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 JACKSONVILLE, Fla., Nov. 2 /PRNewswire/ -- UNIQUEST Incorporated (NASDAQ: UQST) announced today its financial results for the fiscal year ended May 31, 1993, which, as previously reported, reflected certain non-recurring charges recorded in the fourth quarter. The company also unveiled a board-directed organizational restructuring intended to reduce overhead, improve productivity, and permit the company to more rapidly benefit from the combined strengths of acquired operations.
 The company reported a net loss of $18,069,055, or $.70 per common and common equivalent share, for fiscal year 1993, as compared to a net loss of $277,744, or $.01 per common and common equivalent share for fiscal 1992. The net loss primarily resulted from some $14,000,000 of accelerated amortization arising from previous acquisitions and an organizational restructuring by the board. The implementation of the restructuring resulted in a one-time restructuring charge of $212,000. Revenues for fiscal 1993 were $24,697,245, an increase of 29 percent, compared to fiscal 1992 revenues of $19,173,282. Gross profit was $12,294,596, an increase of $1,940,000, or 19 percent, compared to fiscal 1992. In connection with the company's review of the financial information from its acquisition activities, the company believes it will also restate results from previous quarters in fiscal 1993 and, therefore, results for the fourth quarter ended May 31, 1993 are not available. The financial impact of these restatements has been considered in the net loss reported for fiscal year 1993.
 The company expects to report a loss for the first quarter of fiscal 1994, primarily due to overhead associated with the acquisitions and the complexity of integrating those acquisitions. No further charges related to the organizational restructuring or prior acquisitions are expected.
 Highlights for fiscal 1993 include a third consecutive year of record sales for UNIQUEST and the successful completion of five acquisitions. CheckRobot, Inc., Advanced Cybernetics, Inc. (ACI), and PRJ&, Inc. (PRJ&) were acquired by merger and the company purchased through foreclosure sales the assets of Infotronx, Inc. and Concept Systems, Inc. (CSI). These acquisitions established a strong market presence for UNIQUEST as the premier supplier of software to the retail industry and helped further strengthen the company's critical mass. Another highlight of 1993 was the successful introduction of the company's Automated Checkout Machine (ACM(R)) in several major supermarket chains. The systems were well received by consumers and by supermarket management.
 The company has been restructured into market-driven business units, replacing its previous functional structure. This enables management to achieve a more focused approach to the market, improves response to changing market needs, and reduces costs, ultimately increasing profits. Two divisions were created with the objective of obtaining sufficient size and market penetration in certain industries. The Retail division is comprised of business units that target products to department stores, specialty stores, mass merchants and supermarkets. The company believes that it has integrated and stabilized the operations of ACI, CSI, and PRJ& into its retail business unit which will enable this unit to at least maintain current annual revenues of approximately $35,000,000. The Corporate division is comprised of the hospitality, healthcare, utilities/government, and distribution units. The company also believes that this division will maintain its current annual revenues of approximately $10,000,000.
 The industry-specific applications development and professional services groups, which were servicing the entire company, now report to their respective business units within the divisions. The restructuring will save approximately $1,500,000 in annualized costs of which approximately $1,100,000 will be realized in fiscal 1994. This is expected to put the company's expenses, in general, in line with industry standards.
