AltiGen Reports Record Third Quarter 2000 Revenue Growth of 112%.Business Editors FREMONT Fremont (frē`mŏnt). 1 City (1990 pop. 173,339), Alameda co., W Calif., on San Francisco Bay; inc. 1956. Long an agricultural center, with champagne vineyards founded (1870) by Leland Stanford, it still ships fruits and vegetables. , Calif.--(BUSINESS WIRE)--July 20, 2000 Telecom Server Supplier Continues to March Toward Profitability; Aggressively Penetrating penetrating breaching the tissues of the body. New Markets AltiGen Communications, Inc. (Nasdaq: ATGN ATGN Additive Truncated Gaussian Noise ), a leading provider of next generation telecom servers today reported its results for the third quarter and nine month period ended June June: see month. 30, 2000. Net revenues for the third quarter of fiscal 2000 were $4.05 million, representing an increase of 28% sequentially se·quen·tial adj. 1. Forming or characterized by a sequence, as of units or musical notes. 2. Sequent. se·quen from the $3.17 million reported for the second quarter of fiscal 2000, and an increase of 112% from the $1.91 million reported for the third quarter of fiscal 1999. Net loss for the quarter was $2.05 million, or $0.15 per share, an improvement sequentially from a net loss of $2.47 million or $0.18 per share reported for the second quarter 2000, and compared to a net loss of $1.66 million or $1.32 per share reported for the third quarter of 1999. For the first nine-month period of fiscal 2000, the Company posted revenues of $9.7 million, a 128% increase over the $4.3 million from the same period last year. Net loss for the first nine months of 2000 was $6.2 million, or $0.47 per share, as compared to a net loss of $5.2 million or $4.73 per share from the same period last year. "We are pleased to again report strong financial results this quarter," stated Gilbert Hu, chief executive officer of AltiGen Communications. "AltiGen's products are benefiting from increased awareness both domestically and abroad. In particular, I am very excited about our progress toward profitability. We have successfully narrowed the loss per share from last quarter and are on track to achieve profitability in 2001. This quarter is important as it demonstrates our ability to grow the top line while holding the expenses steady. During this quarter we also announced a partnership with Beijing Beijing (bā-jĭng) or Peking (pē-kĭng, pā–), city (1994 est. urban pop. 6,093,300; 1994 est. total pop. 7,240,700), capital of the People's Republic of China. It is in central Hebei prov. Bell. We believe this partnership is momentous mo·men·tous adj. Of utmost importance; of outstanding significance or consequence: a momentous occasion; a momentous decision. . With the help of this strategic partner, we can now bring our products to market in which we previously had no presence. We see tremendous opportunities in China as thousands of small businesses are being created on a daily basis." "Additionally, the China Railway development project we have started this past quarter with Beijing Bell is our first large project in China. We believe this will be the catalyst catalyst, substance that can cause a change in the rate of a chemical reaction without itself being consumed in the reaction; the changing of the reaction rate by use of a catalyst is called catalysis. to grow our business in Asia. Leveraging this opportunity across industries may lead to significant growth for AltiGen," concluded Hu. "In the domestic market, we continue to see strong and growing demand for our VoIP products. The number of VoIP boards now represents almost 10% of our total board shipments, and our VoIP product is now being deployed in over 50% of our new end user installations. In addition, we are happy that we ranked 38th among the 150 fastest growing public companies in the Silicon Valley. We are confident that this rapid growth will continue as we continue to execute and seeing our product gaining wider acceptance. "We are pleased to continue building solid financial fundamentals," commented Phil McDermott Phil McDermott is a British actor. Before turning to acting he was a trainee priest, a scrap metal worker, a weighbridge operator and a carpenter.[1] He is most famous for playing a regular character in the BBC soap opera EastEnders. ," chief financial officer of AltiGen Communications. "Our key metrics metrics Managed care A popular term for standards by which the quality of a product, service, or outcome of a particular form of Pt management is evaluated. See TQM. continue to strengthen. Gross margins at 55% for the third quarter of fiscal 2000 held constant with the previous quarter. Equally important, the quality of our partners continues to improve as indicated by our accounts receivable accounts receivable n. the amounts of money due or owed to a business or professional by customers or clients. Generally, accounts receivable refers to the total amount due and is considered in calculating the value of a business or the business' problems in paying measurement