DirectView’s CEO Issues Midyear Corporate Update for Shareholders
NEW YORK, June 20, 2017 /PRNewswire/ —
Roger Ralston, CEO of DirectView Holdings, Inc. (OTCQB: DIRV) (“DirectView” or “the Company”), has issued the following letter to shareholders:
I am happy to issue this midyear letter in the midst of several exciting developments at the Company.
The most significant development, as was announced in late April, was the completion of the acquisition of Video Surveillance, LLC and ApexCCTV, LLC, two Texas-based video security and surveillance companies. These two companies, operated and solely owned by Mark D. Harris, achieved unaudited revenues in excess of $5.3 million in 2016. I am pleased with how quickly we have been able to integrate these businesses with our DirectView Security business and see sales at these two subsidiaries tracking significantly ahead of last year’s pace. In fact, I believe we are well on our way to reaching our goal of ending 2017 at a $7 million annual revenue run rate with our current operations.
As we continue to move forward with our strategy of acquiring businesses and Internet-based commerce sites in the security and cyber security fields, we believe the success of these acquisitions will serves as a model for the future. We are confident that through prudent acquisitions and organic growth we can generate significant shareholder value and build a world-class company in security and surveillance.
Looking toward the future, we will be focused on a number of key objectives to achieve success. I would like to comment on what I see as our 4 main objectives:
1) Building a World-class Team
The path toward success starts with having the right team in place, and part of the focus in our recent acquisition was putting that team in place. I could not be happier about the addition of Mark D. Harris to our management team. Mark, who now serves as President of our Apex CCTV and Virtual Surveillance subsidiaries, is a technology services veteran with a proven track record of building profitable revenue growth. He served for 19 years at Intervoice (formerly traded as NASDAQ: INTV). As Senior Vice President of Americas Operations and Global Services at Intervoice, he led a team, which was responsible for pioneering the execution of a new Enterprise Hosted Solutions business, to support advanced self service applications and intelligent transactions. Beginning in 2008, upon the acquisition of Intervoice by Convergys Corporation (CVG), he served as Senior Vice President of Global Technology Services at Convergys Corporation through 2014. Mark’s extensive experience in M&A integration, business development and strategic planning will be critical to our future success as we grow organically and through acquisition. In addition, the talented consulting team at Virtual Surveillance provides a significant complimentary resource for our DirectView Security subsidiary in sourcing large scale business opportunities throughout the country.
2) Expanding Our Existing Operations
Thanks to the dedication and hard work of our whole team, we have been able to integrate our new ApexCCTV And Virtual Surveillance subsidiaries under the DirectView umbrella in a very short period of time. This has enabled us to focus on expanding both of these operations to drive revenue growth. Our recent exclusive marketing campaign specific to four Samsung surveillance products through our www.ApexCCTV.com website is a great example of how we are already expanding our e-commerce business that currently offers more than 600 security and surveillance-related products. In the coming months we expect to run more exclusive offerings and offer a wider variety of top items to build our Internet brand as the destination for quality products at value pricing. We will also be significantly upgrading our web presence with a new functionality, look and feel to our websites designed to enhance the overall customer experience. At our Virtual Surveillance www.VS-US.com subsidiary, we are building on a business that has a nationwide footprint and significant national accounts. We have already accelerated our marketing efforts focusing on larger scale opportunities for full service security installations and we are excited by some of the sales opportunities in front of us. I look forward to reporting on our progress in this area in the coming quarters.
3) Growth Through Acquisition
As we have discussed in the past, our vision is to build a diversified security and surveillance company that serves as a destination for e-commerce and provides sophisticated customized security solutions for businesses of any size. We see a significant opportunity to acquire synergistic companies that will expand our presence geographically while increasing the depth of the products and services we offer to customers. We believe this industry, which is comprised of a significant number of small privately held companies, provides us with the opportunity to implement an aggressive but prudent roll-up strategy to create significant corporate value. Our strategic focus is on isolating businesses that will be accretive to our overall financial performance and we intend to apply a disciplined focus of structuring transactions based on EBITDA, our ability to integrate the business, and overall growth potential. In e-commerce, we will look to acquire businesses that will add additional customers and widen our product offerings in both business and home security. For customized solutions, we will focus on capabilities and customer base. We are evaluating opportunities on a consistent basis and we are confident in our ability to drive future business growth through this strategy.
4) Expanding Margins and Overall Financial Performance
Our first two acquisitions, when coupled with our current operations, provide us with a solid foundation to build for the future. With our revenue scaling upward, we have reached a certain level of critical mass to enable us to achieve better pricing through higher purchasing levels. We are working with our suppliers to create partnerships to sell security devices through our e-commerce business that will also help us lower the cost of our customized security solutions. We can also achieve additional savings through centralized management of numerous business functions. As we layer on additional companies this will only increase our leverage and enhance our bottom line results.
In conclusion, we are very excited about the transformation of our company over these first six months of 2017 and we remain focused on driving consistent growth throughout the remainder of this year and in the years to come. We have a strong team in place as well as an expanding sales and distribution network. Our platform can represent a significant value opportunity for the businesses we will seek to acquire and we are committed to being disciplined in our acquisition approach. We have improved our capital structure and are continuing to work on creating lasting value for our shareholders by building a solid revenue base as a foundation for future growth.
As our company grows and meets its objectives, we will remain committed to communicating word of our progress to all of our stakeholders. I once again thank you for being a supporter of DirectView Holdings, Inc., and hope you find this update and transparency into the Company valuable.
Roger H. Ralston
Chief Executive Officer
About DirectView Holdings, Inc.
DirectView Holdings, Inc., (DIRV) together with its subsidiaries, provides video surveillance solutions and teleconferencing products and services to businesses and organizations. The company operates in two divisions, Security (Video Surveillance) and Video Conferencing. The Security division offers technologies in surveillance systems providing onsite and remote video and audio surveillance, digital video recording, and services. It also sells and installs surveillance systems; and sells maintenance agreements. The company sells its products and services in the United States and internationally through direct sales force, referrals, and its websites. The Video Conferencing division offers teleconferencing products and services that enable clients to conduct remote meetings by linking participants in geographically dispersed locations. It is involved in the sale of conferencing services based upon usage, the sale and installation of video equipment, and the sale of maintenance agreements. This division primarily provides conferencing products and services to numerous organizations ranging from law firms, banks, high-tech companies and government organizations. For more information visit our websites at http://www.DirectView.com, www.ApexCCTV.com, www.VS-US.com and connect with us on Twitter, LinkedIn, Facebook, and Google+.
Cautionary Statement Regarding Forward Looking Statements
Forward Looking Statements: This press release contains forward-looking statements that involve a number of risks and uncertainties, including statements regarding the outlook of the Company’s business and results of operations. By nature, these risks and uncertainties could cause actual results to differ materially from those indicated. Generally speaking, any statements using terms such as “will,” “expect,” “anticipate,” or “may,” or which otherwise predict or address future results or events, are likely to contain forward-looking statements. It is important to note that actual results may differ materially from what is indicated in any forward-looking statement. Readers should consider any forward-looking statements in light of factors that could cause actual results to vary. These factors are described in our filings with the SEC, and readers should refer to those filings, including Risk Factors described in those filings, in connection with any forward-looking statements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The Company is unable to make any assurances that it will receive financing, or if financing is available, that such financing will be on terms acceptable to the Company.
DirectView Holdings, Inc.
Roger H. Ralston
+1-212-858-9100 EXT. 111
SOURCE DirectView Holdings, Inc.