ACS-Tech80 Ltd. Reports Second Quarter Results

Date : 07/22/2004 @ 8:00AM
Source : PR Newswire
Stock : Acs-Tech80 Limited (MM) (ACSEF)
Quote : 1.09  0.0 (0.00%) @ 1:05AM
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ACS-Tech80 Ltd. Reports Second Quarter Results

ACS-Tech80 Ltd. Reports Second Quarter Results

MIGDAL HA'EMEK, Israel, July 22 /PRNewswire-FirstCall/ -- ACS-Tech80 Ltd., (NASDAQ:ACSEFNASDAQ:-NASDAQ:news), a developer of proprietary software and advanced electronics for the production of motion control products, today reports second quarter revenues and earnings.

Revenues for the second quarter were $3,689,000, compared to $2,097,000 recorded in the second quarter a year ago. Net income for the second quarter of 2004 was $668,000, or $0.20 per share, compared to $164,000, or $0.06 per share in the second quarter last year. Revenues for the first six months period ended June 30, 2004 were $6,684,000, compared to $4,080,000 in the same period a year ago. Net income for the first six months ended June 30, 2004 was $1,142,000, or $0.34 per share, compared to $231,000, or $0.08 per share recorded in the same period a year ago.

This is the sixth quarter in a row with sequential increase both in revenues and in net income. Now, approximately one-third into the third quarter of 2004, we see a further increase in demand for our products. Therefore, we expect a further improvement in the operating results of the third quarter.

This press release contains forward-looking statements. Such statements involve various risks that may cause actual results to differ materially. These risks and uncertainties include, but are not limited to: market demand for the Company's product, successful implementation of the Company's product, competitive factors, the ability to manage the Company's growth and the ability to recruit additional personnel.

2004, Q2 Consolidated Statements Six months Three months Year of Operations ended ended ended June 30, June 30, December 31, 2004 2003 2004 2003 2003 Consolidated U.S. Dollars in thousands

Revenues 6,684 4,080 3,689 2,097 9,205

Cost of revenues 3,555 1,974 1,985 1,001 4,548

Gross profit 3,129 2,106 1,704 1,096 4,657 Research and development costs Costs incurred 739 689 376 350 1,415 Less-grants received (171) (220) (171) (91) (430) Net research and development costs 568 469 205 259 985

Proceeds from insurance claim (182) - - - - Selling, general and administrative 1,416 1,348 763 701 2,801 expenses, net

Total operating costs 1,802 1,817 968 960 3,786

Operating income 1,327 289 736 136 871 Financing income (expenses), net (64) (8) (28) 28 (21) Other income (expenses), net (2) (2) (2) (2) (9) Income before taxes on income 1,261 279 706 162 841 Taxes on income (expense), net (119) (48) (38) 2 (19)

Net income 1,142 231 668 164 822

Earnings per Share - in U.S. Dollars Basic net earnings per share 0.34 0.08 0.20 0.06 0.28 Diluted net earnings per share 0.34 0.08 0.20 0.06 0.26

Weighted average number of Shares outstanding Basic - in thousands 3,339 2,795 3,339 2,795 2,965 Diluted - in thousands 3,339 2,795 3,339 2,795 3,269

2004, Q2 Consolidated Balance Sheets June 30, December 31, 2004 2003 2003 Consolidated U.S. Dollars in thousands ASSETS Current assets Cash and cash equivalents 2,273 1,365 1,730 Short-term bank deposits 578 1,024 1,029 Accounts receivable: Trade 3,576 1,859 2,445 Other 583 518 348 Inventories 2,966 2,160 1,981 Total current assets 9,976 6,926 7,533

Long-term assets Deferred income taxes 193 257 245 Investment in Held Company 1,218 1,218 1,218 Long-term balances 98 22 96 1,509 1,497 1,559

Property and equipment Cost 3,415 3,341 3,336 Less - accumulated depreciation 2,360 1,987 2,160 1,055 1,354 1,176

12,540 9,777 10,268

LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Current maturities of long-term loans 181 1,260 1,349 Accounts payable and accruals: Trade 2,715 816 1,354 Other 1,082 918 901 Total current liabilities 3,978 2,994 3,604 Long-term liabilities Long-term loans, net of current - 722 - maturities Long-term accrued expenses 36 - 62 Accrued severance pay, net 145 195 142 Total long-term liabilities 181 917 204

Shareholders' equity Share capital - Ordinary Shares of NIS 0.01 par value (Authorized: 8,000,000; Issued and outstanding: June 30, 2004 - 3,070,147, June 30, 2003 - 2,820,002 Dec 31, 2003 - 2,821,752) 9 9 9

Treasury stock (June 30, 2004 and 2003 - 24,801 (346) (346) (346) Dec 31, 2003 - 24,801)

Share premium 6,621 5,559 5,842 Retained earnings 2,097 644 955 8,381 5,866 6,460

12,540 9,777 10,268

DATASOURCE: ACS-Tech80 Ltd.

CONTACT: Contact: Ze'ev Kirshenboim, CEO, ACS-Tech80 Ltd.,

(+011-972-4-654-6440)

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