ATEC Group Reports Fiscal First-Quarter Results.Business Editors COMMACK, N.Y.--(BUSINESS WIRE)--Nov. 14, 2000 ATEC ATEC Army Test and Evaluation Command (US Army; formerly OPTEC, Operational Test & Evaluation Command) ATEC Australian Tourism Export Council ATEC Advanced Technologies (Hamburg, Germany) Group, Inc. (AMEX AMEX See: American Stock Exchange : TEC), a leading system integrator and provider of a full line of information technology products and services, today announced financial results for the fiscal 2001 first quarter ended Sept. 30, 2000. For the fiscal 2001 quarter, net revenues totaled $14,948,683, compared with $20,188,643 in the same quarter a year ago. Gross profit for the quarter equaled $2,190,346, versus $3,817,707 in the first quarter of fiscal 2000. The company incurred a net loss for the period of $254,838, or four cents per basic and diluted share, compared with net income of $270,129, or four cents per basic and diluted share, in the corresponding period last year. The company attributes the decline in revenues primarily to significantly lower sales from its Technology Integration Services (TIS) division due to the consolidation of its sales force in the New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of Metropolitan region. "Although we are disappointed with the TIS sales shortfall, this was the result of our revamping our sales force, an important investment in the company's future," said Tony Rametra, president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of ATEC Group, Inc. "This shift in focus of our sales force was necessary as we transition from being primarily product focused to providing more high-end technical services. Moreover, we consider this sales force consolidation to now be complete and expect no lingering ill effects in the second fiscal quarter. "Further, we remain encouraged by the progress of our PC manufacturing and system integration business. In PC manufacturing, for example, we formed a partnership with Computer Associates, one of the world's largest eBusiness solutions providers, which will enable our PC manufacturing division to bundle Computer Associates' software and applications with our proprietary line of Nexar(R) computers. "In system integration, spearheaded by our TIS division, we recently completed a $1.7 million project for one of the largest health maintenance organizations in upstate New York Upstate New York is the region of New York State north of the core of the New York metropolitan area. It has a population of 7,121,911 out of New York State's total 18,976,457. Were it an independent state, it would be ranked 13th by population. and Vermont, MVP (Multimedia Video Processor) A high-speed DSP chip from Texas Instruments, introduced in 1994. Officially introduced as the TMS320C80, it combines RISC technology with the functionality of four DSPs on one chip. Health Plan. We expect to announce soon other partnerships and large contracts in both PC manufacturing and system integration that should help to improve our top-line performance," Rametra added. In early November, the company announced that the former chairman and CEO of the company, Surinder Rametra, had retired and entered into an agreement to sell his stake in the company to Applied Digital Solutions (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : ADSX ADSX Applied Digital Solutions, Inc. (stock symbol) ). New board members were also appointed, including Jim Charles, ATEC Group's CFO See Chief Financial Officer. ; Richard J. Sullivan, chairman and CEO of ADSX; and two additional independent directors. "This remains a time of transition for ATEC Group as we begin to work with a new board. We appreciate our shareholders' patience and support," concluded Rametra. About ATEC Group Based in Commack, New York Commack is a hamlet and census-designated place (CDP) in Suffolk County, New York, United States. The population was 36,367 at the 2000 census. Commack is partly in the Town of Huntington and the Town of Smithtown. It is located on Long Island. , ATEC Group, Inc., is a leading system integrator and provider of a full line of information technology products and services. As a one-stop company for the computer needs of businesses, government agencies and educational institutions, ATEC Group offers computer hardware and software, system integration networking, graphic arts, Internet and Intranet. The company is positioned for growth through its capabilities as a PC manufacturer of Nexar technology, in software development and e-commerce. For more information on ATEC Group, please visit the company's web site at www.atecgroup.com.
ATEC GROUP, INC.
Financial Highlights
For the Three Months Ended
9/30/00 9/30/99
Net revenues $14,948,683 $20,188,643
Gross profit 2,190,346 3,817,707
Net income (loss) (254,838) 270,129
Net income (loss) per share
Basic ($.04) $.04
Diluted ($.04) $.04
Basic average shares outstanding 7,089,744 7,269,838
Diluted average shares outstanding 7,089,744 7,269,838
Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. Statement under 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 of 1995: The statements that are not historical facts contained in this press release are forward-looking statements that involve certain risks and uncertainties including, but not limited to risks associated with the uncertainty of future financial results, additional financing requirements, development of new products, government approval processes, the impact of competitive products or pricing, technological changes, the effect of economic conditions and other uncertainties detailed in the company's filings with the Securities and Exchange Commission. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion