IntelliHome Inc. Reports 16.9% Increase in Revenues for 2007

HOUSTON--(BUSINESS WIRE)--IntelliHome Inc. Inc. (OTCBB:IHME) (www.Intellihomeinc.com), a leader in the field of intelligent home solutions, today reported higher revenues for the full year ended December 31, 2007, reflecting continued investment in marketing and growth initiatives.

“2007 was a year of tremendous accomplishment and change for our company. We completed the process of bringing IntelliHome Inc. to the public market while enjoying revenue gains from each of our builder program, our recurring monitoring fees and our sale of monitoring contracts”

For 2007, total revenues rose 16.9%, to $887,003, over the prior year period total of $759,075.

The Company reported a net loss for 2007 of $224,957, or $0.01 per share, compared to a net loss of $250,309 during 2006, also $0.01 per share.

“2007 was a year of tremendous accomplishment and change for our company. We completed the process of bringing IntelliHome Inc. to the public market while enjoying revenue gains from each of our builder program, our recurring monitoring fees and our sale of monitoring contracts,” said Mark Trimble, CEO of IntelliHome, Inc. “We are grateful for the efforts of our team in moving the company forward, growing our revenue lines and strengthening relations in the builder market while simultaneously transitioning the company from a private company to a reporting public company.”

Regarding the downturn in the housing market, Mr. Trimble noted, “We continue to work closely with our builders to monitor the status of the local housing market and its potential impact on revenues from our builder program. We believe that the greater-Houston market, our principal operating market, weathered the credit market crisis better than many markets in 2007 and had no discernible adverse effect on our builder program in 2007. Nonetheless, given the uncertainty in credit and housing markets, we expect housing starts in the Houston market to be under pressure until some stability returns to the national credit and housing markets. Accordingly, the number of potential homes participating in our builder program is likely to be down during the first half of 2008. We expect that the effect of slowing of new home construction will be mitigated by the strength and reputation of the builders in our builder program, our strong relations with those builders, the general strength of the greater-Houston market and the fact that our projected growth can be supported by modest gains in market share without regard to the rate of growth in the overall housing market.”

Regarding IntelliHome Inc.’s security monitoring business, Mr. Trimble noted, “Our renewed focus on generating security monitoring contracts is expected to be unaffected by the current uncertainty in the housing markets. Historically, demand for security services has remained strong in times of economic uncertainty. We will continue to direct efforts and resources into growth of our security business with a view to rebuilding our market share and accelerating revenue growth in that line of our business. We believe our efforts in the security side of our business will serve us well in maintaining momentum in our business during the current uncertainty in the housing market.”

About IntelliHome Inc. Inc.

IntelliHome Inc. Inc., based in Katy Texas, provides a comprehensive range of products and services to homeowners, builders and commercial customers to facilitate the creation and operation of the modern “intelligent home” or “smart building”. IntelliHome Inc.’s products and services include home automation, monitored security systems, fire alarms, home theater systems, intercom systems, phone, central vacuum systems, whole house audio/video, computer networking and integrated structured cabling to facilitate state-of-the-art home and commercial technologies. Visit us on the web at http://www.intellihomeinc.com.

This release contains forward-looking statements based on the current plans and expectations of IntelliHome Inc. and its management. Such statements include, but are not limited to, the ability to grow IntelliHome Inc.’s market share and revenues, and the effects on revenues and profitability of conditions in the housing and credit markets. Those statements are subject to risks and uncertainties that may affect the operations, performance development and results of the Company's business, including but not limited to fluctuations in financial results, availability and customer acceptance of our products and services, the impact of competitive products, services and pricing, general market trends and conditions, and other risks, some of which are beyond the control of IntelliHome Inc.. These and other risks are described in IntelliHome Inc.’s reports filed with the Securities and Exchange Commission, all of which are available free of charge on the SEC’s web site at www.sec.gov.

INTELLIHOME, INC. STATEMENTS OF OPERATIONS
		Year Ended December 31,
		2007				2006
REVENUES:
Installation and monitoring revenues		$	887,003			$	759,075
EXPENSES:
Cost of monitoring and installation			381,416				340,812
Compensation and benefits			417,264				392,086
Truck expenses			76,539				77,795
General and administrative			221,837				172,112
TOTAL EXPENSES			1,097,056				982,805
LOSS FROM OPERATIONS			(210,053	)			(223,730	)
OTHER INCOME / EXPENSE
Interest income			377				66
Other income			8,237				926
Interest expense and finance charges			(23,518	)			(27,571	)
TOTAL OTHER EXPENSES			(14,904	)			(26,579	)
PROVISION FOR INCOME TAXES			-				-
NET LOSS			(224,957	)			(250,309	)
Preferred dividends accrued			(16,896	)			(5,936	)
NET LOSS AVAILABLE TO COMMON SHARES		$	(241,853	)		$	(256,245	)
Basic and diluted net loss per share		$	(0.01	)		$	(0.01	)
Basic and diluted weighted average shares			21,870,836				21,082,438