LeadGenesys Expands into San Francisco on Record Results for Fiscal Year 2005

Fourth Quarter Sets Records for New Customers, Revenue, and Profit.

( SAN FRANCISCO, CALIFORNIA – Jan 31, 2006 ) – Continuing its string of record results, LeadGenesys (www.leadgenesys.com), the innovative provider of an automated lead cultivation platform, today announced record revenue, profit, and new customer results for its fiscal fourth quarter and year ending December, 2005.

Its eighth consecutive quarter of profitability, LeadGenesys' fourth quarter for fiscal 2005 was the largest in its history for both revenues and profits, achieving the company's FY'05 objectives for growth and profitability. Driven by a record number of new customers, sales for the quarter grew nearly 60% year over year. EBITDA profits on operations grew over 40% relative to the prior quarter. Overall, the results produced a third consecutive year of positive cash flow.

New product growth added significantly to the bottom line as new customers for the LeadGenesys Platform grew by more than 100% and its sales were up by over 150% from the prior quarter. "With adoption of the LeadGenesys Channel Management Module, client renewals, and the addition of a record number of new customers, fiscal 2005 has been an exciting and rewarding year. As more agencies leverage the Platform's real-time metrics to become stickier to their clients, moving headquarters to the heart of San Francisco's financial district was a logical choice.

"With more marketing dollars being spent on search, online and direct marketing, companies continue to see a greater need for auto-cultivating the 9 out of 10 leads typically discarded early in the B2B sales cycle,” said Jeff Kostermans, President and CEO of LeadGenesys. “In response to this continuing trend we'll be adding regional directors over the coming months. Growing productive partnerships with our agencies and clients requires a dedication to superior service – especially in times of dramatic growth. The regional directors' expertise in sales and marketing effectiveness will be an important facet of this key differentiator for LeadGenesys.

About LeadGenesys:

LeadGenesys optimizes the top of the B2B sales funnel where 9 out of 10 leads are typically discarded. The web-based solution complements SFA/CRM systems with automated and rules-based lead cultivation. Companies including AMD, Fairchild Semiconductor, Computer Associates, Mercury, Anritsu, Zebra Technologies shorten sales cycles with custom lead scoring, rules-based triggers, notifications, and finally filtered dissemination of qualified leads into the SFA/CRM system. Marketing ROI is continuously enhanced via real-time metrics on lead quality and unique insight into lead cultivation productivity. Best practices are blended with systematic lead cultivation and applied to each client's lead management scenario to boost sales efficiency, data accuracy, and truly accountable revenue.