October 28, 2009 – (HOSTSEARCH.COM) – The Planet
, the global leader in IT hosting, today discussed its results for the quarter ended Sept. 30, 2009. The Planet provides quarterly updates to its customers, business partners and prospects with information relative to new initiatives and its progress.
“We continue to experience the largest growth from our existing customer install base and from our complex infrastructure solutions, which has been a common theme throughout the year,” said Chairman and Chief Executive Officer Douglas J. Erwin. “Our performance this quarter provides cautious optimism about an emerging economic turn-around, with indicators moving in the right direction. Our business experienced an upturn with new, more complex transactions and a healthier, more robust pipeline of opportunities than we’ve seen during the past three years.
“Our focus on the basics, including customer care, operational excellence across the board, and financial controls, places us in a strong competitive position. We’re expanding our product portfolio, based on customer feedback, and will announce several new services over the next six months. The channel expansion we announced this quarter should begin to pay dividends, and customer satisfaction, which we believe is a key indicator, has never been higher.”
“We ended the third quarter with continued strong EBITDA performance in the 30%+ range, and we had another solid cash flow quarter,” said Chief Financial Officer Kevin Klausmeyer. “We continued to pay down our debt, and have reached substantial borrowing capacity in the event we were to choose to be opportunistic in the marketplace.”
Second Quarter Highlights
Complex Infrastructure Growth: The company’s complex infrastructure solutions, which include virtual and private racks, experienced double-digit increases quarter-over-quarter, making them the fastest-growing products in the portfolio.
New Partner Plus Channel Program: The company introduced its new Partner Plus Program, which provides significant extensions to an already-strong partner program. It includes three specific partner models designed to fit the business requirements of customers, with industry-leading commission rates up to 20 percent for companies that introduce their customers to The Planet’s products and services.
Company Taps CAPSTAR Commercial for Colocation Leasing: The company appointed CAPSTAR Commercial Real Estate Services to lease its fifth and newest data center in the Dallas Metroplex. The 106,000-square-foot facility provides environmentally friendly white-floor space that is complete and ready for leasing.
ContentActive Video: The company featured a new video with Houston-based ContentActive (http://www.contentactive.com). ContentActive develops an extensive array of Web site and communications solutions for its clients to support their online businesses. The company’s portfolio includes content management, mobile solutions, document management, hosting, and search engine marketing and optimization.
ITEI Survey Results: More than one-in-four respondents of the IT Effectiveness Index (ITEI) received a “D” or “F” grade, according to results from the new online survey, while another 37 percent of small businesses scored only a “C” grade. Spearheaded by The Planet in cooperation with other companies that have a core interest in the SMB market, the survey provides insight and counsel for improving business processes and IT effectiveness. Members of the consortium include HostSearch (https://www.hostsearch.com); Kennesaw State University (http://www.kennesaw.edu); Microsoft (http://www.microsoft.com); SmallBizTechnology.com (http://smallbiztechnology.com); Small Business Trends (http://smallbiztrends.com); SMB Nation (http://www. smbnation.com); and Yankee Group (http://www.yankeegroup.com).
Microsoft BizSpark: The company announced its membership in the Microsoft BizSpark Program, which allows The Planet to provide early-stage startups with free Microsoft software that would otherwise be unaffordable for these organizations. As a Microsoft Gold Certified Partner, The Planet offers the program to qualified companies through its status as an official Network Partner and Hosting Provider.
Microsoft Worldwide Partner Conference: For the second year, the company participated in the Microsoft Worldwide Partner Conference as a bronze-level conference sponsor. The Planet showcased its hosting partner and IT infrastructure solutions at the show, with a second point of presence at the Microsoft Software-Plus-Services Pavilion.
About The Planet
The Planet is the leading provider of On Demand IT Infrastructure solutions, hosting more than 20,000 small- and medium-size businesses and 18.5 million Web sites worldwide. Customers have the power to choose from the broadest range of hosting solutions in the industry, from dedicated servers, Managed Dedicated Servers, Northstar Managed Hosting and data center colocation, all backed by 24x7x365 support. With the best choice of servers, software tools and world-class service, backed by state-of-the-art data centers and an enterprise-class network, The Planet turns IT into a powerful competitive advantage that enables customers to grow their businesses.