ATLANTA, Aug. 16, 2011 /PRNewswire/ -- East Coast Diversified Corporation (the "Company") (OTC.BB:ECDC), through its subsidiary EarthSearch Communications, Inc., announces second quarter earnings for period ending June 30, 2011.
For the three months ending June 30, 2011, the Company reported total revenues of $206,014, compared to $13,471 for the same period in 2010.
For the six months ending June 30, 2011, the Company reported total revenues rose sharply to $370,092, compared to only $22,574 for the same six-month period in 2010. For the first six months of fiscal 2011 the Company reported their net loss had decreased 55% to ($495,522), compared to a net loss of ($1,172,714) for the same six month period in 2010.
For the second quarter Administrative Expenses decreased 50% to $312,842, as compared to $625,469 for the same three month period in 2010.
On a quarter over quarter basis, revenues grew 25% from $164,078 in the first quarter 2011, to $206,014 for the current second quarter period.
The company has expanded its global sales and distribution network during the first half of 2011 to now cover 15 countries in more than 5 continents. This expansion in our global network should have a dramatic effect in ramping up our year-to-year financial and sales performance for the current fiscal year, and help develop follow-on orders with clients in those regions.
Second Quarter Highlights
* Total revenues grew 25% from Q1, and well over 1500% from the prior year Q2 period on GPS/RFID sales purchases
* Operating Expenses fell due to company expense cutting and streamlining program
* Company signed Letter of Intent with NASDAQ listed ZST Digital Networks, Inc for GPS and RFID distribution partnership in China, valued at $5 million+ annually
* Company launched EarthSearch Mobile for the development of social networking and business mobile applications using GPS and RFID technology
* Company launched SchoolsConnects, a GPS student class attendance system, with first pilot roll-out in Dubai school district late in Q2
Kayode Aladesuyi, the CEO of EarthSearch Communications commented, "The Company is very pleased with our continued growth in the second quarter on a yearly and quarter over quarter basis. Although still in our initial development sales roll-out, the Company is now positioned, with its recently announced $10 million line of credit, to start fulfilling much larger purchase orders for the remainder of fiscal 2011.
"In addition, our negotiations with ZST Digital Networks remain very positive, and now stand in the final stages for integrated GPS and RFID distribution partnership rights to ZSTN for sales in China.
"Going forward, the Company is currently reviewing a number of possible acquisitions that would not only bring in additional revenue to our top line, but also allow the company to expand the Company both horizontally and vertically."
About EarthSearch Communications
EarthSearch Communications, an ECDC Company (OTC.BB:ECDC), is a US-based business whose flagship product, LogiBoxx™, integrates GPS and RFID at the hardware level. When combined with its proprietary Global Asset Tracking and Identification System (GATIS) middleware, LogiBoxx and GATIS become the centerpieces of a LogiBoxx Certified Solution. An unprecedented business decision-making tool, a LogiBoxx Certified Solution offers continuous visibility within the Supply Chain, Logistics, and Asset Management and Control industries. Along with its integrated, patent-pending GPS and RFID technologies, EarthSearch also offers a complete line of innovative RFID solutions. Its expertise with GPS and RFID technologies, combined with exceptional support and service facilities, distinguishes EarthSearch as a leading manufacturer and supplier of real-time location solutions in the marketplace. For more information on EarthSearch, visit www.earthsearch.us.
"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995: The statements contained in this release which are not historical facts are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by forward-looking statements. These risks and uncertainties include the Company's entry into new commercial businesses, the risk of obtaining financing, recruiting and retaining qualified personnel, and other risks described in the Company's Securities and Exchange Commission filings. The forward-looking statements in this press release speak only as of the date hereof, and the Company disclaims any obligation to provide updates, revisions or amendments to any forward-looking statement to reflect changes in the Company's expectations or future events.
EarthSearch Communications, an ECDC Company
SOURCE East Coast Diversified Corporation