with DSOs declining to 56 days from 65 days for the previous quarter." About AltiGen AltiGen Communications, Inc. designs, manufactures and markets next-generation telecom servers that give small- to mid-sized businesses integrated communications systems In telecommunication, a communications system is a collection of individual communications networks, transmission systems, relay stations, tributary stations, and data terminal equipment (DTE) usually capable of interconnection and interoperation to form an integrated whole. for streamlined operations and enhanced productivity. AltiGen's telecom server uses both the 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 and traditional phone lines interchangeably INTERCHANGEABLY. Formerly when deeds of land were made, where there Were covenants to be performed on both sides, it was usual to make two deeds exactly similar to each other, and to exchange them; in the attesting clause, the words, In witness whereof the parties have hereunto and allows businesses to integrate their phones, databases and PC's into one powerful Web enabled communications network The transmission channels interconnecting all client and server stations as well as all supporting hardware and software. . For more information, call 1-888-ALTIGEN or visit the website at http://www.altigen.com. 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 This press release contains 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 Section 21E of the Securities Exchange Act of 1934, including, without limitation, statements regarding: AltiGen's leveraging of its leadership in multimedia (including voice) over Internet protocol See Internet and TCP/IP. (networking) Internet Protocol - (IP) The network layer for the TCP/IP protocol suite widely used on Ethernet networks, defined in STD 5, RFC 791. IP is a connectionless, best-effort packet switching protocol. solutions to rapidly expand into new product areas; the Company's international business including China and the Asian market; and AltiGen's progress toward its long term financial model and profitability model. These statements reflect management's current expectations. However, actual results could differ materially as a result of unknown risks and uncertainties, including but not limited to, risks related to AltiGen's limited operating history. For a more detailed description of these and other risks and uncertainties affecting AltiGen's performance, please refer to the Company's recent 10-K and10-Q filed with the SEC on January January: see month. 5, 2000 and May 15, 2000, respectively. AltiGen assumes no obligation to update the forward-looking for·ward-look·ing adj. Concerned with or making provision for the future: forward-looking educators; a forward-looking corporate plan. Adj. 1. information contained in this press release.
AltiGen Communications, Inc.
Condensed Consolidated Statement of Operations
(Amounts in thousands, except per share data)
(Unaudited)
Third Quarter Ended Nine Months ended
June 30 June 30
---------- ---------- ----------- ---------
---------- ---------- ----------- ---------
FY 2000 FY 1999 FY 2000 FY 1999
---------- ---------- ------------ ----------
---------- ---------- ------------ ----------
Net Revenues $ 4,048 $ 1,908 $ 9,702 $ 4,264
Gross profit 2,232 965 5,292 2,097
Research &
development 1,128 968 2,925 3,005
Selling, general &
administrative 3,450 1,543 9,374 4,023
Deferred stock
compensation 243 193 729 578
Operating loss (2,589) (1,739) (7,736) (5,509)
Interest & other
income 539 76 1,558 275
-------- -------- -------- --------
-------- -------- -------- --------
Net loss $ (2,050) $ (1,663) $ (6,178) $ (5,234)
======== ======== ======== ========
======== ======== ======== ========
Basic and diluted
net loss per share $ (0.15) $ (1.32) $ (0.47) $ (4.73)
Weighted average
shares outstanding(a) 13,474 1,264 13,215 1,107
Condensed Consolidated Balance Sheets
(Amounts in thousands)
(Unaudited)
June 30, 2000 Sept. 30, 1999
--------------- ----------------
--------------- ----------------
Cash & cash equivalents $ 12,022 $ 5,934
Short-term investments 20,743 -
Accounts receivable, net 2,539 1,684
Inventories 2,942 2,201
Other current assets 784 1,954
Net property & equipment 915 914
Long-Term Investments 1,021 -
--------------- ----------------
--------------- ----------------
Total Assets $ 40,966 $ 12,687
=============== ================
=============== ================
Current liabilities $ 3,607 $ 3,346
Stockholders' equity 37,359 9,341
--------------- ----------------
--------------- ----------------
Total Liabilities &
Stockholders' Equity $ 40,966 $ 12,687
=============== ================
=============== ================
(a). Effective October 4, 1999 the company completed an initial
public offering of its common shares. The weighted average shares for
1999 are calculated excluding the conversion of convertible preferred
stock into common shares and the common shares issued at the initial
public offering.
|
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion