Asante Announces Fourth Quarter 2001 Operating Results; Improved Quarterly Earnings.Business Editors SAN JOSE San Jose, city, United States San Jose (sănəzā`, săn hōzā`), city (1990 pop. 782,248), seat of Santa Clara co., W central Calif.; founded 1777, inc. 1850. , Calif.--(BUSINESS WIRE)--Nov. 6, 2001 Asante Technologies, Inc. (Nasdaq:ASNT ASNT American Society of Non-destructive Testing ASNT American Society for Neural Transplantation ASNT Astrological Association of North Texas (Dallas - Fort Worth Metroplex) ASNT Application Sharing Nt .OB) today announced results for the fourth quarter of fiscal 2001. The Company reported revenues of $5.2 million for the quarter ended September 29, 2001, a 5.4% increase from $4.9 million in the third quarter ended June 30, 2001. The Company posted a net loss of $126,000, or $0.01 per basic and diluted share, for the quarter, compared to a net loss of $557,000, or $0.06 per basic and diluted share, in the preceding quarter. The improved quarterly results were due to increased sales of the Company's Gigabit Ethernet An Ethernet standard that transmits at 1 Gbps. Used mostly to connect high-end workstations and servers as well as for network backbones, Gigabit Ethernet transmits full duplex from point to point using switches and half duplex in a shared environment (CSMA/CD) using a hub. products. Compared to the fourth quarter of the prior fiscal year, sales were down approximately 31%, from $7.5 million, due primarily to the current economic downturn. For the comparable quarter of fiscal 2000, the Company posted a net income of $412,000. Revenues totaled $22.1 million for fiscal 2001; a decrease of 25 percent as compared with $29.3 million for the same period a year ago, reflecting primarily the economic slowdown in the industry and to some extent the continued decrease in sales of aftermarket adapter cards. The Company reported a net loss for fiscal 2001 of $0.9 million, or $0.10 per basic and diluted share, compared with, a net income of $0.4 million, or $0.04 per basic and diluted share in the prior year. The Company continued to control costs and reduce overhead expenses allowing it to maintain product margins of approximately 36%. New IntraCore Switch and AeroLAN Wireless In this past quarter, the Company expanded its flagship IntraCore product line with a new stackable workgroup switch A network switch designed for LAN traffic within an enterprise. Contrast with carrier-class switch. series. The IntraCore 3524 Series features two modular uplink slots for any combination of Gigabit or Fast Ethernet An earlier name for 100Mbps Ethernet. See 100Base-T. (networking) Fast Ethernet - A version of Ethernet developed in the 1990s(?) which can carry 100 Mbps compared with standard Ethernet's 10 Mbps. It requires upgraded network cards and hubs. running over copper or fiber optic links. With five different modules to choose from, users can deploy multimedia services (voice, video, audio and telephony) over existing cabling. With OneView(TM) integrated management software, larger organizations can control and configure up to 194 ports under a single IP network address--greatly easing network management tasks. One highly anticipated feature, Asante's optional Bandwidth On-Demand(TM), will permit larger enterprises and Multiple Tenant Unit (MTU (1) (Maximum Transmission Unit, Maximum Transfer Unit) The largest frame size that can be transmitted over the network. For example, an Ethernet MTU is 1,500 bytes. Messages longer than the MTU must be divided into smaller frames. ) customers to allocate network bandwidth to their users. For small office and home office (SOHO Soho (sōhō`, sə–), district of Westminster, London, England, known for its continental restaurants. Once a fashionable quarter, it became popular among writers and artists in the 19th cent. ) users, the Company unveiled the industry's first wireless-upgradeable broadband router A device that provides access to the Internet for multiple computers. It typically includes a network switch with four or more Ethernet ports for wired connections to desktop and laptop computers. "Wireless" broadband routers include an 802.11g access point. . Users can upgrade to 11 Mbps wireless (or future higher speed standards) by simply installing an AeroLAN PCMCIA (Personal Computer Memory Card International Association, San Jose, CA, www.pcmcia.org) An international standards body and trade association that was founded in 1989 to establish a standard for connecting peripherals to portable computers. PCMCIA created the PC Card. See PC Card. module. These innovative products promptly picked up three more industry awards including "Best of Show" from Macworld. Streamlined For Growth "I am pleased with the Company's improved results for the fourth quarter. During this difficult period, the Asante team has planned, executed and delivered several world class products," remarked Wilson Wong, Asante's Chairman, 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. . "The demand for the IntraCore 3524 Series switches in MTU applications has been very strong in several of our key worldwide markets. As we continue to hone our expertise in this emerging market, the Company will become a leading force in upcoming quarters. Additionally, we have begun seeing significant increased international interest in the Company's high-value Gigabit Ethernet products, which we feel confident provides the Company with the tools to penetrate new markets and help offset the effects of this current downturn." About Asante Founded in 1988, Asante is a world leader in supplying network connectivity products for Macs and PCs. The Company's FriendlyNET products simplify networking and provide Internet access See how to access the Internet. for small offices/home offices, digital pre-press and education (K-12 and universities). The Company's IntraCore intelligent Gigabit Ethernet switches support multi-service applications for large enterprises, educational institutions and multi-tenant unit applications. Asante's headquarters are located at 821 Fox Lane, San Jose, CA 95131. For additional information, call 408-435-8388 or visit Asante's website at http://www.asante.com. This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from historical results or anticipated results, including those risks set forth under the caption "Business Risks" in "Management's Discussion and Analysis Management's discussion and analysis (MD&A) A report from management to shareholders that accompanies the firm's financial statements in the annual report. It explains the period's financial results and enables management to discuss topics that may not be apparent in the financial of Financial Condition and Results of Operations" of the Company's 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. for the year ended September 30, 2000 and in the Company's Quarterly Reports on Form 10-Q Form 10-Q See 10-Q. and other reports filed from time to time with the Securities and Exchange Commission. Such risks include the Company's potential need for additional financing, and the Company's ability to attract and retain qualified personnel, competition, and technological change. Readers should carefully review the risk factors described in such reports and other filings made by the Company from time to time with the Securities and Exchange Commission. Asante and FriendlyNET are registered trademarks; AeroLAN, Bandwidth On-Demand, IntraCore and OneView are trademarks of Asante Technologies. |
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