Park City Group Announces Third Quarter and Nine Months Ended 2008 Fiscal Financial Results

Business Wire, May 14, 2008

Revenues Increase 131% and Financial Metrics Improve Considerably

PARK CITY, Utah -- Park City Group, Inc. (OTCBB:PCYG) today announced its financial results for the third quarter and nine-month period ended March 31, 2008.

For the third quarter of fiscal 2008 the Company reported revenues increased 131 percent to $1,149,521 as compared with $498,149 for the same period last year. When income from patent activities (which cannot be included in GAAP "Revenue") is added, total revenue & income was $1,549,521, a 211% increase compared with the third quarter of fiscal 2007.

This resulted in a net loss applicable to common shareholders of ($286,610), or ($0.03) loss per share, as compared with ($912,173), or ($0.10) loss per share, in the same period last year. The adjusted EBITDA loss for the quarter improved 93 percent to ($58,455) from ($869,386) in the third quarter of 2007.

For the nine months ended March 31, 2008 revenues increased 52 percent to $2,498,282, as compared with $1,644,731 for the nine-month period last year. Income for the nine months ended fiscal 2008 including income from patent activities was $3,098,282, an 88 percent increase compared with the same nine months ended in fiscal 2007.

This resulted in a net loss applicable to common shareholders of ($2,462,529), or ($0.27) per share, as compared with ($2,193,394), or ($0.25) per share, in the same period last year. The adjusted EBITDA loss for the nine months ended March 31, 2008 compared with the same period in fiscal 2007 improved 10 percent to ($1,876,759) from ($2,078,327).

The increased revenue for the quarter and the nine month period were due to considerable increases in Subscription and License revenues.

Commenting on the Company's results, Park City Group's Chairman and CEO, Randall K. Fields said, "We are very pleased to note that our subscription revenue from top-tier retailers and suppliers is increasing and are confident that this trend will continue throughout the balance of this year and going forward. While the transition to a recurring revenue stream has not been without its' challenges, we are now embarking on a new era of increasingly predictable financial results. As retailers and manufacturers experience greater challenges in retaining their best customers, interest in our Supply Chain Profit Link (SCPL) program strengthens in both sectors."

The Company will conduct a conference call on Wednesday, May 14 at 4:30 p.m. ET to discuss the results. The conference call may be accessed by dialing 877-407-0782 toll-free in the U.S. or Internationally at 201-689-8567. The call may also be accessed via the Internet at: http://www.investorcalendar.com/IC/CEPage.asp?ID=129761

For those unable to access the live event, the webcast and conference call will be archived after its completion and will remain available through July 14, 2008 by dialing 877-660-6853 (domestic) or 201-612-7415 (international) and entering account number 286 and access code 285302.

Additionally, Investors can continue to track the Company's progress by reviewing the monthly SCPL updates on the investor pages of the Park City Group website at www.parkcitygroup.com

About Park City Group

Park City Group, Inc. develops and markets patented computer software and consulting services that help its retail customers to increase sales while reducing inventory and labor costs -- the two largest, controllable expenses in the retail industry. The technology has its genesis in the operations of Mrs. Fields Cookies, co-founded by Randy Fields, chief executive officer of Park City Group. Industry-leading customers such as The Home Depot, Victoria's Secret, The Limited, Anheuser Busch Entertainment and Tesco Lotus benefit from Park City Group software. To find out more about Park City Group, please visit www.parkcitygroup.com.

Statements in this news release that relate to Park City Group's future plans, objectives, expectations, performance, events and the like are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and the Securities Exchange Act of 1934. Future events, risks and uncertainties, individually or in the aggregate, could cause actual results to differ materially from those expressed or implied in these statements. Those factors could include changes in economic conditions that may change demand for the Company's products and services and other factors discussed in the "forward-looking information" section and the "risk factor" section of the management's discussion and analysis included in the Company's report on Form 10-K for the year ended June 30, 2007 and in any risk factors or cautionary statements contained in the Company's periodic reports on Form 10-Q or current reports on Form 8-K filed with the Securities and Exchange Commission. This presentation is comprised of interrelated information that must be interpreted in the context of all of the information provided and care should be exercised not to consider portions of this release out of context. Park City Group uses paid services of investor relations organizations to promote the Company to the investment community. Investments in any company should be considered speculative and prior to acquisition, should be thoroughly researched. Park City Group does not intend to update these forward-looking statements prior to announcement of quarterly or annual results.