ARI Reports Record Revenues and Bottom Line Performance for Fiscal 1998.MILWAUKEE--(BUSINESS WIRE)--Sept. 17, 1998-- Achieves First-Ever Positive Cash Flow from Operations Cash flow from operations A firm's net cash inflow resulting directly from its regular operations (disregarding extraordinary items such as the sale of fixed assets or transaction costs associated with issuing securities), calculated as the sum of net income plus noncash expenses in Q4 ARI ARI Acute respiratory infection, see there Network Services, Inc. (NASDAQ/NMS:ARIS ARIS American Religious Identification Survey ARIS Architecture of Integrated Information Systems ARIS Active Rack Isolation System ARIS Aggregate Route-based IP Switching ARIS Agentia Romana pentru Investitii Straine ), a leading provider of Internet-enabled electronic commerce services for distribution channels, today reported record revenues of $7.96 million for fiscal 1998, compared to $6.91 million in the previous fiscal year. ARI's net loss was reduced to $2.14 million or $0.52 per share in fiscal 1998 from $3.28 million or $0.89 per share in the previous fiscal year. This represents a 35% reduction in net loss on a 15% improvement in revenues for the fiscal year ended July July: see month. 31, 1998. The Company has produced seven straight quarters of year-over-year bottom line improvement and ten consecutive quarters of year-over-year revenue growth. During the fourth quarter of fiscal 1998, the company achieved a positive cash flow from operations (net of changes in working capital) for the first time in its history. "We're we're Contraction of we are. we're we are very pleased with our sustained year-over-year quarterly improvements and with our fiscal 1998 results as well," commented Brian The name Brian (sometimes spelled Bryan) comes from an Irish backround. It is of Celtic origin and its meaning may be "hill" or "strong, noble, and high"[1]. E. Dearing Dearing, as a name, may refer to:
Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. growth. In line with previous projections, we achieved cash break-even from operations (net of changes in working capital) during the fourth quarter of fiscal 1998. This is a significant milestone “Milemarker” redirects here. For the American indie rock band, see Milemarker (band). A milestone or kilometre sign is one of a series of numbered markers placed along a road at regular intervals, typically at the side of the road or in a median. for ARI as we work toward our goal of positive earnings." Dearing attributed the improved revenues to continued acceptance of the firm's software and services in the Equipment Industry, particularly the Recreational Vehicle segment. The revenue growth was largely due to increased sales of ARI's dealer communications and electronic cataloging products including TradeRoute(TM), EMPARTpublisher(TM), EMPARTviewer(TM) and PLUS1(R). "These products were particularly strong in the latter half of the year as our dealer communications and electronic cataloging products gained momentum in the RV business," Dearing said. In the final quarter of fiscal 1998, ARI earned $0.22 million or $0.05 per share, compared with a net loss of $0.29 million or $0.08 per share in the fourth quarter of the previous fiscal year. Fourth quarter revenues of $2.45 million were up 32% from revenues of $1.86 million in the fourth quarter of the previous fiscal year. Dearing cautioned that while the fourth quarter profit represents the first quarterly profit in the firm's history, the fourth quarter is typically the highest revenue quarter for the Company. "Due to the historical seasonality of our business, investors should look at the most recent four quarters to obtain a more accurate view of the Company's performance," he explained. "Nonetheless, achieving the first profitable quarter in the history of the Company is a significant milestone. It is a strong indication that we are on our way to sustained profitability." Dearing said he believes the firm is positioned for further growth both internally and through acquisitions, and that steady progress toward sustained profitability would continue. "We anticipate significant future growth from our ARI products and from the products of POWERCOM-2000, an acquisition we completed earlier this week," Dearing said. "We expect to remain cash positive from operations (net of working capital changes) throughout fiscal 1999. We continue to expect that we will again show a profit in the fourth quarter of fiscal 1999 and remain profitable thereafter." ARI completed the acquisition of POWERCOM-2000, Inc., a Colorado Springs, Colorado The City of Colorado Springs is the second most populous city (after Denver) in the state of Colorado and the 48th most populous city in the United States.[4] The city is the county seat of El Paso County. , producer of electronic commerce software and services for the Outdoor Power, Power Tool and Power Sports Industries, on September September: see month. 15. POWERCOM-2000 is not included in ARI's fiscal 1998 results. ARI Network Services, Inc., is a provider of standards-based, Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the enabled electronic commerce services for commercial communities and their distribution channels or business partners. ARI currently serves the agribusiness agribusiness Agriculture operated by business; specifically, that part of a modern national economy devoted to the production, processing, and distribution of food and fibre products and byproducts. , equipment, freight The price or compensation paid for the transportation of goods by a carrier. Freight is also applied to the goods transported by such carriers. The liability of a carrier for freight damaged, lost, or destroyed during shipment is determined by contract, statute, or transportation and newspaper publishing industries with a complete range of software, services and support that streamlines distribution channels by automating the flow of commercial information between trading partners. The Company's dealer and distributor management systems provide an electronic pathway pathway /path·way/ (path´wa) 1. a course usually followed. 2. the nerve structures through which an impulse passes between groups of nerve cells or between the central nervous system and an organ or muscle. for sales reports, product ordering, warranty An assurance, promise, or guaranty by one party that a particular statement of fact is true and may be relied upon by the other party. Warranties are used in a variety of commercial situations. In many instances a business may voluntarily make a warranty. registrations and other transactions between manufacturers and their networks of sales and service points. ARI also builds and manages electronic commerce databases, including electronic parts catalogs Noun 1. parts catalog - a list advertising parts for machinery along with prices parts catalogue catalogue, catalog - a complete list of things; usually arranged systematically; "it does not pretend to be a catalog of his achievements" and industry-common directories of products, companies and locations.
