WASHINGTON, April 20, 2011 /PRNewswire/ -- CYIOS Corporation (OTC Bulletin Board: CYIO) filed its annual report 10K April 15th, 2011 and below clarifies profits. "We are a very agile company in that we can make changes do to economic, natural or business events and keep the primary engines running smooth -- CYIPRO positions us to accomplish this feat. I state this as we've made changes and we've overcome obstacles and we're profitable," stated Timothy Carnahan, the company CEO. Please visit http://www.cyios.com/InvestorRelations/tabid/58/Default.aspx
The total sales for our active subsidiary, CYIOS Corporation, a District of Columbia corporation, for the fiscal year ended December 31, 2010, were $1,849,804 and our gross profit was $770,964 or a gross profit margin of 42%. Our other active subsidiary, CKO, Inc., a District of Columbia corporation, produced no revenue for the fiscal years ended December 31, 2010. Our revenues have remained strong through this tough economy and we have generated a sufficient amount of revenue to cover our overhead and operating expenses.
Although we posted a loss for 2010 of $394,051 on our consolidated financial statements, a large portion of our expenses were attributed solely to non-cash stock compensation expense in the amount of $416,667 that was incurred by the parent company and not our subsidiary, CYIOS Corporation (DC) Company. If we had not incurred those non-cash expenses we would have posted a solid net income of $22,116 for the year ended December 31, 2010. Furthermore, in 2010 we used $160,000 of the CYIOS Corporation (DC) Company's profits to fund the marketing and development of CYIPRO™. We were able to incur these additional marketing and developing expenses without the assistance of outside funding. More importantly, we were able to incur these expenses and sufficiently take care of our overhead and operating expenses. Had we not used this additional money to invest in CYIPRO™, our net profit in CYIOS Corporation (DC) would have been $182,116. As for the CYIOS Group, the parent, (CYIO), we emphasize two points to take from this letter; one is that we have a $7,000,000 line of equity that we have not accessed and we have a tax carry forward loss of $6,000,000. This means as we grow, we can access the line of equity for funding marketing and development of CYIPRO™. And, any future profits offset against approximately $6,000,000 in carry forward losses, thus lowering our taxes. "CYIOS has always been a great investment and we hope to show loyal investors the reward of long term patience," stated Tim Carnahan.
Management is aggressively working to increase our business with the Department of Defense and the rest of the federal government. In order to achieve this goal, we have actively bid on request for proposals by different departments and their agencies. We have, and will continue to invest all of our earnings into additional personnel to help achieve this goal. We are also aggressively marketing the sale of our product CYIPRO™ to Department of Defense, government and small businesses. In the latter part of 2010 and in early 2011 we have launched a new marketing campaign to inform the public about our product CYIPRO™.
Again, for investors, the key to our success will be CYIPRO™ sales in 2011 from CKO Inc and additional contracts from CYIOS. We have plans of revenue from approximately 180K per month by end of this year from CKO Inc. We have bids awaiting award for CYIOS upward in the 5 - 10M and 20M over five years. "We appreciate the support from shareholders, these are tough times but we have a path of success and the light is shining brighter and brighter," stated Timothy Carnahan.
About CYIOS Corp.
CYIOS Corporation is the maker of CYIPRO, a business transformation tool that utilizes the first project based operating system (OS). This new project OS is the nucleus of why CYIPRO can transform people, processes and information into a productive, effective and rich environment. CYIPRO securely brings the latest concepts of business transformation and technology to fruition.
CYIPRO is in position to support MANY government initiatives and is based upon CYIOS's experience building the world's largest knowledge management portal, www.us.army.mil. CYIPRO revolutionizes organizations, saves time and money, and empowers staff and management to make decisions based upon lessons learned and organizational knowledge.
Forward Looking Statements:
Except for statements of historical fact, the information presented herein contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, expectations, beliefs, plans and objectives regarding future activities. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of CYIOS Corporation to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include general economic and business conditions, the ability to acquire and develop future assets, the ability to fund operations and changes in consumer and business consumption habits and other factors over which CYIOS Corporation has little or no control. Except as may be required under applicable law, CYIOS Corporation undertakes no obligation to update any forward-looking statements contained herein as a result of new information, future events or otherwise.
CYIOS Corporation
Ronald Reagan Building
Washington, DC 20004
Contact: Timothy Carnahan +1-202-204-3006
SOURCE CYIOS Corporation
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