 Commenting on fiscal 1993 and the outlook for UNIQUEST, David C. Fries, recently-appointed chairman of the board, said, "The progress of 1993 coupled with the inherent benefits of the restructuring, positions UNIQUEST for growth, stability and profitability. The company made sound progress in identifying and physically assembling the components necessary to fulfill our strategic vision, that value can be created by utilizing a common foundation code to build and maintain integrated sets of decision support software for the needs of specific industry segments. The company has a positive pattern of increasing revenue, has strengthened financial controls, and is focused on markets that it believes it can dominate. This demonstrates a strong, corporate focus which will continue to be guided by an active board. We feel that 1994 will be a benchmark year for UNIQUEST."
 UNIQUEST Incorporated is a leading provider of integrated software applications, systems and services to targeted markets including the retail, hospitality, healthcare, and distribution industries worldwide. The growing family of UNIQUEST solutions uses advanced technology to help customers to run their businesses better by improving critical day- to-day management, increasing operational efficiencies, and enhancing revenue growth for improved operations and profitability.
 Consolidated Statements of Net Income (Loss) For The
 Years Ended May 31, 1993, 1992, and 1991
 1993 1992 1991
 Revenues $24,697,245 $19,173,282 $11,204,902
 Cost of revenues 12,402,649 8,818,939 5,135,648
 Gross profit 12,294,596 10,354,343 6,069,254
 Operating expenses:
 General & administrative 6,726,998 3,460,824 2,138,809
 Research and development 3,805,215 3,139,005 2,468,670
 Selling 4,441,907 3,426,886 1,726,726
 Amortization of intangible
 assets 14,833,438 261,785 77,583
 Total operating expenses 29,807,558 10,288,500 6,411,788
 Operating earnings (loss) (17,512,962) 65,843 (342,534)
 Other income (expense) net
 Interest, net (135,223) 8,144 (26,064)
 Reorganization expenses (211,924) (140,057) --
 Other, net 63,472 106,014 155,863
 Earnings (loss) before income
 taxes (17,796,637) 39,944 (212,735)
 Income taxes 351,556 267,688 287,868
 Loss before extraordinary
 item (18,148,193) (227,744) (500,603)
 Extraordinary item - income
 tax benefit from utilization
 of net operating loss
 carryforward 79,138 -- --
 Net loss $(18,069,055) $ (227,744) $ (500,603)
 Net loss per common and
 common equivalent share:
 Loss before
 extraordinary item $(.70) $(.01) $(.05)
 Extraordinary item -- -- --
 Net loss $(.70) $(.01) $(.05)
 Weighted average number of
 shares of common stock
 outstanding 25,816,088 16,707,530 10,269,226
 Consolidated Balance Sheets
 May 31, 1993 and 1992
 1993 1992
 Current assets:
 Cash and cash equivalents $ 883,605 $ 6,495,332
 Trade accounts receivable, net 8,999,431 5,387,315
 Inventories 965,387 173,128
 Prepaid expenses and
 other current assets 405,996 1,114,207
 Total current assets 11,254,419 13,169,982
 Property and equipment, net 2,982,380 1,492,168
 Capitalized software costs, net 3,286,762 838,401
 Other assets 244,033 733,131
 Intangible assets, net 12,228,099 3,202,618
 Total $29,995,693 $19,436,300
 Liabilities and stockholders' equity:
 Current liabilities:
 Current installments of
 notes payable $ 8,549,236 $ 1,779,535
 Trade accounts payable 3,047,506 2,710,938
 Accrued expenses 3,652,984 715,771
 Current installments of capital
 lease obligations 188,903 68,134
 Deferred revenues 4,883,407 3,053,862
 Total current liabilities 20,322,036 8,328,240
 Notes payable less current installments 86,500 127,088
 Obligations under capital lease, less
 current installments 55,652 98,227
 Other liabilities -- 230,393
 Total liabilities 20,464,188 8,783,948
 Stockholders' equity:
 Preferred stock, $0.10 par value,
 3,000,000 shares authorized:
 Series A, $.10 par value.
 1,000 shares authorized;
 issued and outstanding in
 1993 and 1992 100 100
 Series D, $.10 par value.
 2,200,000 shares authorized;
 1,993,464 shares issued and
 outstanding in 1993 and none 1992 199,346 199,346
 Series E, $.10 par value.
 644,780 shares authorized;
 644,780 shares issued and
 outstanding in 1993 64,478 --
 Common stock, $0.01 par value.
 50,000,000 shares authorized;
 25,568,976 and 17,409,462 issued
 and outstanding in 1993 and 1992,
 respectively 255,690 (174,095)
 Additional paid-in capital 30,881,223 (12,255,984)
 Retained deficit (21,869,332) (1,977,173)
 Total stockholders' equity 9,531,505 10,652,352
 Total $29,995,693 $19,436,300
 -0- 11/2/93
 /CONTACT: Fred Goldsmith of UNIQUEST, 904-363-0103, or Paul F. Steidler or Stephanie Ferrell of Morgen-Walke Associates, 212-850-5600/

CO: UNIQUEST Incorporated ST: Florida IN: CPR SU: ERN

GK-TM -- NY005 -- 9658 11/02/93 12:34 EST
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Publication:PR Newswire
Date:Nov 2, 1993

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