MIDDLETOWN, R.I. (EdgarOnline)– Collegelink.com Incorporated, a provider of pre-college services including college searches, test preparation, finding scholarships, electronic college applications, and advice on paying for college and college success, reported revenues of approximately $717,000 from high school and college programs for the quarter ending September 30, a number 470 percent greater than the same period last year.
The company attributed the revenue increase primarily to the introduction of its “Making It Count” in-school presentation programs in September. These programs were the principal asset of Student Success, Inc., which Collegelink acquired in February. The company sold its Web site hosting and web services businesses during 2000 and therefore did not generate any revenue from those sources during the third quarter. Revenue from Web site hosting and web services businesses for the same period a year ago was approximately $134,000.
Seifert Systems Invests in Energy Efficiency to Strengthen Operations
For manufacturers, energy is more than just another operating expense. It plays a critical role…
Learn More
The cost of revenues was $790,560 for the third quarter, related entirely to the operation and administration of the “Making It Count” programs. Operating expenses increased 16 percent to $1,885,390 for the third quarter, compared to $1,627,226 the same period a year ago. Collegelink said that the increase reflects a greater than 50 percent increase in its marketing and sales efforts and a 275 percent increase in depreciation and amortization expense as a result of the acquisitions of ECI, Inc. and Student Success, Inc. and a license from the Online Scouting Network, Inc. during the last fiscal year.
Collegelink said that cash and accounts receivable available at October 31 are able to support its operations at present levels only through the middle of next month. It also said that it does not know if it will be able to raise more capital in the future. The company has announced that it is seeking a buyer, but that discussions are in preliminary stages, and that it is too early to know whether it will engage in a transaction and if so, under what terms.
As of September 30, the company had working capital of $743,224, compared to $3,669,717 for the same period a year ago.
