FTE Networks Announces $50.7 Million
of Revenue for Second Quarter 2017
Company Records $8.3 Million in Gross
Profit
NAPLES, FL (August 22, 2017) FTE Networks, Inc. (OTCQX:
FTNW) (FTE, we, us or the Company), a leading provider of
innovative technology-oriented solutions for smart platforms,
network infrastructure and buildings, announced its financial
results for the period ended June 30, 2017. The Company has filed
its quarterly report on Form 10-Q with the Securities and Exchange
Commission.
2nd Quarter Highlights:
Closed Acquisition of Benchmark Builders, Inc. (Benchmark)
$50.7M in Revenues
$8.3M in Gross Profit
$2.3M in Adjusted Operating Income
$12M in Shareholder Equity
Combined Backlog of approximately $347M
Three Months Ended June 30, 2017
FTE reported $50.7 in consolidated revenues for the three months
ended June 30, 2017, compared to $3.2M reported for the same period
in 2016. The Company reported a gross profit of $8.3M, and a gross
margin of 16 percent, compared to $1.2M and 39 percent for the same
period in 2016. The Company recorded an operating loss of ($2.3M)
and a net loss of ($5.1) or ($0.04) per share for the three months
ended June 30, 2017, compared to an operating loss of ($435,000)
and a net loss of ($1.1M) or ($0.02) for the same period in 2016.
Adjusted operating income for the three-months ended June 30, 2017
was $2.3M which takes into account a total of $4.6M in one time
cash and non-cash costs relating to the Benchmark acquisition.
Benchmark generated revenue of $43.1M for the period April 21, 2017
through June 30, 2017.
Benchmark is a leading construction management company. The
acquisition of Benchmark, when combined with other existing FTE
network services, results in a new technology, network, and
infrastructure solutions platform previously unavailable to the
market. FTE now provides end-to-end design, build and support
solutions for state-of-the-art networks and commercial properties
to create the most transformative smart platforms and
buildings.
Our record revenue and gross profit is largely attributable to
the successful integration of our transformational acquisition of
Benchmark, stated Mr. Michael Palleschi, Chief Executive Officer
and President of FTE. Management is extremely pleased with our
current growth trajectory as we leverage our three distinct and
complimentary lines of business. We are ecstatic with the positive
momentum that we have built since closing the Benchmark
transaction. The current market offers a large value proposition
for us, as we continue to integrate Benchmark and enhance our
consolidated service offerings. Together with our network and
infrastructure services, our first-in-kind multi-edge computing
solution, stellar service offerings, and Benchmarks pedigree, we
expect to deliver continued gains as we execute on our proven
business strategy."
About FTE Networks, Inc.
FTE Networks, Inc. (FTNW) is a leading provider of innovative
technology-oriented solutions for smart platforms, network
infrastructure and buildings. FTEs three complementary businesses
are FTE Networks Services (network infrastructure solutions);
CrossLayer, Inc. (managed network services with a first-of-its-kind
advanced network and cloud platform); and Benchmark Builders, Inc.
(construction management), which provides end-to-end design, build
and support solutions for state-of-the-art networks and commercial
properties to create the most transformative smart platforms and
buildings. FTEs businesses are predicated on smart design and
consistent standards that reduce deployment costs and accelerate
delivery of innovative projects and services. The company works
with Fortune 100/500 companies, including some of the worlds
leading communications services providers. FTE Networks and its
subsidiaries operate eight lines of business: Data Center
Infrastructure, Fiber Optics, Wireless Integration, Network
Engineering, Internet Service Provider, Construction Management,
General Contracting and Pre-Construction Services. With more than
200 employees, FTE and its entities have operations in 17 states.
For more information, please visit www.ftenet.com.
Forward-Looking Statements
This release may contain forward-looking statements within the
meaning of the safe harbor provisions of the U.S. Private
Securities Litigation Reform Act of 1995. Statements other than
historical facts are forward-looking statements, which can be
identified by the use of forward-looking terminology such as
believes, expect, intend, plan, trajectory, strategy or similar
expressions and/or references to future periods.
Forward-looking statements are neither historical facts nor
assurances of future performance. Instead, they are based only on
FTEs current expectations, beliefs, and assumptions regarding
future developments and their potential effects on FTE.
Specifically, the statements: Management is extremely pleased with
our current growth trajectory as we leverage our three distinct and
complimentary lines of business; We are ecstatic with the positive
momentum that we have built since closing the Benchmark
transaction; The current market offers a large value proposition
for us, as we continue to integrate Benchmark and enhance our
consolidated service offerings; and Together with our network and
infrastructure services, our first-in-kind multi-edge computing
solution, stellar service offerings, and Benchmarks pedigree, we
expect to deliver continued gains as we execute on our proven
business strategy are highly dependent on the Companys success in
integrating Benchmark as well as its success in leveraging its
collective service offerings and executing its business strategy.
These statements involve risks and uncertainties that may cause
actual results to differ materially from those anticipated,
believed, estimated or expected. These risks and uncertainties are
described in detail in our filings with the Securities and Exchange
Commission. Forward-looking statements are based on FTEs current
expectations and beliefs concerning future developments and their
potential effects on FTE. Furthermore, there is no assurance that
future developments affecting FTE will be those anticipated by FTE
and FTE undertakes no obligation to publicly update or revise any
forward-looking statements, whether written or oral, that may be
made from time-to-time, whether as a result of new information,
future developments or otherwise, except as required under
applicable securities laws.
Media and Investor Relations:
FTE Networks, Inc.
999 Vanderbilt Beach Road, Suite 601
Naples, FL 23108
(877) 850-4308
ir@ftenet.com
OTCQX: FTNW