Exhibit 99.1

 

Company Contact:

Bill Willett

Programmer's Paradise (R), Inc.

Chairman and Chief Executive Officer

(732)-389-8950

bill.willett@programmers.com

PROGRAMMER'S PARADISE (R), INC. REPORTS 2003 THIRD QUARTER
FINANCIAL RESULTS

NET SALES INCREASE 16%
EARNINGS PER SHARE OF $.09

SHREWSBURY, NJ, October 30, 2003 - Programmer's Paradise (R), Inc. (NASDAQ: PROG) today reported financial results for the third quarter ended September 30, 2003. The results will be discussed in a conference call to be held on Friday, October 31, 2003 at 10:00 AM Eastern time. The dial-in telephone number is (952) 556-2869 and the pass code is "PROG".

Revenue for the quarter ended September 30, 2003 was $18.4 million compared with $15.8 million for the quarter ended September 30, 2002. The 16% increase in year-over-year sales reflects the improved productivity of our account executive team. In addition sales increased 14% over the immediately preceding quarter.

Bill Willett, Chairman and Chief Executive Officer, stated, "This increase in sales and our continued focus on expense control has resulted in another profitable quarter for our Company."

Earnings for the quarter were $.3 million or $.09 per share.

Programmer's Paradise, Inc. is a marketer of technical software and hardware for microcomputers, servers and networks in the United States and Canada. Programmer's Paradise offers a wide variety of technical and general business application software, PC hardware and components from a broad range of publishers and manufacturers. Additional information can be found by visiting www.programmersparadise.com.

Contact Programmer's Paradise, Inc. via Bill Willett, CEO of Programmer's Paradise, Inc. at (732) 389-8950 or bill.willett@programmers.com.

The statements in this release concerning the Company's future prospects are forward-looking statements that involve certain risks and uncertainties. Such risks and uncertainties include the continued acceptance of the Company's distribution channel by vendors and customers, the timely availability and acceptance of new products, and contribution of key vendor relationships and support programs.

- Tables Follow -

 

PROGRAMMER'S PARADISE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
 

September 30,
2003
(Unaudited)

December 31,
2002
(Audited)

ASSETS

Current assets

    

Cash and cash equivalents

$      5,263

$     6,072

Marketable Securities

6,436

5,110

Accounts receivable, net

6,420

6,342

Inventory - finished goods

762

1,151

Prepaid expenses and other current assets

         348

        264

Total current assets

19,229

18,939
     

Equipment and leasehold improvements, net

324

460

Other assets

          55

         69

Total assets

$19,608
======

$19,468
======
     

LIABILITIES AND STOCKHOLDERS' EQUITY
     

Current liabilities

    

Accounts payable and accrued expenses

$  8,194

$  7,772

Dividend payable

       369

           - -

Total current liabilities

8,563

7,772
     

Commitments and contingencies

    
     

Stockholders' equity

    

Common stock, $.01 par value; authorized, 10,000,000 shares; issued 5,257,750 shares and 5,230,250 shares, respectively

53

52

Additional paid-in capital

34,416

35,484

Treasury stock, at cost, 1,561,970 shares and 1,389,576 shares, respectively

(4,561)

(4,184)

Accumulated deficit

(18,934)

(19,511)

Accumulated other comprehensive income (loss)

          71

       (145)

Total stockholders' equity

   11,045

    11,696

Total liabilities and stockholders' equity

$ 19,608
======

$  19,468
=======
     

PROGRAMMER'S PARADISE, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(Unaudited)
(In thousands, except per share data)
 

Nine months ended
September 30,

Three months ended
September 30,
 

2003

2002

2003

2002
         

Net sales

$  49,604

$  50,271

$  18,355

$  15,798

Cost of sales

    43,199

   43,735

   16,061

   13,782

Gross profit

6,405

6,536

2,294

2,016

Selling, general and administrative expenses

5,940

6,453

2,001

2,087

Litigation settlement

              - -

       348

           - -

       348

Income (loss) from operations

465

(265)

293

(419)

Realized gain on sale of available-for-sale securities

-

141

-

141

Interest income, net

93

195

43

66

Foreign exchange gain (loss)

          71

        (9)

       (9)

        (2)

Income (loss) before income taxes

629

62

327

(214)

Provision (benefit) for income taxes

          52

   (257)

       (6)

        (4)

Net income (loss)

$    577
======

$  319
=====

$  333
=====

$ (210)
=====
         

Net income (loss) per common share - Basic

$   0.16
======

$ 0.07
=====

$  0.09
=====

$ (0.05)
=====

Net income (loss) per common share - Diluted

$   0.15
======

$ 0.07
=====

$  0.09
=====

$ (0.05)
=====
         

Weighted average number of common shares outstanding

        
         

Basic

3,722
======

4,639
=====

3,694
=====

4,213
=====

Diluted

3,816
======

4,654
=====

3,788
=====

4,213
=====
         

Reconciliation of net income (loss) to comprehensive income (loss):

        

Net income (loss)

$    577

$    319

$    333

$    (210)

Other comprehensive income, net of tax:

        

Reclassification adjustment for gain realized on sale of available-for-sale securities

-

(78)

  

(78)

Unrealized gain on available-for-sale securities

16

173

2

73

Foreign currency translation adjustments

      200

     347

    (10)

      (47)

Total comprehensive income (loss)

$   793
=====

$   761
=====

$   325
=====

$   (262)
======