Telehop Communications Reports First Quarter 2010 Financial Results

TORONTO, May 21 /CNW/ - Telehop Communications Inc. (TSXV-HOP) today released its financial results for the first quarter ended March 31, 2010 reporting revenue of $2,921,745 compared to revenue of $3,477,153 in the same quarter 2009. The net loss for the period was $107,383 or $(0.01) per share, compared to net loss of $330,704 or $(0.02) per share for 2009. We completed the quarter with working capital of $949,058 which includes cash of $716,001.

    
    Quarterly financial summary -

    -  Revenue for the first quarter 2010 declined $555,408 or 16% compared
       to revenue of the same quarter 2009 attributable predominately to a
       reduction in our retail long-distance business.
    -  Gross margin as a percentage of revenue was 40.7% compared to 37.5%
       for first quarter 2009 an increase of 3.2%.
    -  Operating expenses decreased from $1,776,265 in first quarter 2009 by
       $433,910 or 24.4% to $1,342,355. The majority of the decrease relates
       to cost reductions implemented through 2009.
    -  We completed the quarter with $716,001 of cash a reduction of $111,411
       for the first quarter.
    

A complete financial reporting package is available on Sedar http://www.sedar.com or by contacting the company.

Certain statements in this press release may constitute "forward looking statements" and involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Corporation to be materially different from any performance or achievement expressed or implied by such "forward looking statements".

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release

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For further information: Mr. Fulvio Ciano, CEO, [phone], [email protected]