Dictaphone Expects Strong Growth in Third Quarter Operating Profits.STRATFORD, Conn.--(BUSINESS WIRE)--Oct. 15, 1999-- Dictaphone Corporation today announced that it expects third quarter revenue to grow by approximately 12% to $95.9 million as compared to $85.9 million for the same period in 1998. Operating profit Operating profit (or loss) Revenue from a firm's regular activities less costs and expenses and before income deductions. operating profit See operating income. is expected to be $11.7 million compared to $4.4 million for the third quarter of 1998. Earnings before interest and taxes In financial and business accounting, earnings before interest and taxes (EBIT) is a measure of a firm's profitability that excludes interest and income tax expenses.[1] EBIT = Operating Revenue – Operating Expenses + Non-operating Income plus depreciation and amortization (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 ) for the quarter is expected to be approximately $16.5 million, 52% over the comparable period last year. For the nine months ended September 30, 1999, the Company is expected to report revenue of $264.1 million and operating profit of $27.5 million, compared to a profit of $2.2 million for the first nine months of 1998. Year to date EBITDA is expected to be $44.0 million. John H. Duerden, Chairman and Chief Executive Officer said "We had another strong quarter driven by excellent performance from both our healthcare business and international operations Internal Operations (I.O., IO or I/O) is a fictional American Intelligence Agency in Wildstorm comics. It was originally called International Operations. I.O. first appeared in WildC.A.T.S. volume 1 #1 (August, 1992) and was created by Brandon Choi and Jim Lee. . We have demonstrated Dictaphone has clear product leadership and an extremely strong presence in the healthcare market. We are equally excited about our opportunities in the communication recording market as we release our new generation of recording systems and call center monitoring solutions in the fourth quarter." "We are pleased with our third quarter and year to date results," said Joseph D. Skrzypczak, Chief Operating Officer Chief Operating Officer (COO) The officer of a firm responsible for day-to-day management, usually the president or an executive vice-president. . "The third quarter results adds a level of consistency to our financial performance. This year's strong financial performance reflects focus on our core businesses and a disciplined approach to the execution of our operating plan. Our goals for the rest of the year will be to build a strong order backlog for our new state of the art recording systems as we continue to grow the healthcare business." Mr. Skrzypczak went on to say, "During the third quarter the Company also improved its liquidity position. After making the August senior subordinated debt Subordinated Debt A loan (or security) that ranks below other loans (or securities) with regard to claims on assets or earnings. Also known as "junior security" or "subordinated loan". interest payment, the Company ended the third quarter with a cash position, coupled with availability under the Revolving Credit Revolving Credit A line of credit where the customer pays a commitment fee and is then allowed to use the funds when they are needed. It is usually used for operating purposes, fluctuating each month depending on the customers current cash flow needs. Facility, of $23.3 million." Dictaphone Corporation of Stratford, Connecticut Stratford is a town in Fairfield County, Connecticut, United States, located on Long Island Sound at the mouth of the Housatonic River. It was founded by Puritans in 1639. The population was 49,976 at the 2000 census. is a leader in the development, manufacture, marketing, service and support of Integrated Voice and Data Management systems and software, which include dictation, voice processing The computerized handling of voice, which includes voice store and forward, voice response, voice recognition and text to speech technologies. , voice response, unified messaging, records management and communications recording. Dictaphone has a marketing, sales, service and support organization of more than 1,375 representatives in more than 160 cities in the U.S., the United Kingdom, Canada and Germany. The Company also markets worldwide through a growing number of distributors in Europe, Latin America, Asia Pacific, South Central Asia, the Middle East and Africa. The Company's revenue in 1998 was $332 million. The foregoing projections are "forward-looking" statements within the meaning of the Federal Securities Laws. Because such statements include risks and uncertainties, actual results may differ from the estimates provided. The Company undertakes no duty to update such forward-looking statements. Factors that could cause actual results to differ from these forward-looking statements include, but are not limited to, those disclosed previously and from time to time in the Company's Annual Report 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 other public filings. |
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