SYOSSET, N.Y., Aug. 11 /PRNewswire-FirstCall/ -- Synergx Systems Inc. reported the following results for its third quarter and nine-month period ended June 30, 2005 and 2004: THREE MONTHS NINE MONTHS 2005 2004 2005 2004 Revenues $5,148,829 $ 6,081,000 $14,528,000 $ 15,673,000 Income (Loss) Before Equity Investment and Taxes 131,000 524,000 (22,000) 444,000 (Loss) from Equity Investment (33,000) (20,000) (55,000) (52,000) Income (Loss) Before Taxes 98,000 504,000 (77,000) 392,000 Net Income (Loss) 55,000 302,000 (60,000) 234,000 Diluted Earnings (Loss) per Share $.01 $.06 ($.01) $.05 Weighted Average Common and Potential Dilutive Common Shares Outstanding 5,211,120 5,116,631 5,164,922 5,064,697 The decrease in revenues during the three and nine month periods ended June 30, 2005 was due to a decline in product shipments in the Dallas, Texas market area from unusually high sales for the comparable 2004 period. The Company has put into effect certain cost reduction initiatives with a view towards pricing aggressively in that competitive market place. This has resulted in increased bookings over the past 90 days, which has increased the Dallas order position for future delivery. The decline in income before income taxes during the three and nine months ended June 30, 2005 was primarily due to the decrease in gross profit related to lower product sales from the Dallas, Texas market area. For the three and nine month periods of fiscal 2005 the Company also recorded a loss of $33,000 and $55,000, 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/

Copyright