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PRESS RELEASE 11.15.05
ZUNICOM ANNOUNCES THIRD QUARTER RESULTS

Revenues Increase by 23%
Net Income Attributable To Stockholders Of $0.17 Basic Earnings Per Share
And $0.15 Diluted Earnings Per Share

CARROLL T ON, T X – (BUSINESS NEWSWIRE) – November 15, 2005 – Zunicom, Inc. (O T CBB:ZNCM), parent company to Universal Power Group, Inc. and AlphaNet Hospitality Systems, Inc., today announced its financial results for the three and nine-month periods, ended September 30, 2005.

Financial highlights for the Three-Month Period Ended September 30, 2005 Compared to Three-Month Period Ended September 30, 2004:

  • Consolidated revenues increased 21% to $22,567,876 from $18,676,338;
  • Consolidated net income attributable to common stockholders was $747,008 or $0.09 basic earnings per share, and $0.07 diluted earnings per share, compared to net income attributable to common stockholders of $170,552 or $0.02 basic and diluted earnings per share;
  • Revenue contribution from Universal Power Group was $22,111,952, a 22% increase over $18,196,556; The increase is attributable to increased sales of battery, battery related and battery powered products from diversification into new products, and increased revenues from third party logistics services; and
  • AlphaNet’s revenues decreased 5% to $455,924 from $479,782. The decrease is attributable to the continued decline in usage of the InnFax product due to changing consumer preferences which is partially offset by usage and new installations of “The Office” product.

Financial highlights for the Nine-Month Period Ended September 30, 2005 Compared to Nine-Month Period Ended September 30, 2004:

  • Consolidated revenues increased 23% to $61,352,190 from $49,986,300 ;
  • Consolidated net income attributable to common stockholders was $ 1,453,782 or $0.17 basic earnings per share and $0.15 diluted earnings per share, compared to net loss attributable to common stockholders of $590,299, or $0.07 basic and diluted loss per share;
  • Universal Power Group’s revenues increased 24% to $59,960,761 from $48,440,121; The increase is attributable to increased revenues sales of battery, battery related and battery powered products from diversification into new products, and increased revenues from third party logistics services; and
  • AlphaNet’s revenues decreased 10% to $1,391,429 from $1,546,179; The decrease was and is offset by increased revenues from increase in new installations of The Office product for the nine month period ending September 30, 2005 compared to installations for the similar period in 2004.

As of September 30, 2005 , Zunicom had approximately $10.2 million in cash and net accounts receivable and stockholders’ equity of approximately $6.8 million.

Ian Edmonds , Executive Vice Pre sid ent of Zunicom, noted, “We are pleased that Universal continues to enjoy steady growth, and we intend to continue to enhance our third party logistics capabilities and build upon Universal’s expertise in this arena.”

Universal’s Pre sid ent & CEO, Randy Hardin added, “Universal’s sales and marketing efforts in launching its diversified product lines such as 12-volt automotive accessories, battery chargers and security products, have contributed to Universal’s revenue increase. I was especially pleased with the reception of our automotive accessory line at the Automotive Aftermarket Products Expo (AAPEX) in Las Vegas . We will aggressively pursue these markets and other large retailers with our growing product lines. Additionally, we intend to further expand our distribution channels, both domestically and globally.”

Edmonds continued, “On the AlphaNet front, we have significantly increased The Office unattended business center installations this year, compared to the 9 month period last year. As Hilton’s preferred vendor and in conjunction with Hilton’s directive to all its Hilton-branded properties to have business centers, AlphaNet continues to install The Office at these properties. New installations include other prestigious hotel installations such as The Waldorf Astoria, which are quickly offsetting the decline in Innfax revenues.”

Concluding, Edmonds stated, “The management teams of Zunicom, Universal and AlphaNet are focused on increasing shareholder value by protecting existing revenue-generators, while continuing to diversify and drive enhanced profitability through sales and marketing of higher-margin products, and expanding channels of distribution.”

About Zunicom, Inc.

Headquartered in Carrollton , T exas , Zunicom ( www.zunicom.com) manages two wholly owned sub sid iaries, Universal Power Group, Inc. and AlphaNet Hospitality Systems, Inc. T he Zunicom Group of Companies currently has approximately 70 employees.

Zunicom's operations through Universal Power Group ( www.universalpowergroup.com) encompass the importation, sale and distribution of portable power and related portable-powered products packaged with third- party fulfillment, procurement and logistics support services to multiple industries including medical, security, mobility, consumer, industrial and more. Universal is one of the leading distributors of sealed lead acid batteries in the nation, and Universal's products are sold to original equipment manufacturers (OEMs) and distributors for use in the manufacture and sale of high-technology products such as computers, medical instrumentation, uninterruptible power supply systems and security equipment. Universal also provides value-added custom battery pack assembly and custom kitting services. Some of Universal's customers include Brink’s Home Security, Home Depot Supply, Radio Shack, The Scooter Store, Cabela’s, Academy and Pride Mobility.

Zunicom's operations through AlphaNet ( www.alphanet.net) consist of the sale of business communication, productivity, connectivity and wireless internet solutions to the hospitality industry through licensing agreements. AlphaNet's product offerings include T he InnRoom Business Center™, a private in-room facsimile and printing service, and T he Office™, a 24-hour unattended self-serve credit card activated hotel business center providing hotel guests with 24-hour convenient access to various business office services. Laptop Connect™ allows hotel guests the ability to connect their laptops to high-speed internet access points located within the hotel by connecting a supplied cable. Laptop Connect™also offers a hotspot for users wishing to access the internet through the wireless network feature on their laptop. Similarly, AlphaNet's WaveLan™ solution essentially enables hotels to provide their guests with public area wireless internet access in any number of locations including lobbies, meeting rooms, lounges, bars and restaurants.

DOWNLOAD THIRD QUARTER RESULTS FOR 2005 (WITH FINANCIAL CHARTS)

FOR MORE INFORMATION, PLEASE CONTACT :

ZUNICOM, INC.
Mimi Tan
469.892.1200
mtan@zunicom.com