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DECORIZE, INC. REPORTS RECORD REVENUES AND EARNINGS FOR FIRST QUARTER
SPRINGFIELD, Mo. (PRNewswire) - Decorize, Inc. , an emerging-growth provider of direct sourcing solutions for the global home decor market, reported record first quarter revenues and earnings for the period ended September 30, 2002. The Company recorded revenues of $5.2 million, a 77.5% increase versus the same period last year. The Company generated an operating profit of $302,405 versus an operating loss of $135,571 for the prior year period. Decorize reported its first quarterly profit, as it had net income of $164,195, or $0.02 per basic share for the first quarter of fiscal 2003, versus a loss of $179,945, or ($0.02) per share for its first quarter of fiscal 2002. The Company's 2003 quarterly results include a $0.01 per share, non-cash charge for amortization of discount related to Company debt. "We believe that our first profitable quarter was the result of growing recognition among both small and large retailers of the benefits of our technology-driven direct sourcing model," said Jon Baker, Decorize's Chief Executive Officer. "We have achieved this success without raising significant capital. Recently, we have begun to make the investments in personnel and infrastructure to support the next phase of our growth. We look forward to scaling our business to capitalize on the rapidly growing interest in our solutions, as the investments we have made in technology and infrastructure should lead to substantial future earnings growth." About Decorize, Inc. Decorize, Inc. is the proprietor of a breakthrough sourcing, logistics and technology model that reduces the non-value added costs that have traditionally been channeled into the home furnishings category. The company strips away layers of handling and storage steps to deliver products directly from the Far East to the doors of retailers, at unprecedented cost savings. Decorize has served more than 2,000 small and large retail accounts, including national brand names such as Dillard's, Rooms To Go and Sears -- The Great Indoors. The company's business model affords aggressive savings for large retailers and also for small retailers. Decorize deploys a "one-price" approach at Decorize.com. For the first time in the industry, small retailers can ship directly from the Far East with a minimum order of $1,000 while enjoying cost savings of up to 30% over wholesale prices. Decorize offers over 10,000 SKUs through its brands: Faith Walk, GuildMaster and decorize.com. Additional information on the company and its products can be found at http://www.decorize.com/. Forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including without limitation, continued acceptance of the company's products, increased levels of competition for the company, new products and technological changes, the company's dependence on third-party suppliers, and other risks detailed from time to time in the company's periodic reports filed with the Securities and Exchange Commission. |
