RA'ANANA, Israel and
POWDER SPRINGS, Georgia,
Sept. 12, 2019 /PRNewswire/ -- Mer
Telemanagement Solutions Ltd. (MTS) (Nasdaq Capital
Market: MTSL), a global provider of telecommunications expense
management (TEM) and call accounting, today released its financial
results for the six months ended June 30,
2019.
The Company recorded revenues of $2.6
million for the six months ended June
30, 2019, compared with $2.9
million for the six months ended June
30, 2018. The Company incurred a net loss of $220,000, or $0.04
per diluted share, for the six months ended June 30, 2019 compared with a net loss of
$1 million, or $0.34 per diluted share, for the comparable
period in 2018.
Commenting on the results, Mr. Roy
Hess, Chief Executive Officer of MTS, said, "Our results in
2019 reflect our efforts to improve our operating margins in light
of the business pressures that we face. The telecommunications side
of our business continues to be stable as we have maintained a high
level of customer satisfaction.
We recently entered the field of Omnichannel Contact Center
Software. In June 2019, we introduced
Omnis - Contact Center Software with "Out-Of-The-Box"
multi-channel capabilities and open channel architecture. This
product enables users to connect whenever and however they choose
through voice, emails, chat, social media and more. Managing
real-time, multi-channel interaction is simple with the Omnis
Unified Interface, allowing employees to handle different
interactions under one Omnichannel Desktop with real-time
visibility into customer information, customer journey and previous
interactions. We expect to see first revenues from this new product
during the second half of 2019 and consider Omnis - Contact Center
Software as our main growth engine. In addition, we continue to
explore opportunities for a potential business combination".
About MTS
Mer Telemanagement Solutions Ltd. (MTS) is focused on innovative
products and services for enterprises in the area of telecom
expense management (TEM) and call accounting. Headquartered in
Israel, MTS markets its solutions
through wholly-owned subsidiaries in Israel, the U.S and Hong Kong, as well as through distribution
channels. For more information please visit the MTS web site:
www.mtsint.com.
Certain matters discussed in this news release are
forward-looking statements that involve a number of risks and
uncertainties including, but not limited to, the Company's ability
to achieve profitable operations, its ability to
continue to operate as a going concern, its ability to continue to
meet NASDAQ continued listing requirements, customer
acceptance of new products, the impact of competitive products and
pricing, market acceptance, the lengthy sales cycle, proprietary
rights of the Company and its competitors, risk of operations in
Israel, general economic
conditions and other risk factors detailed in the Company's annual
report and other filings with the United States Securities and
Exchange Commission.
CONSOLIDATED
BALANCE SHEETS
|
U.S. dollars in
thousands
|
|
|
|
June
30,
|
|
December
31,
|
|
|
2019
|
|
2018
|
|
|
Unaudited
|
|
Audited
|
ASSETS
|
|
|
|
|
|
|
|
|
|
CURRENT
ASSETS:
|
|
|
|
|
Cash and cash
equivalents
|
|
$
1,563
|
|
$
1,150
|
Restricted
cash
|
|
1,008
|
|
1,380
|
Trade receivables,
net
|
|
640
|
|
604
|
Other accounts
receivable and prepaid expenses
|
|
