Communication Intelligence Corporation Fourth Quarter and Fiscal 1999 Results.Business Editors REDWOOD redwood: see sequoia; brazilwood. redwood or sequoia Coniferous evergreen timber tree (Sequoia sempervirens) of the family Taxodiaceae, found in the fog belt of west-coastal North America. SHORES, Calif.--(BUSINESS WIRE)--Feb. 29, 2000 Communication Intelligence Corporation ("CIC CIC circulating immune complexes. CIC Circulating immune complexes. See Immune complexes. " or the "Company") (Nasdaq:CICI CICI Cochlear Implant Club International ), the leading supplier of natural input and electronic signature solutions, today announced its financial results for the fourth quarter and the year ended December 31, 1999. Revenue for the fourth quarter increased 107% to $1.8 million from $0.9 million in the comparable quarter of the prior year. For the 1999 fiscal year, CIC posted revenue of $6.5 million, a 42% increase over revenue of $4.5 million for the 1998 fiscal year. The net loss for the fourth quarter ended December 31, 1999 fell to $0.4 million, or $0.01 on 80.2 million weighted average common shares as compared to a net loss for the quarter ended December 31, 1998 of $0.9 million, or $0.01 on 70.9 million weighted average common shares. For fiscal year 1999, the net loss decreased to $1.7 million, or $0.02 per share on 79.6 million weighted average common shares, as compared to a net loss of $3.6 million, or $0.06 per share on 56.2 million weighted average common shares, in the 1998 fiscal year. These results together with the enhanced cash position, at December 31, 1999, reflect the Company's strategic direction focusing on natural input and electronic signature solutions for wireless 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 devices, aftermarket Aftermarket See: Secondary market. aftermarket See secondary market. software sales and enterprise applications such as 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. , document automation and corporate security. Based on the company's current cash position and projections the Company believes it is now self-funding self-funding, n the method of providing employee benefits in which the sponsor does not purchase conventional insurance but rather elects to pay for the claims directly, generally through the services of a third-party administrator. . CIC's 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. , Guido DiGregorio stated, "As we enter the new millennium, we believe that CIC is well positioned to participate in emerging, rapid growth markets. We have the right products and the right strategic partners. In addition, becoming self-funding provides the stability needed to capitalize on Cap´i`tal`ize on` v. t. 1. To turn (an opportunity) to one's advantage; to take advantage of (a situation); to profit from; as, to capitalize on an opponent's mistakes s>. our positioning as we move towards accelerated sales and profitability." The Company's OEM (Original Equipment Manufacturer) The rebranding of equipment and selling it. The term initially referred to the company that made the products (the "original" manufacturer), but eventually became widely used to refer to the organization that buys the products and revenues in 1999, new sales versus the recognition of past years' deferred revenue, more than doubled over 1998 (approximately $2,641,000 versus $1,300,000). This growth was driven primarily by license revenue from Ericsson and Microsoft, $1,500,000 and $400,000 respectively. Consumer sales of the Company's software sold primarily via CIC's website (www.cic.com), for the 1999 year, increased 402% to $1.7 million from $0.3 million as compared to the 1998 year. This growth reflects the rapid and effective porting of Jot(R) and QuickNotes(TM) to the Palm operating system operating system (OS) Software that controls the operation of a computer, directs the input and output of data, keeps track of files, and controls the processing of computer programs. (which runs on all Palm models) and new products introduced for the Palm operating system including InkSnap(TM), WordComplete(TM), RecoEcho(TM) and Sign-On(TM), the first biometric signature An authentication method that uses the dynamics of a person's handwritten signature. The pen pressure and duration of the signing process, which is done with a stylus on a touch screen or digital-based pen tablet, is recorded as an algorithm that is compared against future signatures. verification security utility for Palm organizers. Enterprise sales efforts in 1999 focused on leveraging our electronic signature solutions in fast growth, large potential applications such as e-Commerce, document automation and corporate security. This involved direct business development activity in signature dependent vertical markets including financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. , insurance, health care, and real estate in an effort to secure agreements for initial installations which have the potential for significant rollout and follow-up follow-up, n the process of monitoring the progress of a patient after a period of active treatment. follow-up subsequent. follow-up plan sales. The Company believes meaningful sales will result in the year 2000 and beyond based on the substantive progress made with target accounts, the present status of agreements, ongoing negotiations and sales activity with strategic partners. Communication Intelligence Computer Corporation (CICC CICC Custom Integrated Circuits Conference CICC Center for the Improvement of Child Caring (Studio City, CA) CICC China International Capital Corp. ), a 90% owned Chinese joint venture, achieved sales of $1.6 million in 1999. Breakthrough orders from Wacom, the largest digitizer tablet A graphics drawing tablet used for sketching new images or tracing old ones. Also called a "graphics tablet," the user contacts the surface of the device with a wired or wireless pen or puck. Often mistakenly called a mouse, the puck is officially the "tablet cursor. manufacturer in the world, and from Legend, the largest computer manufacturer in the PRC in January of 2000, confirm the success and acceptance of the Chinese versions of our core input technologies. The Company believes that CIC has significant growth potential in the year 2000 and beyond due to the emerging market in China for wireless Internet devices, the acceptance of our products by leading OEMs, the legitimacy LEGITIMACY. The state of being born in wedlock; that is, in a lawful manner. 2. Marriage is considered by all civilized nations as the only source of legitimacy; the qualities of husband and wife must be possessed by the parents in order to make the offspring and stability provided by joint venture status and the growth potential of the China market, now enhanced by World Trade Organization membership. Selected financial information follows. Detail corporate and financial information is available on CIC's website at www.cic.com. About CIC Communication Intelligence Corporation (CIC) is a leading supplier of natural input and electronic signature solutions for wireless Internet and e-Commerce applications. The Company's core software technologies include multilingual mul·ti·lin·gual adj. 1. Of, including, or expressed in several languages: a multilingual dictionary. 2. handwriting recognition Handwriting recognition is the ability of a computer to receive intelligible handwritten input. The image of the written text may be sensed "off line" from a piece of paper by optical scanning (optical character recognition). systems, dynamic signature verification, natural messaging, and operating system extensions that enable pen input. CIC's products are designed to increase the ease of use, functionality, and security of wireless electronic devices ranging from handheld companions to cellular phones. Key licensees of the Company's technologies include Ericsson, Fujitsu, Hitachi, Microsoft, Mitsubishi, National Semiconductor, and Symbian. CIC is headquartered in Redwood Shores, California Redwood Shores is an upscale and desirable [1] waterfront neighborhood on the San Francisco Peninsula in California. It is located on the eastern edge of Belmont, but is actually part of incorporated Redwood City. and has a joint venture, CICC, in Nanjing, China. For more information please visit our website at www.cic.com. Certain statements contained in this press release, including without limitation, statements containing the words "believes," "anticipates," "hopes," "intends," "expects," and other words of similar import, constitute "forward-looking" statements within the meaning of 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. Such statements involve known or unknown risks, uncertainties and other factors, which may cause actual events to differ materially from expectations. Such factors include the following: (1) technological, engineering, quality control or other circumstances CIRCUMSTANCES, evidence. The particulars which accompany a fact. 2. The facts proved are either possible or impossible, ordinary and probable, or extraordinary and improbable, recent or ancient; they may have happened near us, or afar off; they are public or which could delay the sale or shipment of the products; (2) economic, business, market and competitive conditions in the software industry and technological innovations which could affect the Company's business; (3) the Company's inability to protect its trade secrets or other proprietary rights, operate without infringing upon the proprietary rights of others or prevent others from infringing on the proprietary rights of the Company; and (4) general economic and business conditions and the availability of sufficient financing. Note to Editors: CIC, and its logo and Jot are registered trademarks and QuickNotes, InkSnap, WordComplete, RecoEcho and Sign-On are trademarks of Communication Intelligence Corporation. All other trademarks and registered trademarks are the property of their respective holders.
COMMUNICATION INTELLIGENCE CORPORATION
Selected Consolidated Statement of Operations Information
(In thousands, except per share amounts)
Fourth Quarter Ended Year Ended
(unaudited)
12/31/99 12/31/98 12/31/99 12/31/98
-------- -------- -------- --------
Revenue(1) $ 1,869 $ 899 $ 6,518 $ 4,581
Total cost of sales 1,019 577 3,317 1,973
Gross profit 850 322 3,201 2,608
Total operating
expenses 1,253 1,209 4,923 5,893
Operating profit
(loss) (403) (887) (1,722) (3,285)
Other (income)
expenses (43) 14 (18) (307)
Net loss(2) $ (446) $ (873) $ (1,740) $ (3,592)
Basic and diluted
net loss per
common share $ (0.01) $ (0.01) $ (0.02) $ (0.06)
Weighted average
common shares
outstanding 80,254 70,876 79,625 56,233
Selected Consolidated Balance Sheet Information
(In thousands)
12/31/99 12/31/98
-------- --------
Cash & cash equivalents $2,374 $ 795
Total current assets 4,205 2,368
Total assets 4,963 3,354
Deferred revenue(3) 35 651
Total current liabilities(4) 1,276 2,022
Total long-term debt 1,338 --
Stockholders' equity 2,349 1,332
NOTES:
(1) For the fourth quarter ended 12/31/98, revenues included $192
from discontinued retail hardware products. For the year ended
12/31/99 and 12/31/98, respectively, revenues included $78 and
$748 from discontinued retail hardware products. In addition,
revenues include recognition of past years deferred revenues of
$404 for the year ended December 31, 1998.
(2) Net loss for 1998 includes $435 of cumulative dividends related
to the Company's Series A and Series B Convertible Preferred
Stock.
(3) Deferred revenue consists principally of non-recurring
engineering payments from licensees.
(4) Includes deferred revenue.
|
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion