MORRISVILLE, N.C., Nov. 8, 2010 (GLOBE NEWSWIRE) -- Issuer Direct Corporation (OTCBB:ISDR), a market leader and innovator of unified regulatory, disclosure and compliance solutions, today reported financial results for the third quarter ended September 30, 2010. Additionally, the company anticipates filing its quarterly report including its financials in eXtensible Business Reporting Language (XBRL) with the Securities and Exchange Commission before market close today.
- Increased revenue by 24% as compared to the same period of fiscal 2009.
- Non-GAAP net income was positive for the quarter.
- Transfer Agent business segment increased by 447% as compared to the same period of fiscal 2009.
- More than tripled cash reserves for the period ended September 30, 2010 as compared to December 31, 2009.
- Expanded Corporate Headquarters during the quarter to a new 16,079 square foot facility in North Carolina.
In the third quarter of fiscal 2010, Issuer Direct achieved revenues of $403,991, compared to $326,433 in the third quarter of fiscal 2009, representing a growth of 24% in revenue for the period. Revenue for the nine months ended September 30, 2010 increased 115% to $3,368,722 as compared to $1,564,777 in the same period of 2009. The increase in revenue during the third quarter of 2010 as compared to the same period in 2009 is primarily due to the continued growth of the Company's transfer agent business, which increased by 447% as compared to the same period in 2009. Gross profit for the quarter ended September 30, 2010 was $212,933 as compared to $180,942 in the same period of 2009.
The Company reported a net loss for the quarter ended September 30, 2010 of $40,772 or $0.00 per share, as compared to a net loss of $9,958, or $0.00 per share in the same period of 2009. The Company reported net income for the nine months ended September 30, 2010 of $222,735, or $0.01 per share, as compared to $350,236, or $0.02 per share, in the same period of 2009.
"While we are pleased with the third quarter's increase in revenue, we are equally happy that this quarter represents our tenth quarter of year over year growth since the beginning of 2008," stated Brian Balbirnie, Chief Executive Officer of Issuer Direct. Mr. Balbirnie went on to say, "We are beginning to see an upturn in activity in our financial reporting segment due to the interest in XBRL for both Issuers and Funds, and as the deadline nears we should see substantial increases in top line revenues and segment margin improvement because of this regulatory deadline."
During the quarter ended September 30, 2010, the Company successfully completed the relocation to their new corporate headquarters at 500 Perimeter Park, Suite D, Morrisville, NC. The new corporate office is over 16,000 square feet, and will be sufficient to handle the next phase of the Company's growth. Coincident to the relocation and over the past thirty days, the company has added ten employees to its sales group and transfer agent business segment, bringing the total headcount to 25.
Non-GAAP Results
The Company reported non-GAAP net income during the quarter ended September 30, 2010 of $10,321, or $0.00 per share, as compared to non-GAAP net income of $6,875, or $0.00 per share, as compared to the same period of 2009. The Company reported non-GAAP net income during the nine months ended September 30, 2010 of $366,673, or $0.02 per share, as compared to non-GAAP net income of $380,736, or $0.02 per share, during the same period of 2009. Please refer to the attached reconciliations of non-GAAP financial measures referred to in this release to the most directly comparable GAAP measures.
Certain non-GAAP financial measures are included in this press release. In the calculation of these measures, the Company generally excludes certain items such as amortization and impairment of acquired intangibles, non-cash stock-based compensation charges, and unusual, non-recurring gains and charges. The Company believes that excluding such items provides investors and management with a representation of the Company's core operating performance and with information useful in assessing its prospects for the future and underlying trends in the Company's operating expenditures and continuing operations. Management uses such non-GAAP measures to evaluate financial results and manage operations. The release and the attachments to this release provide a reconciliation of each of the non-GAAP measures referred to in this release to the most directly comparable GAAP measure. The non-GAAP financial measures are not meant to be considered a substitute for the corresponding GAAP financial measures.
About Issuer Direct Corporation:
Issuer Direct Corporation ("IDC") is a market leader and innovator in public company products and services. As an issuer services focused company, Issuer Direct alleviates the complexity of maintaining compliance through integrated products and services that help companies produce and distribute their financial and business communications both online and in print. As a shareholder compliance company, Issuer Direct is dedicated to assisting corporate issuers in an ever-changing regulatory environment and to comply with the myriad of rules imposed by regulatory bodies.
The Issuer Direct logo is available at
This press release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act") (which Sections were adopted as part of the Private Securities Litigation Reform Act of 1995). Statements preceded by, followed by or that otherwise include the words "believe," "anticipate," "estimate," "expect," "intend," "plan," "project," "prospects," "outlook," and similar words or expressions, or future or conditional verbs such as "will," "should," "would," "may," and "could" are generally forward-looking in nature and not historical facts. These forward looking statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any anticipated results, performance or achievements. We disclaim any intention to, and undertake no obligation to, revise any forward-looking statements, whether as a result of new information, a future event, or otherwise. For additional risks and uncertainties that could impact our forward-looking statements, please see the Company's Annual Report on Form 10-K for the year ended December 31, 2009, including but not limited to the discussion under "Risk Factors" therein, filed with the SEC, which you may view at .
CONTACT: Issuer Direct Corporation Brian R. Balbirnie 919-481-4000 brian.balbirnie@issuerdirect.com