SilverSun Technologies, Inc. (SSNT) stock prices surged by a massive 24.26% as of the market closing on June 22nd, 2021, bringing the price per share up to USD$10.50 at the end of the trading day. Subsequent pre-market fluctuations have seen the stock dip marginally by 2.19%, bringing it down to USD$10.73.
Implementing Dividend
The national provider of game-changing business technology solutions announced on June 22nd, 2021 that its Board of Directors had declared the commencement of a special cash dividend on the company’s common stock. The dividend to be paid out has been set at USD$0.60 per share of the company’s common stock, with a record date of July 9th, 2021, and a payment date of July 16th, 2021.
Sharing Profits
As the company continues the successful implementation of their business plan, it concluded that a special cash dividend was a suitable way to reward the company’s shareholders for their continued investments and support. As the company makes more money, it plans on sharing the fruits of its labor with investors. Business conditions such as the company’s cash requirements will drive the future payment of dividends. As the company’s financial performance varies over time, the Board of Directors will accordingly adjust any future dividend payout levels.
Financial Reports
Total revenues for the quarter ended March 31st, 2021 were reported at USD$10,879,468, up 7.9% from the total revenue reported for the prior year quarter. Software sales exhibited a 13.3% improvement, up to USD$2,004,011 for the 2021 quarter, while services revenues were up 6.8% year-over-year to hit USD$8,875,457. Gross profit came in at USD$4,746,537 in Q1 2021, up 23.2% from the USD$3,852,210 reported in the first quarter of fiscal 2020.
Net Income & Liquidity Position
Net income for Q1 2021 came in at USD$354,679, representing a net income of USD$0.07 per basic and diluted share. This is a significant improvement on the USD$292,1155 reported in net loss for the year-ago quarter, representing a net loss of USD$0.06 per basic and diluted share. The company reported a strong liquidity position as of March 31st, 2021, with USD$9,356,136 in cash, USD$1,904,057 in accounts receivable, long term debt of USD$725,416, and total stockholders’ equity of USD$11,688,772.
Future Outlook for SSNT
Armed with a solid liquidity position, SSNT is poised to capitalize on the momentum generated from its announcement of dividends on shares of its common stock. The company is keen to continue its trajectory of success with the opportunities afforded to it from its recent surge in equity value. Current and potential investors are hopeful that management will continue to leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.
