ISCO International Reports Fourth Quarter and Full Year 2004
Results; Record Backlog Entering 2005; and Investor Conference Call on February
25th at 4pm Eastern
ELK GROVE VILLAGE, Ill., Feb. 17 /PRNewswire-FirstCall/ -- ISCO International,
Inc. (AMEX:ISO), a leading global supplier of RF management and
interference-control solutions for the wireless telecommunications industry,
today reported financial results for the fourth quarter and full year 2004 and
record backlog going into 2005. Additionally, ISCO will host an investor call
on February 25th at 4pm (Eastern).
(Logo: http://www.newscom.com/cgi-bin/prnh/20010321/CGW036LOGO ) As previously announced, ISCO reported net revenues of $650,000 and $2.6
million for the three-month and twelve-month periods ended December 31, 2004,
respectively, versus $1.3 million and $3.2 million during the comparable
periods of 2003. The Company reported net losses of $2 million and $7 million
for the three-month and twelve-month periods ended December 31, 2004,
respectively, versus net losses of $319,000 and $7.2 million during the same
periods of 2003. ISCO recorded a gross margin of 42% for the year-ended
December 31, 2004, compared to 49% during 2003, due primarily to volume
efficiencies.
Entering 2005, ISCO reported customer orders for first quarter delivery in
excess of $2.5 million. These orders were related primarily to the deployment
of 3G data services within wireless telecommunications networks.
"We see the telecom infrastructure environment very different in 2005 than in
the prior several years, largely driven by industry expansion into 3G data
services," said Mr. John Thode, President and CEO of ISCO. "The challenges of
cost effective deployment, combined with user-defined levels of performance,
create opportunities where ISCO products add significant value. Whether it is
with our RF2 product family that enables integration of 3G services with
improved coverage and capacity or with our state-of-the-art ANF product family
that eliminates performance impacting RF impairments, ISCO's extensive
knowledge of RF management, integration and conditioning should allow us to be
much more of a strategic partner to our customers." As was announced on February 10th, ISCO and its lenders agreed to an extension
of the existing credit line that was scheduled to be due April 1, 2005. The
line has been extended for one year, to April 1, 2006. The rate of interest
during the extension period will be 9%. No warrants or other inducements were
issued as a result of this financing.
An investor conference call will be held on February 25, 2005, at 4pm eastern.
2004 results, the credit line extension, and 2005 matters will be discussed.
To participate in the call domestically, dial 1-877-707-9628. International
callers should dial 1-785-832-1508. The conference name is "ISCO." The call
will be replayed for 30 days at 1-800-934-3942 (or 1-402-220-1162 for
international callers).
Following the presentation, a short question and answer session will be held.
Participants are asked to dial in 10 minutes prior to the beginning of the
call. The call will be webcast live and then archived for 30 days. ISCO will
provide a link to the call on its web site ( http://www.iscointl.com/ ) for
both the live and archived versions.
Safe Harbor Statement Because the Company wants to provide investors with meaningful and useful
information, this news release contains, and incorporates by reference, certain
"forward-looking statements" that reflect the Company's current expectations
regarding the future results of operations, performance and achievements of the
Company. The Company has tried, wherever possible, to identify these
forward-looking statements by using words such as "anticipates," "believes,"
"estimates," "expects," "plans," "intends" and similar expressions. These
statements reflect the Company's current beliefs and are based on information
currently available to it. Accordingly, these statements are subject to
certain risks, uncertainties and contingencies, which could cause the Company's
actual results, performance or achievements to differ materially from those
expressed in, or implied by, such statements. These factors include, among
others, the following: the Company's ability to protect its intellectual
property; market acceptance of the Company's technology; the spending patterns
of wireless network operators in connection with the build out of 2.5G and 3G
wireless systems; the Company's ability to obtain additional financing in the
future; the Company's history of net losses and the lack of assurance that the
Company's earnings will be sufficient to cover fixed charges in the future;
uncertainty about the Company's ability to compete effectively against better
capitalized competitors and to withstand downturns in its business or the
economy generally; continued downward pressure on the prices charged for the
Company's products due to the competition of rival manufacturers of front-end
systems for the wireless telecommunications market; the timing and receipt of
customer orders; the Company's ability to attract and retain key personnel; and
the risk of legal proceedings. A more complete description of these risks,
uncertainties and assumptions is included in the Company's filings with the
Securities and Exchange Commission, including those described under the heading
"Risk Factors" in the Company's Annual Report on Form 10-K, as amended. You
should not place undue reliance on any forward-looking statements. The Company
undertakes no obligation to release publicly the results of any revisions to
any such forward-looking statements that may be made to reflect events or
circumstances after the date of this Report or to reflect the occurrence of
unanticipated events.
(Table Follows)
Three Months Ending
December 31, December 31,
2004 2003
UNAUDITED Net sales $650,000 $1,289,000
Costs and expenses:
Cost of sales 296,000 380,000
Research and development 359,000 232,000
Selling and marketing 361,000 246,000
General and administrative 1,394,000 410,000
Total costs and expenses 2,410,000 1,268,000 Operating Income/(Loss) $(1,760,000) $21,000 Other income (expense):
Interest income 3,000 --
Interest expense, incl. Warrants (252,000) (340,000)
Total other income (expense) $(249,000) $(340,000) Net income / (loss) $(2,009,000) $(319,000) Basic and diluted income / (loss)
per common share ($0.01) $(0.00) Weighted average number of common
shares outstanding 160,693,000 148,125,000 Twelve Months Ending
December 31, December 31,
2004 2003
UNAUDITED Net sales $2,622,000 $3,238,000
Costs and expenses:
Cost of sales 1,528,000 1,640,000
Research and development 1,119,000 988,000
Selling and marketing 1,165,000 960,000
General and administrative 4,758,000 5,614,000
Total costs and expenses 8,570,000 9,202,000 Operating loss $(5,948,000) $(5,964,000) Other income (expense):
Interest income 9,000 5,000
Interest expense, incl. Warrants (1,028,000) (1,197,000)
Total other income (expense) $(1,019,000) $(1,192,000) Net loss $(6,967,000) $(7,156,000) Basic and diluted loss per common
share $(0.04) $(0.05) Weighted average number of common
shares outstanding 158,977,000 148,081,000 Selected Balance Sheet Information:
December 31, December 31,
2004 2003 Cash and equivalents $402,000 $346,000
Working Capital excl. Debt $993,000 $1,101,000
Total Assets $16,986,000 $17,723,000
Debt, short term and long term,
including related accrued interest $8,643,000 $5,365,000
Stockholders' Equity $7,248,000 $10,943,000
Web site: http://www.iscointl.com/ http://www.newscom.com/cgi-bin/prnh/20010321/CGW036LOGO http://photoarchive.ap.org/ DATASOURCE: ISCO International, Inc.
CONTACT: Mr. Frank Cesario of ISCO International, Inc., +1-847-391-9492, or Web site: http://www.iscointl.com/
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