iWeb Communities: Blog

Revenue increases by 13%

MONTREAL, January 28, 2005 ? iWeb Group Inc. today announced its financial results for the fiscal year ended September 30, 2004.

iWeb Group recorded consolidated revenue of $1,556,305, an increase of $175,936 or 13% compared to $1,380,369 for the same period in 2003. Gross profits totalled $797,000 in 2004, essentially the same as last year.

In 2004, the company?s net income from continuing operations was $69,019, compared to $99,656 in 2003. Net income per share was $0.012, compared to $0.057 in 2003. The reduction in net income from continuing operations is due mainly to major investments in equipment and office space in order to quadruple its Web hosting capacity.

?With the financial structure and equipment implemented in 2004, everything is set for us to reach our profit objectives and to make 2005 a decisive year for iWeb,? said Éric Chouinard, president and CEO of iWeb Group. ?We host almost 20,000 sites and are adding more than 80 servers a month. At this rate, we will consolidate our position as the leading hosting company in Quebec and one of the biggest players in Canada.?

Shareholder equity reached $500,344 at the end of fiscal 2004, compared to $1,308 in 2003. The increase is due primarily to the reverse takeover of Léonides Inc. in August.

As at September 30, 2004, the company held $358,335 in cash, cash equivalents and investments, compared to $135,116 at the end of last year.

Achievements in fiscal 2004:

* Acquisition of a 10,000-square-foot building
* Acquisition and establishment of a new data centre, which quadruples Web hosting capacity
* Reverse takeover of Léonides Inc. in August 2004
* Listing on TSX Venture in September 2004
* Acquisition of Parangon Internet in October 2004, a company specializing in server hosting and rental.

iWeb has carved out a niche in the field of Web hosting. With its state-of-the-art data centre, low operating costs and highly competitive bandwidth rates, iWeb has become a leader in Quebec and one of the largest Canadian companies in terms of the number of hosted domains.

About iWeb Group Inc.
Founded in Montreal in 1996, iWeb is one of the leading Canadian companies in terms of hosted domains. The company offers a full line of advanced Web hosting solutions in English, French and Spanish. With the acquisition of Parangon Internet, iWeb has over 9,600 customers in 48 countries around the world and generates recurring monthly revenue of over $220,000. iWeb Group Inc. is listed on the TSX Venture Exchange under the ticker symbol IWB. For more information, visit the Company?s website at investisseurs.iweb.ca..

FINANCIAL INFORMATION

« The TSX Venture Exchange Inc. does not accept responsibility for the adequacy or accuracy of this release. »