LAS VEGAS, Aug. 15, 2013 (GLOBE NEWSWIRE) -- SMTP, Inc. (OTCQB:SMTP), a global provider of email delivery services, announced financial results for the second quarter ended June 30, 2013. Second Quarter Highlights: Revenue for the second quarter of 2013 increased to $1.40 million, up 3.2% from $1.35 million in the second quarter of 2012. Gross profit increased 7.0% to $1.09 million in the second quarter, compared to $1.02 million in the year-ago period. The increase was primarily due to a decrease in managed server costs and partner commissions. Operating expenses decreased 13.4% to $0.52 million in the second quarter, compared to $0.60 million in the year-ago period. The decrease was driven by a decision to outsource resource and development efforts in combination with reductions in online advertising and general and administrative expenses. Net income increased 60.5% to $0.39 million, or $0.03 per share, in the second quarter, compared to $0.24 million, or $0.02 per share, in the year-ago period. Six-Month Highlights: Revenue for the first six months of 2013 increased to $2.76 million, up 6.4% from $2.60 million in the first six months of 2012. Gross profit increased 8.9% to $2.14 million in the first six months of 2013, compared to $1.96 million in the same period of 2012. The increase was primarily due to a decrease in managed server costs and partner commissions. Operating expenses decreased 2.3% to $1.19 million in the first six months of 2013, compared to $1.21 million in the same period of 2012. This decrease was primarily driven by the previously described outsourcing of research and development expenses and lower online advertising expenses, which were partially offset by an increase in general and administrative expenses. Net income increased 37.3% to $0.61 million, or $0.04 per share, in the first six months of 2013, compared to $0.45 million, or $0.03 per share, in the same period of 2012.
During the six months ended June 30, 2013, cash provided from operating activities was $0.89 million and the Company paid shareholders $0.53 million in dividends. As of June 30, 2013, the Company had 14,934,498 shares outstanding."I am very pleased to report yet another quarter of strong financial performance. As a result of continued customer growth and strategic operational changes, including the outsourcing of research and development efforts, we saw a sizeable acceleration of our net income during the quarter," stated Semyon Dukach, Chairman of SMTP. "I believe we are well-positioned to build further shareholder value as we execute our proven business model, which has already delivered a consistent track record of revenue and earnings growth." About SMTP, Inc. SMTP is a leading provider of services to facilitate email delivery, with a focus on marketing email delivery, but also supporting bulk and transactional sending, reputation management, compliance auditing, abuse processing and issue resolution. Our services provide customers with the ability to increase the deliverability of email with less time, cost and complexity than handling it themselves. SMTP, Inc. is a dividend-paying, publicly-traded company headquartered in Las Vegas, Nevada, and can be found on the web at http://www.smtp.com. Safe Harbor Statement The information posted in this release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these statements by use of the words "may," "will," "should," "plans," "explores," "expects," "anticipates," "continues," "estimates," "projects," "intends," and similar expressions. Forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected or anticipated. These risks and uncertainties include, but are not limited to, general economic and business conditions, effects of continued geopolitical unrest and regional conflicts, competition, changes in technology and methods of marketing, delays in completing new customer offerings, changes in customer order patterns, changes in customer offering mix, continued success in technological advances and delivering technological innovations, delays due to issues with outsourced service providers, and various other factors beyond the Company's control.
CONTACT: Investor Relations Contact: Alena Chuprakova SMTP, Inc. 877-705-9362 firstname.lastname@example.org Paul Kuntz RedChip Companies, Inc. Tel: +1-800-733-2447, ext. 105 email@example.com http://www.redchip.com