July 06, 2000 07:28am
Hitsgalore.com Estimates 2nd Quarter Revenues Up 650%, HBX2000 Membership Up Over 150%
Source: Hitsgalore.com Inc.
by: Company Press Release
(RANCHO CUCAMONGA, CA) -- Hitsgalore.com Inc. (OTC Bulletin Board: HITT - news) announced that it anticipates reporting unaudited preliminary net revenues of approximately $100,000 in the 2nd Qtr 2000 as compared to approximately $13,000 in the 1st Qtr 2000. This is an increase from quarter to quarter of over 650%. Most of this increase is attributable to the success of HBX 2000.
The Company also reports a 150% growth in its HBX2000 membership in just the last few weeks; membership grew rapidly from 100 to over 250 members.
Dorian Reed Chairman and CEO of Hitsgalore.com, says ``The market acceptance of our new business exchange service has been exciting for the Company. The new revenue model just deployed is proving out very well. In the 2nd quarter, we knew that we would show marked improvements; in the first two months of the quarter, the Company had many urgent issues to deal with, including the default of a major customer, and filings of both the year-end audited 10K and 1st Quarter 10Q to regain our fully reporting status. Management believes that its new and fertile revenue stream can sustain the Company going forward and that the Company will return to profitability in the 3rd quarter.''
The Company acknowledges its low stock price due partly to revenue reversals and low revenues in the 1st quarter. The Company also feels the unrelenting and vicious attacks by internet posters as another key factor in keeping its stock price depressed with a steady stream of false and misleading information being disseminated to both new and current investors on various message boards about the Company and its management.
``I just hope investors get a sense of true marketplace reality in that we have a service model that businesses want and are willing to pay for. Hitsgalore.com can and will make money, unlike many other internet companies. This is perhaps the most exciting time to be in the B2B space and we plan to make the most of it. Hitsgalore.com has a great reputation and is well respected by its internet peers. Fundamentally, we have what it takes to stay number one in our market niche and generate solid profits and revenue growth,'' says Reed.
Hitsgalore.com (www.hitsgalore.com) has a unique business model of giving away free banners, lifetime banner placement and other Portal Services. The Company generates revenue from its Keyword Bid & Rank program, sponsorships of Portal Services and Local City Editions. Hitsgalore.com strives to provide porn-free searching and does not accept or encourage any porn or adult-content listings on its site. The Company is also involved in the rapidly growing business-to-business e-commerce sector through its unique Hitsgalore Business Exchange 2000 (HBX2000) (www.hbx2000.com) portal service. Hitsgalore is the innovator and developer of the first B2B Internet Business Exchange that offers a trade organization pre-qualified ``one on one sales introductions'' for its listed companies. The Company believes it is the market leader in this newly unearthed market niche.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This news release contains forward-looking information 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, including statements that include the words ``believes,'' ``expects,'' ``anticipates'' or similar expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of Hitsgalore.com Inc. (the Company) to differ materially from those expressed or implied by such forward-looking statements. (Such factors include, among others, the risk factors contained in the Company's Annual Reports and other filings with the Securities and Exchange Commission.). In addition, description of anyone's past success, either financial or strategic, is no guarantee of future success. The Company will remain dependent upon future financing for its growth and development, and for it to successfully implement its business plan. No statement contained herein should be construed as indicating that such financing is or will be available, and if available, will be on terms favorable to the Company. This news release speaks as of the date first set forth above and the Company assumes no responsibility to update the information included herein for events occurring after the date hereof.