OTI Reports FY 2006 Third Quarter and Nine Months Financial Results
Monday November 20, 8:00 am ET
FORT LEE, N.J., Nov. 20 /PRNewswire-FirstCall/ -- On Track Innovations Ltd. (OTI) (Nasdaq: OTIV - News), a global leader in contactless microprocessor-based smart card solutions for homeland security, payments, petroleum payments and other applications, today announced its consolidated financial results for the third quarter and nine months ended September 30, 2006.
-- Revenues: $8.0 million for the three months ended September 30, 2006, a
decrease of 34% compared to $12.1 million in the same period last year.
Revenues for the first nine months of 2006 were $27.4 million, an
increase of 4% compared to $26.4 million in the same period last year.
-- Gross Margin: 43% compared to 35% in the third quarter of 2005. Gross
margin for the first nine months of 2006 was 45% compared to 35% in the
same period last year.
-- GAAP Net Loss: $(2.4) million, an increase of 14% compared to
$(2.1) million in the third quarter last year. GAAP net loss for the
first nine months of 2006 was $(6.3) million, a decrease of 7% compared
to $(6.8) million in the same period last year.
-- Non-GAAP Net Loss: $(1.7) million, a decrease of 19% compared to
$(2.1) million in the third quarter last year. Non-GAAP net loss for
the first nine months of 2006 was $(4.0) million, a 38% decrease
compared to $(6.5) million in the same period last year.
-- GAAP Loss per Share: $(0.16), compared to $(0.23) in the third quarter
of 2005. GAAP loss per share for the first nine months of 2006 was
$(0.47) compared to $(0.76) in the same period last year.
-- Non-GAAP Loss per Share: $(0.11) for the third quarter, compared to
$(0.22) for the same period last year. Non-GAAP net loss for the first
nine months of 2006, was $(0.29), compared to $(0.73) in the same
period last year.
Non-GAAP results for the third quarter and nine months of 2006 excludes the impact of SFAS 123® and amortization of intangible assets. Non-GAAP results for the third quarter and nine months of 2005 excludes amortization of intangible assets. Please see the attached tables for a full reconciliation of GAAP to Non-GAAP results.
"We are making good progress in our overall business," said Oded Bashan, President and CEO of OTI. "While we continued to see the effects of the protracted evaluation and validation period in the U.S. contactless payment cards market in Q3, we see no change in the positive long term outlook for this market and continue to expect acceleration of orders during 2007. All other segments of our business are tracking well and we have a strong pipeline of projects in each of our vertical markets."
Recent Developments
-- OTI to Acquire most of SuperCom\'s Assets
-- OTI and VeriFone demonstrated contactless reader solution at Cartes
show in Paris
-- OTI to provide USA Technologies next generation contactless payment
readers with initial orders for 10,000 readers
-- \'Yellow\' Convenience Stores to distribute and add loading
infrastructure for EasyPark
-- Chevron selected OTI\'s EasyFuel as its petroleum payment and automated
fuel management Solution
-- OTI delivers Garanti Bank of Turkey contactless card solutions
Conference call and Webcast Information
The Company has scheduled a conference call and simultaneous Web cast for Monday, November 20, 2006, which will be hosted by Oded Bashan, President and CEO, Guy Shafran, CFO, and Ohad Bashan, Chief Marketing Officer and President OTI America, for 9:00 AM EST to discuss operating results and Future outlook. To participate, call: 1-800-418-6860 (U.S. toll free) 1-809-245-917 (Israel toll free) 0-800-180-8316 (Germany toll free) 1-973-935-8756 (standard international) ID Code: OTI Q3 Conference call. To attend the Web cast, use the following links:
http://www.otiglobal.com/content.aspx?id=226For those unable to participate, the teleconference will be available for replay until midnight November 26th, by calling U.S.: 877-519-4471 or International; 973-341-3080 and entering the PIN number # 8126495 or on the web at:
http://www.otiglobal.com/content.aspx?id=226Use of Non-GAAP Financial Information
In addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, OTI uses non-GAAP measures of gross profit, net income and earnings per share, which are adjustments from results based on GAAP to exclude non-cash equity-based compensation charges in accordance with SFAS 123® and amortization of intangible assets. OTI management believes the non-GAAP financial information provided in this release provides meaningful supplemental information regarding our performance and enhances the understanding of the Company\'s on-going economic performance. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP. Management uses both GAAP and non-GAAP information in evaluating and operating the business and as such deemed it important to provide all this information to investors.
About OTI
Established in 1990, OTI (Nasdaq: OTIV - News) designs, develops and markets secure contactless microprocessor-based smart card technology to address the needs of a wide variety of markets. Applications developed by OTI include product solutions for petroleum payment systems, homeland security solutions, electronic passports and IDs, payments, mass transit ticketing, parking and loyalty programs. OTI has a global network of regional offices to market and support its products. The company was awarded the Frost & Sullivan 2005 and 2006 Company of the Year Award in the field of smart cards. For more information on OTI, visit
www.otiglobal.com.OTI Contact: Media Relations
Galit Mendelson Adam Handelsman
Director of Corporate Communications 5W Public Relations
201 944 5200 ext. 111 212 999 5585
galit@otiglobal.com ahandelsman@5wpr.com
Thread abonnieren
