Sunair Announces Fourth Quarter and Year End Results

FORT LAUDERDALE, Fla. — Sunair Services Corporation SNR announced the results for the fiscal year and quarter ended September 30, 2005.

Sunair Services Corporation today announced revenue of $13,713,936 for the quarter ended September 30, 2005, a 248.6% increase over revenue of $3,934,232 for the same period in the prior year. Net income (loss) for the quarter was $(369,101), compared to $222,907 reported in the previous year. Primary earnings (loss) per share for the quarter were $(0.04), compared to $0.06 for the same period last year. The Company's earnings in the fourth quarter decreased primarily due to a net operating loss incurred by Telecom FM, a wholly-owned subsidiary of Sunair, and fees incurred based on the purchase agreement entered into with Royal Palm Capital Partners in February 2005.

The company also announced revenue of $31,451,770 for the fiscal year ended September 30, 2005, a 218.2% increase over the $9,885,375 reported last year. Net income for fiscal year 2005 was $595,552 and primary earnings per share were $0.08. For the previous year, net income and primary earnings per share were $1,130,220 and $0.30.

Customer backlog at September 30, 2005 was $4,542,000 as compared to $7,208,000 at September 30, 2004.