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PCC GROUP REPORTS RECORD, REVENUES AND NET INCOME FOR FISCAL 1992

 BREA, Calif., Dec. 30 /PRNewswire/ -- PCC Group Inc. (NASDAQ: PCCG) a national distributor and manufacturer of personal computers, peripheral equipment and multimedia systems announced today a 46 percent increase in revenues for the fiscal year ended Sept. 30, 1992 to $ 91.8 million compared with 1991 fiscal year revenues of $ 63.0 million.
 Net income for fiscal 1992 also increased substantially, advancing 218 percent to $1.4 million, or $.53 per share, compared with net income for the same period last year of $441,000 or $.20 per share. For the fourth quarter ended Sept. 30, 1992 net sales increased 27 percent to $22.7 million, resulting in net income of $162,000 or $.07 per share. This compares with net sales for the fiscal year ended Sept. 30, 1991 of $18.0 million with net income of $1.3 million, or $.59 per share which reflects an extraordinary forgiveness of interest item on a $15 million note payable.
 Profit Margin Improvement Because of Product Shift
 Jack Wen, commenting on the results, said that, "Despite increased competitive pressures, PCC Group was able to increase its gross profit margins to 9.3 percent compared to 8.3 percent for the same period last year. We accomplished this by continued emphasis on a higher margin product mix, as well as stringent inventory management controls.
 "This philosophy also contributed to the improving trend in sales which was achieved in the face of extremely competitive pressures in the market place. We believe that the success in 1992 was due to our continued focus on high quality products, aggressive pricing and an efficient nationwide branch network system."
 Multimedia Venture Formed In 1992
 Wen continued, "One of the most important achievements during the year was the introduction of PCC Multimedia Products Inc., which manufactures and distributes multimedia hardware products. These products integrate computing with audio, text, graphics and animation or video technology to make computers more informative and entertaining. This is one of the fastest growing segments of the computer industry and we plan to develop a beachhead in this market. To date the company has introduced a variety of products in this marketplace including the multimedia add-on kits (sold under the MediaKit brand) and the external multimedia upgrade subsystem (sold under the MediaPak label)."
 Financial Stability Restored
 Wen noted that during the year the company was able to complete the conversion of the $15 million in subordinated debt to 250,000 shares of series A preferred stock. This allowed the company to achieve a positive net worth, which permitted the relisting of its shares on the NASDAQ stock market utilizing the symbol PCCG.
 The company's financial condition remained strong with virtually no long-term debt and working capital of approximately $1.7 million.
 Fiscal 1993 Targets Further Improvements
 Wen noted that fiscal 1993 appears to be a continuation of the trend established in 1992. A combination of increased market share in the micro computer hardware and software distribution sector, continued growth in the company's multimedia operations, and expansion of the company's nationwide customer base should augment PCCG's operations and profitability through the current fiscal year.
 PCC Group is a national distributor of microcomputer products. The company also assembles and markets: PC Craft and Prominent brand microcomputers; multimedia hardware products under the Media Resources brand; and IHS brand symmetrical multiprocessor platforms.
 PCC GROUP INC
 Summary Of Operations
 For The Period Ended Sept. 30
 In thousands except per share amounts
 Three Months Ended 12 Months Ended
 Sept. 30, Sept. 30,
 1992 1991 1992 1991
 Net sales $22,733 $17,975 $91,770 $63,044
 Cost of sales 20,215 17,077 83,244 57,835
 Gross profit 2,518 898 8,526 5,209
 Selling, general
 & administrative
 expenses 1,640 1,729 6,287 5,892
 Income (loss)
 from operations 878 (831) 2,239 (683)
 Other income
 & expenses (312) 902 (316) (92)
 Income (loss)
 before taxes 566 71 1,923 (775)
 Provision for taxes 404 --- 516 ---
 Income (loss) before
 extraordinary item 162 71 1,407 (775)
 Extraordinary item --- 1,226 --- 1,226
 Net income (loss) $162 $1,297 $1,407 $441
 Income (loss) per
 share:
 Income (loss)
 before extraordinary
 item $0.07 $0.03 $0.53 ($0.35)
 Extraordinary item --- 0.55 --- 0.55
 Total $0.07 $.58 $0.53 $0.20
 Average weighted
 number of
 common shares 2,187,375 2,209,542 2,187,375 2,209,542
 PCC GROUP INC.
 Balance Sheet Highlight
 12 Months Ended Sept. 30,
 (In thousands)
 1992 1991
 Cash and cash equivalents $2,049 $621
 Current Assets $13,426 $8,934
 Total Assets $14,532 $9,899
 Current Liabilities $11,755 $8,477
 Shareholders Equity
 (deficit) $2,413 ($13,994)
 Total Liability & Shareholders
 Equity (deficit) $14,532 $9,899
 To receive additional information on PCC Group by fax, call 800-PRO-INFO, ext. 074.
 -0- 12/30/92
 /CONTACT: Lauro Valdovinos, controller of PCC Group, 714-256-5000; or William F. Coffin of FRB Los Angeles, 818-783-2400, for PCC Group/
 (PCCG)


CO: PCC Group Inc. ST: California IN: CPR SU: ERN

BP-MS -- LA024 -- 0725 12/30/92 17:13 EST
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Date:Dec 30, 1992
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