to be the forerunner in the fields of Market Research Data Collection, Contact Center Services and Business Operations Provider services.

For additional information, please visit the Company's website at www.datascension.com.

SOURCE Datascension, Inc.