Synergx Systems Inc. (Nasdaq Small Cap: SYNX) Announces Second Quarter and Six Month Results SYOSSET, N.Y., May 12 /PRNewswire-FirstCall/ -- Synergx Systems Inc. reported the following results for its second quarter and six-month periods ended March 31, 2005 and 2004: THREE MONTHS SIX MONTHS 2005 2004 2005 2004 Revenues $ 4,912,000 $5,390,000 $ 9,379,000 $9,592,000 Income (Loss) Before Equity Investment and Taxes 88,000 114,000 (153,000) (80,000) (Loss) from Equity Investment (12,000) (12,000) (22,000) (32,000) Income (Loss) Before Taxes 76,000 102,000 (175,000) (112,000) Net Income (Loss) 40,000 59,000 (115,000) (67,000) Diluted Earnings (Loss) per Share $.01 $.01 ($.02) ($.02) Weighted Average Common and Potential Dilutive Common Shares Outstanding 5,216,424 5,178,703 5,151,324 4,441,037 The decrease in revenues during the three and six month periods of 2005 was due to a decline in product shipments in the Dallas, Texas market area. The Company has put into effect certain cost reduction initiatives with a view towards pricing aggressively in that competitive market place and has enjoyed strong bookings since the end of the fiscal quarter. The decline in income before income taxes during the three and six month periods ended March 31, 2005 was consistent with budget and is primarily due to the decrease in gross profit related to lower product sales from the Dallas, Texas market area. For the three and six month periods of 2005 the Company also recorded a loss of $12,000 and $22,000, respectively, on its equity in the operating loss of Secure 724 LP. Management noted the Company is aggressively marketing its products and services and has hired, and continues to search for, additional sales representatives in order to maintain and increase revenues. In addition, the Company is considering various acquisition opportunities that would enable it to accelerate its marketing programs. Synergx is engaged in the design, manufacture, marketing and service of a variety of data communication products and systems with applications in the fire alarm, life safety, security and communication industries. For further information about Synergx please go to our website at http://www.synergxsystems.com/ "Safe Harbor" statement under the Private Securities Reform Act of 1995: This release contains forward-looking statements, which reflect management's current views of future events and operations. These forward-looking statements are based on assumptions and external factors, including assumptions relating to product pricing, competitive market conditions, financial data, and other risks or uncertainties detailed from time to time in the Company's filings with the Securities and Exchange Commission. These forward-looking statements represent the Company's judgment as of the date of this release and any changes in the assumptions of external factors could produce significantly different results. DATASOURCE: Synergx Systems Inc. CONTACT: John Poserina, Chief Financial Officer of Synergx Systems Inc., +1-516-433-4700 Web site: http://www.synergxsystems.com/

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