Network Hardware Resale Continues Increased Market Momentumwith Strong 2006 Financial Results and Record Growth
Company Exceeds Revenue Projections while Achieving 31 Percent Growth to Fuel Worldwide Expansionand Increased Distribution of Pre-Owned Networking Equipment
Santa Barbara, Calif.
February 5, 2007
Network Hardware Resale(NHR), the leadingprovider of pre-owned and new networking equipment, today announced record annualrevenues for 2006, fueled by the company’s steady international expansion, the introduction ofnew products and services as well as an ever-increasing global customer roster. Revenues for2006 were $138.2 million, representing a 31 percent year-over-year growth rate.The milestone 2006 financial performance contributed to positive EBITDA for the 28
consecutive quarter. NHR also continued its global expansion plans, reinforced by a fourth-quarter sales surge in the Asia-Pacific region. In 2006, sales to the APAC region grew 58 percentover 2005 while the company also experienced continued market momentum throughout theUnited States and Europe. According to Karen Anne Platt, chief financial officer of NHR, thecompany surpassed aggressive revenue goals for the year. “We exceeded our revenueexpectations for NHR’s 20
anniversary year, which positions the company for continuedgrowth in 2007 and beyond,” she said.Nearly 3,000 new customers chose NHR last year as a trusted source for pre-owned networkrouters, switches, access servers and IP telephony products. More than 10,000 customersworldwide regularly purchase high-quality networking equipment from NHR, includingGlobal 1000 organizations, small and mid-sized enterprises, government entities, educationalinstitutions, healthcare organizations and telecommunications service providers.In delivering optimum support to its worldwide customers, the company expanded itsdistribution facilities in the U.S. and the Netherlands while increasing its presence in the Asia-Pacific region. “By broadening our current capabilities and extending our internationalfootprint, we can fulfill the company’s long-range plans and ensure strong, sustainable businesssuccess,” explained Mike Sheldon, president and CEO of NHR. “Our record revenues in 2006coupled with our ongoing expansions are further proof of NHR’s company-wide commitmentto being the ultimate source for pre-owned networking equipment.”Founded in 1986, NHR continues to expand its product portfolio along with its globaloperations. The company maintains an extensive inventory of used Cisco , Juniper and Extreme