The Experiential Agency Reports Revenue Rises 109.6% to $2.88 Million in Second Quarter of 2004
16 August 2004 - 9:00PM
PR Newswire (US)
The Experiential Agency Reports Revenue Rises 109.6% to $2.88
Million in Second Quarter of 2004 Financial Highlights CHICAGO,
Aug. 16 /PRNewswire-FirstCall/ -- The Experiential Agency, Inc.
(XA) (OTCBB: EXAG), a major national event marketing firm that
serves many Fortune 500 companies, today reported strong financial
results for the second quarter of 2004, ended June 30. Revenue in
the quarter rose 109.6% to $2.88 million from $1.38 million in the
same period a year ago. Net income for the quarter was $3,743
versus $156,384 for the same quarter in 2003. Gross profit rose 34%
to $870,034 from $646,243 during the same period last year. For the
first half of 2004, ended June 30, XA reported that revenue climbed
130.4% to $5.46 million from $2.37 million in the first half of
last year. Net income for the period gained 93.7% to $309,150, or
$0.01 a share, from $159,583 for the same period last year. There
is no EPS number for the first half of 2003 since the Company was
privately held at the time. Gross profit for the period climbed
123% to $2.2 million from $986,725 for the same period last year.
As of June 30, 2004, cash reserves on the balance sheet rose 603.9%
to $1.6 million from $221,716 in 2003. Chairman and CEO Frank
Goldstin of XA, said, "We are proud of the progress XA has made
this year. We are gaining market share in a vibrant event marketing
industry and proving that our strategy of providing Corporate
America with imaginative and exciting events and conference
environments is fulfilling a real and growing need." "In the past
six months, we have made some giant strides," Goldstin added. "Our
strong performance during the first half of the year has proven the
value of our expansion strategy. With the opening of the design
center in Chicago and creative momentum of XA's new design team, we
expect that our business will continue to grow strongly in the
months ahead." In the first half, the company made significant
investments in its expansion program: -- Opened new offices in
landmark building in Chicago's prestigious Hancock Center; -- Named
new creative director, Darren Andereck, an award-winning designer
and former co-owner of Alice's Garden; and -- Subsequent to June
30, XA closed on its acquisition of Alice's Garden, a Chicago
floral and event decor firm. The event marketing industry generates
nearly $80 billion a year in direct spending, according to a study
by Deloitte & Touche LLP. Moreover, corporate spending on event
marketing has been growing; it rose 15% in 2003 and it is predicted
to generate an additional 15%-to-20% growth in 2004. (Source: PROMO
Magazine) About The Experiential Agency, Inc. The Experiential
Agency, Inc. (XA) has full service offices in Chicago, New York and
Los Angeles from which it provides corporations and highly visible
brands with comprehensive Event Marketing, Design and Production
Services. Since 1989, Chairman and CEO Frank Goldstin and his team
have been the creative force behind prestigious, national projects
for such clients as The NBA, McDonald's Corporation, Song Airlines,
Eurex, Olympus, Salvatore Ferragamo, Vogue, W Hotels, ABN AMRO and
Emirates Airline. In 2003, Special Events magazine ranked XA as one
of the "Top 50 Powerhouse Event Companies in the World." This press
release contains forward-looking statements within the meaning of
the Private Securities Litigation Reform Act of 1995. In
particular, when used in the preceding discussion, the words
"believes," "expects," "intends," "will," "anticipated," or "may,"
and similar conditional expressions are intended to identify
forward-looking statements within the meaning of the Act and are
subject to the safe harbor created by the Act. Except for
historical information, all of the statements, expectations and
assumptions contained in the foregoing are forward-looking
statements that involve a number of risks and uncertainties. It is
possible that the assumptions made by management are not
necessarily the most likely and may not materialize. In addition,
other important factors that could cause actual results to differ
materially include the following: business conditions and the
amount of growth in the company's industry and general economy;
competitive factors; ability to attract and retain personnel; the
price of the Company's stock; and the risk factors set forth from
time to time in the Company's SEC reports, including but not
limited to its annual report on Form 10-KSB; its quarterly reports
on Forms 10-QSB; and any reports on Form 8-K. The Experiential
Agency, Inc. (OTCBB: EXAG) takes no obligation to update or correct
forward-looking statements and also takes no obligation to update
or correct information prepared by third parties that is not paid
for by the Company. Company Investor Relations Media Relations Lara
Shipp Truc N. Nguyen Stan Froelich XA Stern & Co. Stern &
Co. 312-397-9100 ext. 2399 VP, Investor Relations VP, Media
Relations 212-888-0044 212-888-0044 DATASOURCE: Experiential
Agency, Inc. CONTACT: Lara Shipp of XA, +1-312-397-9100 ext. 2399,
; or Investor Relations, Truc N. Nguyen, VP, Investor Relations,
+1-212-888-0044, , or Media Relations, Stan Froelich, VP, Media
Relations, +1-212-888-0044, , both of Stern & Co. Web site:
http://www.expagency.com/
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