AquaCell Announces Results of Quarter and Nine Months Ended March 31, 2004.Business Editors RANCHO CUCAMONGA Rancho Cucamonga (răn`chō k  'kəmäng`gə), city (1990 pop. 101,409), San Bernardino co., S Calif. , Calif.--(BUSINESS WIRE)--May 14, 2004AquaCell (AMEX AMEX See: American Stock Exchange :AQA AQA Assessment and Qualifications Alliance (UK) AQA Assessment and Qualifications Alliance AQA Any Question Answered AQA American Quality Assessors (India Pvt Ltd) ) announced today the results for the quarter and nine-months ended March 31, 2004. During the nine-months ended March 31, 2004 the company raised net equity of approximately $2.9 million to enable the company to move forward with the marketing program for its patented self-filling water cooler. In addition, the company has the possibility of future financing though the exercise of warrants previously issued, which could generate up to $16,300,000 in additional cash. There is no assurance that any of these warrants will be exercised. "Our ability to raise equity financing Equity Financing The act of raising money for company activities by selling common or preferred stock to individual or institutional investors. In return for the money paid, shareholders receive ownership interests in the corporation. to enable the company to move forward without incurring debt is of utmost importance to shareholders, as it allows management to make decisions to implement its plan without being hampered by potential restrictions imposed by debt holders," said James C. Witham, chairman and chief executive officer. The company's marketing plan primarily focuses on the "Message On The Bottle" advertising program through its AquaCell Media subsidiary. As presented in the advertisements the company ran in trade magazines during April and May which are available for viewing on the company's Web site at www.aquacell.com, the "Message On The Bottle" advertising provides a unique point-of-sale opportunity for manufacturers to reach the consumer. The company is currently installing coolers, while retaining ownership, in the pharmacy pharmacy, art of compounding and dispensing drugs and medication. The term is also applied to an establishment used for such purposes. Until modern times medication was prepared and dispensed by the physician himself. In the 18th cent. areas of national chain drug stores, supermarkets, and physician's offices and is in negotiation to expand into other locations. The company is also in the final stages of negotiations with major manufacturers and providers of health care related products and/or their advertising agencies, for the advertisements of their products on the Aquacell coolers in the above mentioned locations. As shown in the chart below, revenues for the quarter ended March 31, 2004 were $117,000 as compared to $189,000 for the comparable period of the prior year. For the nine months ended March 31, 2004, revenues were $518,000 representing a decrease of $809,000 from the same period of the prior year. Virtually the entire decrease was attributable to the lack of sales to Corbett Water Technologies Inc. (Corbett) the company's former exclusive distributor of its patented self-filling water coolers. The company went through a lengthy negotiation process to recover its marketing rights from Corbett, during which time the company was impeded im·pede tr.v. im·ped·ed, im·ped·ing, im·pedes To retard or obstruct the progress of. See Synonyms at hinder1. [Latin imped from pursuing new marketing avenues or channels of distribution. Net loss attributable to common stockholders on a consolidated basis for the three months ended March 31, 2004 was $942,000 or $0.08 per share, as compared to $630,000 or $0.07 per share for the same period of the prior year. The loss for the three months ended March 31, 2004 includes $233,000 or $0.02 per share attributable to non-cash expenses Noun 1. non-cash expense - an expense (such as depreciation) that is not paid for in cash disbursal, disbursement, expense - amounts paid for goods and services that may be currently tax deductible (as opposed to capital expenditures) for stock based compensation, compared to $56,000 or $0.01 per share for the same period of the prior year. Net loss attributable to common stockholders on a consolidated basis for the nine months ended March 31, 2004 was $3,330,000 or $0.31 as compared to $1,405,000 or $0.16 per share. The loss for the nine months ended March 31, 2004 includes $835,000 or $0.08 per share attributable to non-cash expenses for stock based compensation, as compared to $156,000 or $0.02 per share for the same period of the prior year. In addition, the loss attributable to non-cash expenses for the fair value of the Corbett derivative was $322,000 or $0.03 per share for the current period.
Summary of Operating Results:
Three Months Ended
March 31,
2004 2003
Net revenues $ 117,000 $ 189,000
Net loss attributable to common
stockholders $ (942,000)(a) $ (630,000)(b)
Net loss per common share $ (0.08)(a) $ (0.07)(b)
Weighted average shares
outstanding 12,274,000 8,692,000
Nine Months Ended
March 31,
2004 2003
Net revenues $ 518,000 $ 1,327,000
Net loss attributable to common
stockholders $(3,330,000)(a) $(1,405,000)(b)
Net loss per common share $ (0.31)(a) $ (0.16)(b)
Weighted average shares
outstanding 10,768,000 8,632,000
(a) Includes $1,157,000 or $0.11 per share for the nine month period and $161,000 or $0.01 per share for the three month period attributable to non-cash expenses for stock based compensation and fair value of Corbett-related derivative. (b) Includes $156,000 or $0.02 per share for the nine-month period and $56,000 or $0.01 per share for the three month period attributable to non-cash expenses for stock based compensation. Introducing AquaCell AquaCell, based in Rancho Cucamonga, manufactures products for water filtration filtration: see sewerage; water supply. Filtration The separation of solid particles from a fluidsolids suspension of which they are a part by passage of most of the fluid through a septum or membrane that retains most of the solids and purification purification, in religion, the ceremonial removal of what the religion deems unclean. The usual agents of purification are water (as in baptism), bodily alteration (as in circumcision), and fire. through its two operating subsidiaries An operating subsidiary is a business term frequently used within the United States railroad industry. In the case of a railroad, it refers to a company that is a subsidiary but operates with its own identity and rolling stock. , Global Water-Aquacell Inc. and Water Science Technologies Inc. Its products address various water treatment applications for industrial, commercial, institutional and residential applications. These applications range from providing purified drinking water drinking water supply of water available to animals for drinking supplied via nipples, in troughs, dams, ponds and larger natural water sources; an insufficient supply leads to dehydration; it can be the source of infection, e.g. leptospirosis, salmonellosis, or of poisoning, e.g. -- through its point-of-use patented self-filling AquaCell Water Cooler and production of water bottling plant Noun 1. bottling plant - a plant where beverages are put into bottles with caps industrial plant, plant, works - buildings for carrying on industrial labor; "they built a large plant to manufacture automobiles" equipment -- to processing water for ultra-pure purposes, such as micro-chip and pharmaceutical manufacturing. 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 Certain statements in this press release constitute "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 of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the company to be materially different from any future results, performances or achievements expressed or implied by such forward-looking statements. Forward-looking statements include, but are not limited to, statements about: our ability to continue relationships with customers; our ability to offer our products at competitive prices; our ability to maintain our listing on the American Stock Exchange American Stock Exchange (AMEX) Stock exchange in the U.S. Originally known as “the Curb,” it began as an outdoor marketplace in New York City c. 1850. It moved indoors to its present location in the Wall Street area in 1921. ; and our ability to use the most current technology for our products. |
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion