Covista Communications, Inc. Announces Operating Results for Fiscal Year Ended January 31, 2003.Business Editors CHATTANOOGA, Tenn.--(BUSINESS WIRE)--May 21, 2003 Covista Communications, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on symbol: CVST CVST Chinese Visiting Scholars in Toronto (Canada) ) today announced results for its fiscal year ended January 31, 2003. Revenues for the fiscal year were $100,959,692 as compared with revenues of $95,312,696 for the prior fiscal year. Covista reported a net loss of $9,407,479 or $ .71 per share for the fiscal year ended January 31, 2002, as compared with a net loss of $11,969,588 or $1.17 per share for the prior fiscal year. For the fourth fiscal quarter ended January 31, 2003, revenues were $23,957,418 as compared with revenues of $16,509,657 for the comparable quarter of the prior fiscal year. Covista reported a net loss of $2,895,233 or $0.19 per share for the quarter, compared with a net loss of $5,603,531 or $0.52 per share for the comparable quarter of the prior fiscal year. John Leach John Leach can refer to :
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. , comprised of cash, debt to equity conversion, and switching equipment. This investment, $12,500,000 coming from Covista's Chairman, Henry G. Luken III, has materially strengthened our balance sheet, and underscores Mr. Luken's continued strong commitment to our Company Mr. Leach continued, "Looking ahead to fiscal 2004, I am pleased to report that on April 16, 2003, Covista finalized a revolving credit agreement Revolving credit agreement A legal commitment in which a bank promises to lend a customer up to a specified maximum amount during a specified period. revolving credit agreement See line of credit. of up to $8,000,000 with Capital Source Finance LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control . The Company also plans to introduce local service in the second quarter of the current fiscal year. Going forward, we will continue to scrutinize scru·ti·nize tr.v. scru·ti·nized, scru·ti·niz·ing, scru·ti·niz·es To examine or observe with great care; inspect critically. scru our costs and optimize our network as we move closer to our fundamental goal of producing net income." About Covista: Covista is a facilities-based long distance telecommunications, Internet and data services provider with a substantial customer base principally the residential and small to medium sized business. Its products and services include a broad range of voice, data and Internet solutions, including long distance and toll-free services, calling cards, frame relay A high-speed packet switching protocol used in wide area networks (WANs). Providing a granular service of up to DS3 speed (45 Mbps), it has become popular for LAN to LAN connections across remote distances, and services are offered by most major carriers. , Internet access See how to access the Internet. , VPN (Virtual Private Network) A private network that is configured within a public network (a carrier's network or the Internet) in order to take advantage of the economies of scale and management facilities of large networks. , directory assistance and teleconferencing services. The wholesale division provides domestic and international termination services to carriers worldwide. Covista currently owns and operates switches in New York City New York City: see New York, city. New York City City (pop., 2000: 8,008,278), southeastern New York, at the mouth of the Hudson River. The largest city in the U.S. , Philadelphia, Dallas and Chattanooga, and has announced plans to expand to an additional switch site in Minneapolis. Covista operates Network Operations; call center and information technology facilities in Chattanooga to monitor its switched network and to coordinate its various services. For information on becoming a Covista customer, please telephone 800-805-1000 or visit the Company's website at www.covista.com.
FISCAL YEAR ENDED JANUARY 31
We are providing the following consolidated summary of operations for
the fiscal year ended January 31, 2003 and 2002 (Amounts and number of
shares in thousands except per share data):
2003 2002
--------- ---------
Revenue $100,960 $95,313
Cost and Expenses 110,127 107,475
Operating Loss (9,167) (12,162)
Other Income (Expense) (752) 192
Loss before
income taxes (9,919) (11,970)
Income tax refund 512
Comprehensive Loss $(9,407) $(11,970)
Basic loss per common share $(0.71) $(1.17)
Diluted loss per common share $(0.71) $(1.17)
Average Number of Shares
Basic 13,283 10,204
Diluted 13,283 10,204
QUARTER ENDED JANUARY 31
---------------------------
2003 2002
-------- --------
Revenue $23,598 $16,510
Cost and Expenses 26,058 22,061
Operating Loss (2,460) (5,551)
Other Income (Expense) (435) (54)
Net loss (2,895) (5,605)
Comprehensive Loss $(2,895) $(5,605)
Basic loss per common share $(0.19) $(0.52)
Diluted loss per common share $(0.19) $(0.52)
Average Number of Shares
Basic 15,238 10,836
Diluted 15,238 10,836
Information relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc forward-looking statements: This press release contains historical and forward-looking statements made pursuant to the 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. provisions of the private securities litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. act of 1995. Investors are cautioned that forward-looking statements such as statements of the company's plans, objectives, expectations and intentions involve risks and uncertainties. The cautionary statements made in this release should be read as being applicable to all related statements wherever they appear. Statements containing terms such as "believes," "expects," "plans," "projects," "intends," "estimates," "anticipates," or similar terms, are considered to contain uncertainty and are forward-looking statements. The actual results could differ materially from those discussed. Factors that could contribute to such differences include: changes in market conditions and increased competition from other telecommunications and internet service providers Internet service provider (ISP) Company that provides Internet connections and services to individuals and organizations. For a monthly fee, ISPs provide computer users with a connection to their site (see data transmission), as well as a log-in name and password. ; government regulations; the volatile and competitive environment for internet telephony Another term for IP telephony and VoIP. In the late 1990s, some people made a distinction between Internet Telephony and VoIP: Internet telephony referred to voice over the public Internet, while VoIP referred to voice over private IP networks. ; advances in competitive products or technologies that could reduce demand for services; availability of transmission facilities; management of rapid growth; customer concentration and attrition; the ability to successfully integrate acquired companies; the ability to successfully develop and bring new services to market; inaccurate or incomplete assumptions on the part of management; and other risks discussed in the company's SEC filings, including 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. and form 10-q Form 10-Q See 10-Q. , which can be accessed at the SEC web site at www.sec.gov. Readers of this release should understand that it is not possible to predict or identify all such risk factors. Consequently, this list should not be considered a complete statement of all potential risks or uncertainties. Covista does not assume the obligation to update any forward-looking statement, except as is required by applicable law. |
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