Electronic Retailing Systems International reports year end and fourth quarter results.WILTON Wilton, town, United States Wilton, town (1990 pop. 15,989), Fairfield co., SW Conn.; settled c.1701, inc. 1802. It is a residential and agricultural town. Wilton, town, England Wilton, town (1991 pop. , Conn.--(BUSINESS WIRE)--March 29, 1996--Electronic Retailing Systems International 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 :ERSI ERSI Environment Remote Sensing Institute ) today reported financial results for the year and for the quarter ended Dec. 31, 1995. Total revenues for the year ended Dec. 31, 1995 were $2,973,000, as compared to $2,376,000 for the year 1994. Net loss for the year was $10,868,000, or 95 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. , compared to a net loss for 1994 of $11,278,000, or 97 cents per share. The 1994 loss included a non-recurring charge of $300,000, or 3 cents per share, for upgrading established customer installations and non-cash charges Non-Cash Charge A charge off, made by a company against earnings, that does not require an initial outlay of cash. Notes: Non-cash charges are typically against the depreciation, amortization, and depletion accounts on a company's balance sheet. for stock option compensation expense of $1,119,000, or 10 cents per share. Per share amounts do not reflect common stock equivalents that are anti-dilutive. Revenues for the fourth quarter of 1995 totaled $1,070,000 compared to $209,000 for the same period last year. The net loss was $2,573,000 for the quarter ended Dec. 31, 1995, or 24 cents per share. The net loss for the 1994 quarter was $3,094,000, or 26 cents per share, including $288,000, or 2 cents per share, for non-cash charges for employee stock option compensation expense. Commenting on the results, Bruce Bruce, Scottish royal family descended from an 11th-century Norman duke, Robert de Brus. He aided William I in his conquest of England (1066) and was given lands in England. F. Failing Jr., ERS's president and chief executive officer stated, "We are gratified grat·i·fy tr.v. grat·i·fied, grat·i·fy·ing, grat·i·fies 1. To please or satisfy: His achievement gratified his father. See Synonyms at please. 2. by our results which demonstrate the significant appeal of our electronic labeling ShelfNet(TM) system. We are confident that the improvements in both revenues and income that we began to see in the fourth quarter will continue." Failing further stated that, "During 1995, the company was successful in raising an aggregate of $12 million from preferred stock Stock shares that have preferential rights to dividends or to amounts distributable on liquidation, or to both, ahead of common shareholders. Preferred stock is given preference over common stock. Holders of preferred stock receive dividends at a fixed annual rate. placements to its principal stockholders and members of its board and through February February: see month. had further access to its credit facility with the Connecticut Connecticut, state, United States Connecticut (kənĕt`ĭkət), southernmost of the New England states of the NE United States. It is bordered by Massachusetts (N), Rhode Island (E), Long Island Sound (S), and New York (W). Development Authority. Securing additional financing is critical to our continuing operation as a going concern and obviously one of our highest current priorities. We are actively seeking additional financing as required." ERS ERS, n.pr See extended rotated side-bent. is a leading developer and supplier of electronic shelf labeling Electronic Shelf Label is a system used by Retailers for displaying price on shelves. Automating the price change process enhances in-store merchandising and store compliance. These features add up to increased sales and reduced overall operational costs. systems in the emerging market for these systems. The ERS ShelfNet(TM) system assists retailers in providing accurate pricing by linking a store's central computer both to its check-out scanner (1) See also antivirus program. (2) An optical device that reads a printed page or transparency and converts it into a graphics image for the computer. The scanner does not recognize or differentiate in any manner the content of the material it is scanning. and to the ERS electronic liquid crystal display liquid crystal display (LCD) Optoelectronic device used in displays for watches, calculators, notebook computers, and other electronic devices. Current passed through specific portions of the liquid crystal solution causes the crystals to align, blocking the passage of light. shelf labels at the shelf edge. The ERS system allows for pricing information to be automatically changed on the electronic shelf labels when prices in the point-of-sale scanner are changed. This system eliminates the need for paper price tags, which require labor-intensive servicing and do not provide the level of pricing accuracy provided by electronic shelf label systems. ERS's systems also includes patented software applications that are intended to provide additional merchandising merchandising Element of marketing concerned especially with the sale of goods and services to customers. One aspect of merchandising is advertising, which aims to capture the interest of the segment of the population most likely to buy the product. , space management and inventory management benefits to retailers through the ability to communicate additional product information to and from the aisle. -0-
Electronic Retailing Systems International Inc.
Condensed Consolidated Statement of Operations
(in thousands, except per share amounts)
Three Months Year
Ended Dec. 31, Ended Dec. 31,
1995 1994 1995 1994
Revenues Product sales $ 945 $ 122 $ 2,663 $ 2,227 Maintenance 125 87 310 149 Total revenues 1,070 209 2,973 2,376 Cost of goods sold 1,350 511 4,113 3,822 Gross profit (280) (302) (1,140) (1,446) Operating expenses Selling, general and administrative 1,908 1,635 6,952 6,039 Research and development 397 821 2,491 2,571 Stock option expense (income) (53) 288 27 1,119 Depreciation and amortization 26 28 107 149 Total operating expenses 2,278 2,772 9,577 9,878 Loss from operations (2,558) (3,074) (10,717) (11,324) Other income (expense), net (15) (20) (151) 46 Net loss $ (2,573) $ (3,094) $ (10,868) $ (11,278) Earnings per share Weighted average common shares outstanding 11,748 11,720 11,743 11,682 Net loss per common share $ (0.24) $ (0.26) $ (0.95) $ (0.97)
Electronic Retailing Systems International Inc.
Condensed Consolidated Balance Sheet
(in thousands)
Dec. 31, Dec. 31,
1995 1994
Assets Current assets $ 7,049 $ 4,398 Property, plant and equipment, net 682 664 Other non-current assets 585 133 Total assets $ 8,316 $ 5,195 Liabilities and Stockholders' Equity Current liabilities $ 1,766 $ 946 Long-term debt 3,335 1,981 Stockholders' equity 3,215 2,268 Total liabilities and stockholders' equity $ 8,316 $ 5,195 CONTACT: Electronic Retailing Systems International Inc., Wilton Bruce F. Failing Jr., 203/761-7900 |
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