243
|
|
101
|
Assets of discontinued
operations
|
|
111
|
|
187
|
Total current
assets
|
|
3,565
|
|
3,422
|
|
|
|
|
|
SEVERANCE PAY
FUND
|
|
602
|
|
541
|
|
|
|
|
|
PROPERTY AND EQUIPMENT,
NET
|
|
58
|
|
60
|
|
|
|
|
|
|
|
|
|
|
OTHER
ASSETS:
|
|
|
|
|
Other intangible
assets, net
|
|
11
|
|
21
|
Goodwill
|
|
3,479
|
|
3,479
|
|
|
|
|
|
Total other
assets
|
|
3,490
|
|
3,500
|
|
|
|
|
|
Total assets
|
|
$
7,715
|
|
$
7,523
|
|
|
|
|
|
CONSOLIDATED
BALANCE SHEETS
|
U.S. dollars in
thousands (except share and per share data)
|
|
|
|
June
30,
|
|
December
31,
|
|
|
2019
|
|
2018
|
|
|
Unaudited
|
|
Audited
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES:
|
|
|
|
|
Trade
payables
|
|
$
167
|
|
$
164
|
Deferred
revenues
|
|
1,092
|
|
1,053
|
Accrued expenses and
other liabilities
|
|
2,122
|
|
2,394
|
Liabilities of
discontinued operations
|
|
550
|
|
606
|
|
|
|
|
|
Total current
liabilities
|
|
3,931
|
|
4,217
|
|
|
|
|
|
LONG-TERM
LIABILITIES
|
|
|
|
|
Accrued severance
pay
|
|
782
|
|
722
|
Deferred tax
liability
|
|
181
|
|
181
|
Total long-term
liabilities
|
|
963
|
|
903
|
|
|
|
|
|
COMMITMENTS AND
CONTINGENT LIABILITIES
|
|
|
|
|
|
|
|
|
|
SHAREHOLDERS'
EQUITY:
|
|
|
|
|
Share capital
-
|
|
|
|
|
Ordinary
Shares
|
|
27
|
|
27
|
Preferred
Shares
|
|
15
|
|
10
|
Additional paid-in
capital
|
|
30,440
|
|
29,807
|
Treasury
shares
|
|
(29)
|
|
(29)
|
Accumulated
deficit
|
|
(27,632)
|
|
(27,412)
|
|
|
|
|
|
Total shareholders' equity
|
|
2,821
|
|
2,403
|
|
|
|
|
|
Total liabilities
and shareholders' equity
|
|
$
7,715
|
|
$
7,523
|
|
|
|
|
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
U.S. dollars in
thousands (except share and per share data)
|
|
|
|
Six months
ended
June
30,
|
|
|
|
2019
|
|
2018
|
|
|
|
Unaudited
|
|
Revenues:
|
|
|
|
|
|
Services
|
|
$
2,179
|
|
$
2,341
|
|
Product
sales
|
|
421
|
|
535
|
|
|
|
|
|
|
|
Total
revenues
|
|
2,600
|
|
2,876
|
|
|
|
|
|
|
|
Cost of
revenues:
|
|
|
|
|
|
Services
|
|
785
|
|
935
|
|
Product
sales
|
|
196
|
|
213
|
|
|
|
|
|
|
|
Total cost of
revenues
|
|
981
|
|
1,148
|
|
|
|
|
|
|
|
Gross profit
|
|
1,619
|
|
1,728
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
Research and
development
|
|
268
|
|
505
|
|
Selling and
marketing
|
|
553
|
|
857
|
|
General and
administrative
|
|
978
|
|
1,224
|
|
|
|
|
|
|
|
Total operating
expenses
|
|
1,799
|
|
2,586
|
|
|
|
|
|
|
|
Operating
loss
|
|
(180)
|
|
(858)
|
|
|
|
|
|
|
|
Financial income
(expense), net
|
|
(25)
|
|
8
|
|
|
|
|
|
|
|
Loss before taxes on
income
|
|
(205)
|
|
(850)
|
|
Taxes on income (tax
benefit)
|
|
1
|
|
(5)
|
|
|
|
|
|
|
|
Loss from continuing
operations
|
|
(206)
|
|
(845)
|
|
|
|
|
|
|
|
Loss from discontinued
operations
|
|
(14)
|
|
(204)
|
|
|
|
|
|
|
|
Net loss
|
|
$
(220)
|
|
$
(1,049)
|
|
|
|
|
|
|
|
Net loss per
share:
|
|
|
|
|
|
Basic and diluted net
loss per share from continuing operations
|
|
$
(0.04)
|
|
$
(0.27)
|
|
Basic and diluted net
loss per share from discontinued operations
|
|
(0.00)
|
|
(0.07)
|
|
|
|
|
|
|
|
Basic and diluted net
loss per share
|
|
$
(0.04)
|
|
$
(0.34)
|
|
|
|
|
|
|
|
Weighted average number
of shares used in computing basic and diluted net loss per
share
|
|
4,698,440
|
|
3,120,833
|
|
Contact:
Ofira
Bar,
CFO
Tel: +972-9-7777-540
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SOURCE Mer Telemanagement Solutions Ltd. (MTS)