Cyberplex Announces Third Quarter Financial Results for 2006


TORONTO, November 13, 2006 - Cyberplex Inc. (TSX:CX) today announced financial results for its third quarter ended September 30, 2006.

Revenue for the three month period ended September 30, 2006 was $1.24 million, down slightly from the $1.29 million generated in the previous quarter and lower than the $1.51 million recorded during the same period a year ago.  The loss before amortization and interest income for the quarter was $114,000 compared to a $54,000 operating loss recorded in the previous quarter and the $335,000 operating loss generated during the same period a year earlier. 

Gross margin for the quarter was 51%, up from the 50% recorded in the previous quarter, and higher than the 46% recorded during the same period a year ago.  The Company’s top five clients accounted for approximately 66% of the quarterly revenue with 20% of the revenue derived from clients in the United States.  The company finished the quarter with cash and cash equivalents of $8.15 million compared to $5.21 million at September 30, 2005.

As previously announced, the Company has successfully negotiated a termination agreement for its current leased facility in Toronto.  This termination resulted in a reduction to its long-term commitments of approximately $13.5 million.  As a result of the termination agreement, Cyberplex will move to a new location in December 2006 and has agreed to pay the landlord a one-time charge of $1.27 million.  The Company does not expect this one-time charge to have any impact on its profit and loss statement as a provision for the leased facility had been accounted for in the past.


About Cyberplex

Cyberplex Inc. (www.cyberplex.com) is a specialized team of management and technology consultants who are dedicated to helping clients enhance, automate and manage technology solutions that improve business processes.

With over 12 years of experience serving Fortune 1000 clients including Thomson, Atlantic Lottery Corporation, Advanced Micro Devices (AMD), Scotiabank, SunTrust Banks and the Royal Bank of Canada, Cyberplex is frequently the firm of choice for business leaders looking for reliable solutions.  Cyberplex serves clients across Canada and the US, and is headquartered in Toronto, Canada with offices in Arlington, Chicago and Halifax.

This news release may contain certain forward-looking statements that reflect the current views and/or expectations of Cyberplex Inc. with respect to its performance, business and future events. Such statements are subject to a number of risks, uncertainties and assumptions. Actual results and events may vary significantly.