SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) April 22, 1999
AVERT, INC.
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(Exact name of registrant as specified in its charter)
Colorado 0-239052 84-1028716
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(State of other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
301 Remington, Fort Collins, Colorado 80524
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(Address of principal executive offices) Zip Code
Registrant's telephone number, including area code: 970-484-7722
301 Remington Fort Collins, CO 80524
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(Former name or former address, if changed since last report
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Item 5 Other Events
a) Avert, Inc. announces first quarter 1999 results.
Item 7 Financial Statements and Exhibits
c) Exhibits
15 Press release dated April 22, 1999
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
AVERT, INC.
April 23, 1999 By: /s/ Dean A. Suposs
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Date Dean A. Suposs
President
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EXHIBIT INDEX
Exhibit No. Exhibit Description Page
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15 Press Release, dated 5
April 22, 1999
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EXHIBIT 15
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FOR IMMEDIATE RELEASE: NEWS
April 22, 1999 Nasdaq National Market/AVRT
http://www.avert.com
AVERT, INC. ANNOUNCES FIRST QUARTER RESULTS
Company announces record revenue growth and 60% growth in EPS.
FORT COLLINS, Colorado - Avert, Inc. (Nasdaq National Market/AVRT), an
Internet-based information network company providing employment background
checks to a diverse nationwide customer base, today announced financial results
for first quarter ended March 31, 1999.
Net revenues for the first quarter grew to $2,492,000, up 12% from $2,233,000 in
the comparable quarter in 1998. Product and service revenue for the quarter was
$2,416,000 up 13% from $2,147,000 in the first quarter of 1998. Growth in the
number of new customer sign-ups surged to 779 for the quarter, up 48% from the
same period last year.
Net income after tax for the quarter was $255,000, or $.08 cents per share, up
53% from $167,000, or $.05 cents per share, in the same quarter last year.
Earnings per share rose 60% during the same period as compared to 1998. The
Company is reporting 10% net margins for the first quarter of 1999.
"We are very pleased to announce the return of double digit growth and
profitability to our shareholders," stated Dean Suposs, President and Chairman
of Avert, Inc. "Over two years ago we undertook a major company-wide
re-engineering to transform Avert into an Internet based company. We now have
the ability to manage the growth the Internet can bring and do it profitability.
First quarter `99, I believe, is the start of this trend. We not only had double
digit growth, but we ended the quarter with approximately 20% fewer employees
than a year ago. This is the growth and efficiency we expected. We are now
conducting a majority of our business through the Internet, and believe we are
one of the few public companies in our industry using this future medium
profitably today."
Revenue from criminal history reports grew to $1,405,000, up 26% from a year
ago; previous employment reports and credit reports declined 11% to $241,000;
motor vehicle driving records increased 12% to $282,000; workers' compensation
histories decreased 15% to $205,000; and revenue from other products and
services increased 15% to $312,000, which includes $187,000 revenue from
services.
On February 22, Avert, Inc. declared a special cash dividend of $.12 per common
share payable on March 24, 1999 to shareholders of record on March 15, 1999.
This dividend payment is a 20% increase over the previous dividend payment.
Dividend payments for the special cash dividend totaled $419,305.41.
About Avert, Inc.
Avert is the leading provider of Internet pre-employment screening solutions
linked through AVERTnet (Y2K Compliant), a secure network of Internet background
checking services. Avert uses Internet technology to create solutions that
streamline the hiring process. More than 10,000 companies nationwide utilize
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Avert and the Web-based background checking system which incorporates criminal
court records, driving records, previous employment verification, workers'
compensation histories, credit histories, education verification and Social
Security Number validations. AVERTnet is customized to meet the unique concerns,
policies and procedures of companies nationwide. Additional information about
Avert background checking solutions and the Company's SEC filings are available
on the Internet at www.avert.com.
<TABLE>
<CAPTION>
EARNINGS RECAP Quarter Ended March 31, Quarter Ended March 31,
1999 1998
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(unaudited)
<S> <C> <C>
Revenue ......................................... $ 2,492,000 $ 2,233,000
Net Income ...................................... $ 255,000 $ 167,000
Net Income per common share ..................... $ .08 $ .05
Primary Weighted avg ............................
shares outstanding ............... 3,323,025 3,486,158
<CAPTION>
BALANCE SHEET DATA March 31, 1999 December 31, 1998
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<S> <C> <C>
Working Capital ................................. $ 6,813,000 $ 7,349,000
Total Assets .................................... $10,911,000 $10,908,000
Total Liabilities ............................... $ 1,064,000 $ 897,000
Shareholders' Equity ............................ $ 9,847,000 $10,011,000
</TABLE>
Contact:
Avert, Inc.
Investor Relations
970/484-7722
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