CAMBRIDGE, MA--(Marketwire -07/30/12)- SMTP, Inc. (SMTP), a global email marketing and delivery provider, today announced financial results for the second quarter ended June 30, 2012, and declared a quarterly dividend payable on August 31, 2012.
Revenue for the second quarter ended June 30, 2012 increased to $1.352 million, up 35.1% from $1.001 million in the second quarter 2011.
Gross profit increased to $1.020 million in the second quarter ended June 30, 2012, up 24.6% from $0.819 million in the second quarter 2011. Operating expenses for the second quarter ended June 30, 2012 were $0.596 million as compared to $0.435 million in the second quarter 2011.
The Company reported pre-tax income of $0.424 million as compared to $0.384 million in the second quarter 2011. Additionally, net income for the second quarter ended June 30, 2012 was $0.240 million or $0.02 per diluted share, as compared to $0.203 million or $0.01 per diluted share in the second quarter 2011.
SMTP also declared a quarterly dividend of $.015 payable on August 31, 2012 to shareholders of record on August 21, 2012.
"In the first quarter 2012 we announced a strategy for paying a quarterly dividend on a continuing basis, based upon our earnings growth," stated Richard Harrison, CEO of SMTP, Inc.
SMTP is an independent service provider focused exclusively on the execution of email delivery for applications in marketing and the enterprise requiring bulk email or high volume transactional delivery. Founded 12 years ago, the firm services worldwide customers ranging from small businesses to large Fortune 500 companies.
The proliferation of email as a low cost, ubiquitous communications channel has given rise to the growth of spam, blacklisting, bounces, blocked IPs, firewalls, email filtering, etc. As a result, legitimate traffic can easily be flagged as illegitimate, regardless of how well the sender adheres to best practices for creative design, list management and accreditation.
With the continued increase in technical obstacles, business users demand greater reliability in delivery, fewer disruptions, and improved reporting metrics. The result is an ever-increasing strain on marketing operations and IT cost structures to keep up with the demand.
SMTP provides a solution that eliminates the hassles and lowers costs to produce a higher-yielding level of service to the business user.
"We continue to experience healthy growth of both top line revenues and net income. The SMTP brand, combined with our focus on improving email delivery success through expert support, has again proven to be a winning formula for customer retention. During the quarter, we added to our value proposition with new support programs that offer a higher level of personalized service and attention to our larger customer segment, who benefit from a significantly improved customer experience."
About SMTP, Inc.
SMTP (SMTP) is a leading provider of cloud-based services to facilitate email delivery, including 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 based in Cambridge, Massachusetts and on the web at 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. For more information, please visit our website at www.SMTP.com.