Santa Barbara, Calif. — May 22, 2006 — Network Hardware Resale (NHR), the leading provider of pre-owned networking equipment, today announced record first-quarter earnings that reinforce continued revenue growth and ongoing business expansion. Revenues for the first quarter were more than $33 million, representing a 35 percent increase over the same period last year.
Additionally, gross revenues rose by 15 percent over the fourth quarter of 2005, contributing to positive EBITDA for the 25th consecutive quarter. "We are extremely pleased to report one of our best quarters ever," said Karen Anne Platt, chief financial officer. "This positive momentum reinforces our goal to reach expected revenue projections of $135 million for 2006."
NHR serves more than 10,000 customers worldwide, including Global 1000 organizations, small and mid-sized enterprises, government entities, educational institutions, healthcare organizations and telecommunications service providers. According to Mike Sheldon, president and chief executive officer of NHR, the company continues to make significant strides in ensuring long-term growth and profitability. "Our unwavering focus on offering the highest quality networking equipment at the best overall value has resulted in continued growth and sustained business success for two decades," he said. "With more than $100 million in inventory, we can respond quickly to the most urgent equipment requests while still reducing total cost of ownership substantially."
Founded in 1986, NHR is celebrating its 20th anniversary this year, with plans to broaden its product portfolio as well as expand its international footprint. The company operates on a global basis with an extensive inventory of Cisco, Juniper and Extreme routers, switches, access servers and IP telephony equipment. NHR has been recognized by Inc. Magazine as one of the fastest growing private companies in the United States for four consecutive years. As one of the first in the secondary market to provide standard one-year warranties on all equipment, NHR continually embraces business best practices to ensure product integrity and the highest levels of quality customer service. As a result, the company enables budget-constrained IT managers to maximize their technology investments while accommodating a wide range of production network and special needs, including asset recovery, sparing, testing and disaster recovery.