Tucows Reports Continued Strong Results

August 13, 2004 - (HostReview.com) - Tucows Inc. (OTC Bulletin Board: TCOW - News) today reported its results for the second quarter of fiscal 2004 ended June 30, 2004.

"Our strong results for the second quarter are indicative of the ability of our business model to consistently deliver strong financial performance over the long term," said Elliot Noss, President and CEO, Tucows Inc. "This is our eleventh consecutive quarter of positive cash flow from operations and our eighth consecutive quarter of profitability."

Net revenue for the second quarter of fiscal 2004 increased 16% to a record $10.6 million from $9.2 million for the second quarter of fiscal 2003, the result of a higher number of domain name transactions, as well as higher revenue from services other than domain name registrations. Income from operations for the second quarter was $623,000, which included a net gain of $110,000 from foreign exchange forward contracts, compared to a loss from operations for the corresponding quarter last year of $88,000, which included a net gain of $337,000 from foreign exchange forward contracts. Net income for the quarter was $666,000, or $0.01 per share, compared to $578,000, or $0.01 per share, for the second quarter last year.

Tucows will host a conference call on Thursday, August 12, 2004, at 5:00 p.m. (ET) to discuss the company's second quarter fiscal 2004 results. To access the conference call via the Internet go to http://www.tucowsinc.com, and click on "Investor Relations".
Tucows Inc. is a leading provider of wholesale Internet services and back office solutions to a global network of more than 6,000 web hosting companies, ISPs and other service providers.