|
|||
|---|---|---|---|
|
|||
 |
SUBSIDARIES: |
|||
|---|---|---|---|---|
| COMPANY OVERVIEW | SearchPath HCS Announces Significant Increases in Net
|
SearchPath International | ||
| REQUEST INFO | Income and Royalty & Franchise Income in Last Quarter of | UpdBuild Solutions Group | ||
| NEWS | 2009 | |||
| MEDIA CENTER | ||||
| FINANCIALS | Cleveland, OH – March 9, 2010 – Search Path HCS Inc. (Pink | |||
| MANAGEMENT TEAM | Sheets: SRCP), a leading Human Capital Solutions Company, today | |||
| CONTACT US | announced that the Company recorded a significant increase in net | |||
| income, royalty and advertising (R&A) income and the number of | ||||
| franchisees during its fiscal 2nd Quarter of 2010, ended December 31, 2009. | ||||
| Search Path International (SPI), a wholly-owned subsidiary of the | ||||
| Company, reported net income of $111,496 in the most recent | ||||
| quarter, compared to a reported net loss in the previous quarter. The | ||||
| report of positive net income during the last quarter marks a reversal of | ||||
| six straight quarterly periods during which the Company experienced | ||||
| net losses as a result of the unfavorable economic conditions. | ||||
| The largest contributing factor of SPI’s profitability during the most | ||||
| recent quarter is a significant increase in the Company’s income | ||||
| generated by royalty and advertising (R&A) income that it collects | ||||
| from its franchisees. SPI’s R&A income nearly doubled in Q2 2010 | ||||
| over Q1 2010, experiencing an increase of 88%. This continues a span | ||||
| of over three years during which the Company experienced substantial | ||||
| growth in R&A income. During 2009, SPI’s annual R&A income was | ||||
| 16% higher than in 2008, 70% higher than in 2007 and over 200% | ||||
| higher than in 2006. | ||||
In an effort to foster growth and maintain production during the |
||||
| adverse economic and industry climates, SPI reduced its operating | ||||
| expenses by 48% from the same period last year. During this period, | ||||
| the Company maintained a high level of service and support which is | ||||
| demonstrated by the consistent performance of its offices. The top | ||||
| three performing offices in SPI increased their average monthly | ||||
| revenue 52% from $22,371 to $34,008 during the 2009 calendar | ||||
| year. | ||||
| “SearchPath International has performed very well by all measures | ||||
| given the poor economic conditions in 2009, specifically within the | ||||
| executive recruiting industry. Our most recent quarter’s financial | ||||
| statements illustrate a significant increase in both revenue and overall | ||||
| profitability. Additionally, SPI has seen its franchisee offices perform | ||||
| markedly well in adverse market conditions due to its effective planning | ||||
| and strategy execution. The company has reduced operating expenses | ||||
| while continuing to maintain a high level of service and field support,” | ||||
| commented Thomas K. Johnston, Chief Executive Officer of | ||||
| SearchPath HCS, Inc. | ||||
| Johnston added, “These figures, combined with the rapid growth of | ||||
| our franchises, valuable strategic partnerships and projected industry | ||||
| growth, demonstrate that all of the hard work and investment put forth | ||||
| into the company has built valid programs for SPI and we believe has | ||||
| positioned us for sustainable growth in the near and long term." | ||||
| Search Path HCS, Inc.’s Filings can be found at Pink Sheets SRCP | ||||
| under Filings. | ||||
| About Search Path HCS, Inc. | ||||
| SearchPath HCS, Inc. www.searchpathhcs.com is a rapidly growing | ||||
| human capital solutions firm and the parent company of SearchPath | ||||
| International, Inc. (SPI) www.searchpath.com. SPI is a U.S.-based | ||||
| talent acquisition professional services firm, with more than 75 | ||||
| franchises nationwide. Founded in 2005, SPI’s goal is to become the | ||||
| premier, vertically-integrated provider of talent acquisition professional | ||||
| services in the world. In addition to being a stand-alone talent and | ||||
| acquisition services firm, SPI is also a franchisor of its business that has | ||||
| redefined the way clients do business with recruiters by implementing a | ||||
| client-centric approach that combines proven industry best practices | ||||
| and revolutionary concepts. | ||||
| Safe Harbor Statement | ||||
| This press release contains “forward-looking statements” within the | ||||
meaning of Section 27A of the Securities Act of 1933 and Section |
||||
| 21E of the Securities Exchange Act of1934. All statements, other than | ||||
| statements of historical fact, including, without limitation, those with | ||||
| respect to the objectives, plans and strategies of the Company and SPI | ||||
| set forth herein and those preceded by or that include the words | ||||
| ``believes,'' ``expects,'' ``given,'' ``targets,'' ``intends,'' ``anticipates,'' | ||||
| ``plans,'' ``projects,'' ``forecasts'' or similar expressions, are “forward- | ||||
| looking statements”. Although the Company's management believes | ||||
| that such forward-looking statements are reasonable, it cannot | ||||
| guarantee that such expectations are, or will be, correct. These | ||||
| forward-looking statements involve a number of risks and uncertainties | ||||
| which could cause the Company's future results to differ materially | ||||
| from those anticipated. The Company assumes no obligation to update | ||||
| any of the information contained or referenced in this press release. | ||||
Investor Contact |
||||