DATARAM RECORDS 114 PERCENT EARNINGS INCREASE
IN SECOND QUARTER OF FISCAL 1992
PRINCETON, N.J., Nov. 13 /PRNewswire/ -- Dataram Corporation (AMEX: DTM), a developer, manufacturer and marketer of quality computer memory and peripheral products, today reported a 114 percent increase in net earnings for the second quarter of its fiscal 1992 over last year's same period.
Earnings for the quarter ended Oct. 31, 1991, were $568,000 or 45 cents per share, vs. $265,000 or 21 cents per share, for the year- earlier period.
Revenues were $8.8 million -- the highest quarterly total ever in Dataram's history and an increase of 28 percent over the $6.9 million for the same period of fiscal 1991. This marks the seventh consecutive quarter in which the company established a new revenue record.
For the six months of fiscal 1992, net earnings totalled $1,048,000 or 83 cents per share. This figure represents a 63 percent increase over net earnings of $642,000 or 51 cents per share, during the first six months of fiscal 1991. Six-month revenues were $16.5 million, compared to $13.7 million for the comparable period last year.
Dataram currently makes more than 50 different memory products for minicomputers, workstations and servers made by DEC, HP/Apollo, Sun, IBM, SGI and DG.
Commenting on the company's strong financial performance, President and Chief Executive Officer Robert V. Tarantino attributed the results to the successful development, market launch and customer acceptance of new Dataram memory products, especially among users of DEC, HP/Apollo and Sun computers.
"Our revenue and earnings growth was driven primarily by our fast- response development cycle and our responsive customer service," said Tarantino. "The first enables us to streamline our product development process so that we can make available in a timely way the expansion memory that users need. The second enables us to put our new upgrades into the hands of users when they need them and to help them keep their computers running productively."
In the quarter just ended, Dataram was first among the add-in memory providers to announce and deliver upgrades for Sun's popular SPARC 2 workstations and servers. In a succession of timely product launches over the last 12 months, Tarantino added, the company also was first to introduce expansion memory for DEC's VAX 6000 and DECsystem 5500 and for HP's 9000 Model 425e and 700 Series.
Tarantino credited Dataram's extensive portfolio of support programs for helping the company establish and solidify customer relationships. "Programs like our lifetime guarantee, 24-hour delivery and service-call expense reimbursement build confidence in memory buyers that we stand behind our memory -- and our customers -- for as long as our products are being used in their computers."
During the quarter, Dataram also continued to build its sales organization, opening an office in Toronto, Ontario, to serve the needs of Canadian computer users. The company now has a total of 40 salespeople serving customers out of 18 offices worldwide.
Looking ahead, Tarantino said he was pleased with the company's performance but emphasized that, in order to grow, Dataram must do more. "We have the organizational structure, the people and the plans in place to provide memory products and services needed by computer users in a timely way," he explained. "We expect this customer responsiveness to sharpen our competitive advantage and help us strengthen our position in the market."
DATARAM CORPORATION AND SUBSIDIARIES
Consolidated Summary Information
(In thousands, except per-share amounts)
Periods ended Second quarter Six months
Oct. 31 1991 1990 1991 1990
Revenues $8,842 $6,889 $16,546 $13,734
Net earnings 568 265 1,048 642
Net earnings per share $.45 $.21 $.83 $.51
Average shares outstanding 1,253 1,242 1,256 1,251
/CONTACT: Frank Kardashian, vp-finance of Dataram, 609-799-0071/
(DTM) CO: Dataram Corporation ST: New Jersey IN: CPR SU: ERN KA-LJ -- PH003 -- 3796 11/13/91 09:23 EST