American TeleSource First Quarter Results On Target; ATSI to Hold Earnings Conference Call.SAN ANTONIO--(BUSINESS WIRE)--Dec. 2, 1998-- Record Positive EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become Sharp Decline in SG&A Expenses as a Percentage of Revenue ATSI ATSI Aboriginal and Torres Strait Islander (Australia) ATSI Association of Thai Software Industry ATSI Association of TeleServices International ATSI American Transmission Systems, Inc. to Hold Earnings Conference Call Thursday Thursday: see week. , Dec. 3 at 10:00 a.m. CST CST abbr. 1. Central Standard Time 2. convulsive shock treatment CST Central Standard Time Noun 1. (see details below) American American, river, 30 mi (48 km) long, rising in N central Calif. in the Sierra Nevada and flowing SW into the Sacramento River at Sacramento. The discovery of gold at Sutter's Mill (see Sutter, John Augustus) along the river in 1848 led to the California gold rush of TeleSource International Inc. (OTC OTC See: Over-the-counter. OTC See over-the-counter market (OTC). BB:AMTI AMTI Applied Marine Technology Inc AMTI Advanced Mechanical Technology Inc (Watertown, MA) AMTI Applied Marine Technology, Inc. AMTI Advanced Medical Technology Institute AMTI Automatic Moving Target Indicator ) ("ATSI") today reported revenues for its first quarter ended Oct. 31, 1998 of $10.2 million over revenues of $6.0 million for the same period in the prior year.
FIRST QUARTER HIGHLIGHTS
------------------------
-- 70% growth in revenues over the first quarter of fiscal 1998
-- Maintained a 36% gross margin as compared to the same period of
the prior year
-- 73% increase in gross profit of $3.7 million over $2.2 million
reported in the first quarter of fiscal 1998
-- A decrease in selling, general and administrative expenses, as a
percentage of revenue, to 33% from 46% reported in the first
quarter of fiscal 1998
-- Record positive EBITDA (earnings before interest, tax,
depreciation and amortization) of approximately $402,000 compared
to an EDITDA loss of $637,000 reported in the same period of the
prior year
-- Net loss of $642,377, or $0.01 per share, compared to a net loss
of $1.3 million, or $0.04 per share, in the first quarter of
fiscal 1998
Revenues generated in the first quarter of fiscal 1999 exceeded revenues generated in the first quarter of fiscal 1998 due to growth in the Network Management Services provided by the Company, as well as increased sales volumes from the Company's wholly-owned 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 e-commerce e-commerce, commerce conducted over the Internet, most often via the World Wide Web. E-commerce can apply to purchases made through the Web or to business-to-business activities such as inventory transfers. subsidiary, GlobalSCAPE. The Company produced a record gross profit during the quarter of approximately $3.7 million, and reduced SG&A expenses by approximately $250,000 over the fourth quarter of the previous year. As a result, the Company produced its all-time best positive EBITDA of approximately $402,000 during the quarter. Randy The name Randy generally derives from the names Randall or Randolph (meaning wolf with a shield). Randy is used as a given name primarily in the US and Canada. Men known as Randy
Arthur L. Smith, chairman and chief executive officer, commented, "We are delivering on our commitment to improve the financial performance and operational efficiency of the Company, supported by the improvements in our key business indicators. Furthermore, we continue to evaluate new ways to utilize our strengths and identify opportunities in our core markets. Through continued strengthening of our corporate framework, I believe ATSI is positioned to be a long-term Long-term 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. winner in meeting the growing needs of the telecom marketplace." American TeleSource International Inc. is an Emerging Multinational Carrier, rapidly becoming a niche leader within certain Latin American telecommunication telecommunication Communication between parties at a distance from one another. Modern telecommunication systems—capable of transmitting telephone, fax, data, radio, or television signals—can transmit large volumes of information over long distances. markets. The Company's borderless strategy includes the deployment of a "next generation" network, for more efficient and cost effective service offerings of domestic and international voice and data transport. ATSI has clear advantages over the competition through its corporate framework consisting of unique licenses, interconnection in·ter·con·nect v. in·ter·con·nect·ed, in·ter·con·nect·ing, in·ter·con·nects v.intr. To be connected with each other: The two buildings interconnect. v.tr. and service agreements, network footprint The amount of geographic space covered by an object. A computer footprint is the desk or floor surface it occupies. A satellite's footprint is the earth area covered by its downlink. See form factor. 1. , and extensive distribution channels. The statement contained herein that the Company has launched an exciting year of growth is a "forward-looking statement 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. " (as such term is defined in 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). This statement is based upon the belief of the Company's management, as well as assumptions made beyond information currently available to the Company's management. Because such "forward-looking statements" are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements Factors that could cause results to differ materially from those expressed or implied by such forward-looking statements include, but are not limited to, availability to customers of services at lower charges than those offered by the Company, the inability to obtain additional capital, loss of key personnel, unavailability un·a·vail·a·ble adj. Not available, accessible, or at hand. un  a·vail of leased transmission facilities, damage,
loss or malfunction mal·func·tionv. 1. To fail to function. 2. To function improperly. n. 1. Failure to function. 2. Faulty or abnormal functioning. of satellites, technological changes, service interruptions, equipment failures, customer attrition Customer attrition, also known as customer churn, customer turnover, or customer defection, is a business term used to describe loss of clients or customers. , general economic conditions, relationships with vendors, government supervision and regulation, changes in industry practices and other factors discussed in filings made by the Company with the Securities and Exchange Commission. ATSI Earnings Conference Call The conference call will be held on Thursday, Dec. 3, 1998 at 10:00 a.m. CST. To participate in the conference call dial 973/628-7055. For your convenience, the call will be recorded and may be replayed by dialing 402/220-0947. This service will be available beginning at 11:00 a.m. Thursday, Dec. 3, through 5:00 p.m. Friday, Dec. 4 CST. -0-
American TeleSource International Inc. and Subsidiaries
Consolidated Statements of Operations
(In thousands, except per share amounts)
Three months ended October 31,
1998 1997
--------- ---------
Call services $1,553 $2,863
Direct dial services $1,340 $1,571
Network management services $6,788 $1,352
Internet e-commerce $555 $245
------- -------
Total operating revenues $10,236 $6,031
Cost of services $6,501 $3,876
------- -------
Gross profit $3,735 $2,155
SG&A expenses $3,333 $2,792
------- -------
EBITDA $402 ($637)
Depreciation and amortization $649 $339
Interest expense $415 $365
Other, net ($31) ($43)
------- -------
Loss before income tax expense ($631) ($1,298)
Income tax expense $11 $0
Net loss ($642) ($1,298)
------- -------
------- -------
Net loss per common share ($0.01) ($0.04)
Weighted average common shares
outstanding 45,627 37,068
------- -------
------- -------
Gross profit margin 36% 36%
SG&A expenses as % of revenue 33% 46%
-0- |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion