A4S Security Announces 2006 First Quarter Financial Results
17 Mayo 2006 - 6:30AM
PR Newswire (US)
LOVELAND, Colo., May 17 /PRNewswire-FirstCall/ -- A4S Security,
Inc. (Nasdaq: SWAT, SWATW; NYSE Arca: SWAT, SWATW), a leading
provider of mobile digital video surveillance solutions, today
announced financial results for its fiscal 2006 first quarter ended
March 31, 2006. Revenue for the first quarter of 2006 was $213,000,
compared to revenue of $74,000 in the first quarter of 2005. "We
are pleased with the positive momentum we generated in the first
quarter, which primarily reflects sales of our latest generation
product," said Tom Marinelli, chief executive officer of A4S
Security. "This re-designed product platform has a much smaller
footprint and enhanced features and benefits that we believe
significantly differentiates our technology from our competitors.
"First quarter sales were comprised almost entirely from products
sold into the mass transit market, where we believe we are gaining
significant traction. During the quarter, we were awarded a
contract by the San Joaquin Regional Rail Commission (SJRRC) to
install 31 ShiftWatch(R) Transportation Video Systems in SJRRC's
Altamont Commuter Express rail system. The contract also includes
options for additional units to be acquired by SJRRC with our
approval. In addition, we are currently engaged in active sales
communications with over 100 metropolitan transit authorities and
have recently received re-orders from several cities including
Cleveland, Akron and Vacaville. "Looking ahead, we continue to
focus on further building sales and capitalizing on the strong
demand for high quality security and surveillance systems from the
mass transit market. We also anticipate experiencing increased
product demand from the law enforcement market following the long
awaited release of minimum product specifications, which may soon
be announced," Mr. Marinelli concluded. Net loss for the first
quarter of 2006 was $1,124,000, or a loss of $0.28 per basic and
diluted share, compared to a net loss of $554,000, or a loss of
$3.76 per basic and diluted share in the same quarter of 2005. Cash
balance as of March 31, 2006 was approximately $3.0 million.
Conference Call A4S Security will host a conference call and
webcast today at 11:00 a.m. Eastern Time (8:00 a.m. PDT) to discuss
its first quarter fiscal 2006 results. Those wishing to participate
in the live call may dial (800) 257-3401, using the password "A4S."
A replay of the call will be available for one week beginning
approximately one hour after the call's conclusion by dialing (800)
405-2236 and entering 1106-0980 followed by the "#" key when
prompted for a code. The live and archived web cast of the
conference call can be accessed from the investors section of A4S's
website at http://www.shiftwatch.com/ or at
http://www.mkr-group.com/ (under featured events). The archived web
cast replay of the conference call will remain available for one
year. About A4S Security, Inc. A4S Security, Inc. develops and
markets the ShiftWatch(R) product line of mobile digital video
surveillance solutions for public transportation, law enforcement
and general security applications. The company's full motion, high
resolution video system utilizes patent pending video streaming
technology and GPS synchronization capabilities to provide agencies
with data security and reliability. The company's open, standards
based architecture, facilitates interoperability, easing management
of the information and communication complexities and leveraging
customers' investment in the future. For additional information
about A4S Security and ShiftWatch (Nasdaq: SWAT, SWATW; NYSE Arca:
SWAT, SWATW) solutions, call 1-888-825-0247 or visit
http://www.shiftwatch.com/. This press release includes
"forward-looking statements" as defined by the Securities and
Exchange Commission (the "SEC"). All statements, other than
statements of historical fact, included in the press release that
address activities, events or developments that the Company
believes or anticipates will or may occur in the future are
forward-looking statements. These statements are based on certain
assumptions made based on experience, expected future developments
and other factors the Company believes are appropriate under the
circumstances. Such statements are subject to a number of
assumptions, risks and uncertainties, many of which are beyond the
control of the Company. Investors are cautioned that any such
statements are not guarantees of future performance. Actual results
or developments may differ materially from those projected in the
forward-looking statements as a result of many factors, including
achieving substantial increases in sales of the Company's products,
technological developments and adverse changes in market
conditions. Furthermore, the Company does not intend (and is not
obligated) to update publicly any forward-looking statements. The
contents of this release should be considered in conjunction with
the warnings and cautionary statements contained in the Company's
recent filings with the SEC. CONTACT: Investor Relations Media Todd
Kehrli or Jim Byers Pat O'Connor MKR Group, LLC A4S Security, Inc.
(818) 556-3700 (907) 461-0071 ext. 134 A4S Security, Inc. Balance
Sheet March 31, 2006 (Unaudited) ASSETS Current assets: Cash and
cash equivalents $3,049,741 Accounts receivable 68,712 Inventories
731,786 Prepaid expenses and other current assets 109,695 Total
current assets 3,959,934 Property and equipment, net 205,417
Intangible and other assets 94,588 Total assets $4,259,939
LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts
payable $167,502 Accrued expenses 51,913 Installment obligations
5,978 Total current liabilities 225,393 Installment obligations,
net of current portion 2,335 Total liabilities 227,728 Commitments
Stockholders' equity: Preferred stock, no par value, 5,000,000
shares authorized; no shares issued or outstanding -- Common stock,
no par value, 30,000,000 shares authorized; 3,961,441 shares issued
and outstanding 13,361,916 Accumulated deficit (9,329,705) Total
stockholders' equity 4,032,211 Total liabilities and stockholders'
equity $4,259,939 A4S Security, Inc. Statements of Operations
Periods Ended March 31 (Unaudited) Three Months Ended 2006 2005 Net
sales $212,835 $73,735 Cost of sales 206,984 52,759 Gross profit
5,851 20,976 Operating expenses: Selling, general and
administrative (includes non-cash compensation of $99,675 in 2006)
937,487 384,540 Research and development 228,435 72,117 Total
operating expenses 1,165,922 456,657 Operating loss (1,160,071)
(435,681) Other income (expense): Interest expense (213) (118,564)
Interest income 38,188 66 Other expense, net (1,462) (277) Total
other income (expense) 36,513 (118,775) Net loss $(1,123,558)
$(554,456) Basic and diluted net loss per share $(0.28) $(3.76)
Basic and diluted weighted average number of common shares
outstanding 3,961,441 147,389 DATASOURCE: A4S Security, Inc.
CONTACT: Investor Relations, Todd Kehrli or Jim Byers, both of MKR
Group, LLC, +1-818-556-3700, , for A4S Security, Inc.; or Media,
Pat O'Connor of A4S Security, Inc., +1-907-461-0071, ext. 134, Web
site: http://www.mkr-group.com/ Web site:
http://www.shiftwatch.com/
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