ARI NETWORK SERVICES, INC.
STATEMENT OF OPERATIONS
(Dollars in thousands ,except for share data)
Three months ended Twelve months ended
July 31 July 31
1998 1997 1998 1997
Net revenues:
Network & other
services $1,761 $1,542 $5,811 $5,235
Software &
development 684 318 2,153 1,678
------------------- -------------------
2,445 1,860 7,964 6,913
Operating expenses:
Variable costs of products and
services sold:
Network & other
services 363 169 1,327 1,035
Software &
development 138 111 619 652
------------------- -------------------
501 280 1,946 1,687
Depreciation and
amortization 589 308 2,142 1,722
Network operations 150 264 708 1,004
Selling, general
and administrative 951 1,023 4,586 4,819
Network construction
and expansion 504 644 2,198 1,897
------------------- -------------------
2,695 2,519 11,580 11,129
Less: capitalized
portion (451) (435) (1,546) (1,155)
------------------- -------------------
Total operating
expenses 2,244 2,084 10,034 9,974
Operating income (loss) $201 ($224) ($2,070) ($3,061)
Other income ( expense) 15 (61) (70) (214)
Net income (loss) $216 ($285) ($2,140) ($3,275)
Average common
shares outstanding 4,247 3,692 4,119 3,692
Net income (loss)
per share $0.05 ($0.08) ($0.52) ($0.89)
ARI Network Services, Inc.
Balance Sheet
(Dollars in thousands, except per share data)
July 31 July 31
ASSETS 1998 1997
----------- ------------
Current Assets:
Cash and cash equivalents $194 $64
Accounts receivable
Trade, less allowance for
doubtful accounts of $185
in 1998 and $132 in July
of 1997 2,643 1,549
Other 2 19
Prepaid expenses 116 140
----------- ------------
Total Current Assets 2,955 1,772
Equipment & leasehold improvements:
Network system hardware 3,778 3,579
Leasehold improvements 238 239
Furniture and equipment 485 374
----------- ------------
4,501 4,192
Less accumulated depreciation
and amortization 4,106 3,877
----------- ------------
Net Equipment and leasehold
improvements 395 315
Other assets 336 372
Network system:
Network platform 11,467 11,467
Industry-specific applications 19,906 17,925
----------- ------------
31,373 29,392
Less accumulated amortization 22,251 20,435
----------- ------------
` 9,122 8,957
Total Assets $12,808 $11,416
----------- ------------
----------- ------------
LIABILITIES & SHAREHOLDERS' EQUITY
Current liabilities:
Line of credit payable to
shareholder $ - $ 500
Notes payable 28 46
Accounts payable 581 650
Unearned income 776 543
Accrued payroll and
related expenses 607 493
Other accrued expenses 171 165
Current portion of capital
lease obligations 30 64
----------- ------------
Total Current Liabilities 2,193 2,461
Line of credit payable to
shareholder 1,620 0
Capital lease obligations 33 8
Shareholders' equity:
Preferred stock, par value $.001
per share, 1,000,000 shares
authorized; 20,000 shares issued
and outstanding in 1998 0 0
Common stock, par value of $.001
per share, 25,000,000 shares
authorized; 4,247,460 and
3,691,754 shares issued and
outstanding in 1998 and 1997,
respectively 4 4
Additional paid-in-capital 85,028 82,873
Accumulated deficit (76,070) (73,930)
----------- ------------
Total Shareholders' Equity 8,962 8,947
----------- ------------
Total Liabilities
& Shareholders' Equity $12,808 $11,416
----------- ------------
----------- ------------
Statements in this news release include "forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. " within the meaning of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and . The forward-looking statements can generally be identified by words such as "believes," "anticipates," "expects" or words of similar meaning. Forward-looking statements also include statements relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the Company's future performance, such as future prospects, revenues, profits and cash flows. The forward-looking statements are subject to risks and uncertainties, which may cause actual results to be materially different from any future performance suggested in the forward-looking statements. Such risks and uncertainties include those factors described under "Forward Looking Statements" in the Company's most recent annual report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. or quarterly report on Form 10-Q Form 10-Q See 10-Q. filed with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements. The forward-looking statements are made only as of the date hereof here·of adv. Of this. hereof Adverb Formal or law of or concerning this Adv. 1. hereof - of or concerning this; "the twigs hereof are physic" , and the Company undertakes no obligation to publicly release the result of any revisions ReVisions is a 2004 anthology of alternate history short-stories. It is edited by Julie E. Czerneda and Isaac Szpindel. Contents Title Author The Resonance of Light James Alan Gardner Out of China Julie E. to these forward-looking statements. For more information, please refer to the Company's filings with the Securities and Exchange Commission. |
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