Monday May 1, 1:01 pm Eastern Time
Company Press Release
SOURCE: Lioninc.com
LION Inc./Lioninc.com Announces Financial Results First Quarter 2000
SEATTLE, May 1 /PRNewswire/ -- Plenum Communications, Inc., dba LION Inc., (OTC Bulletin Board: LINC - news), the parent company of Lioninc.com, a
leading developer of Internet products and services for the mortgage industry, today announced the financial results for the first quarter ended March 31, 2000.
Revenue for the first quarter ended March 31, 2000 increased 117% to a record $1,542,000 compared to $710,000 for the first quarter of 1999. The pro forma
net loss for the first quarter ended March 31, 2000 was $176,395 or $.005 per share compared to $343,683 or $.01 per share for the same quarter in the prior
year.
Pro forma results excluded two one-time charges in the first quarter of 2000. The charges were for non-cash compensation related to extending existing employee
stock options for long-time unrelated party employees totaling $181,260 and for the write down of previously capitalized internal software development costs
totaling $56,200.
Deferred revenue increased to approximately $337,000 at March 31, 2000 compared to approximately $129,000 at the end of the same quarter in the previous
year.
Jack McMillan, Chairman and CEO of LION Inc. states, ``The results of the last four months, especially the first quarter of this year reflect extraordinary teamwork
from our people and our customers' continued belief in the value of the services we provide. Our 117% growth in revenue was attained with a significant shortage of
cash. When we analyze our profit and loss results, there is a strong sense of pride knowing that our operating company, Lioninc.com, is now approaching
profitability and is in a positive cash flow position. Our challenge is to increase our investment for growth for the balance of the year while paying strong attention to
the bottom line, a difficult task, yet one we're attentive to.''
Plenum Communications, Inc. and Subsidiary
Condensed Consolidated Statements of Operations
Three months ended March 31,
2000 1999
(Unaudited) (Unaudited)
Revenues $1,542,082 $710,278
Expenses
Direct costs 208,187 92,705
Selling and marketing 524,150 349,165
General and administrative 661,449 483,461
Compensation from stock options
issued under fair market value 181,260 --
Research and development 222,003 64,172
Depreciation and amortization 111,788 27,344
Total operating expenses 1,908,837 1,016,847
Operating loss (366,755) (306,569)
Other income (expense) - net (47,100) (37,114)
Net loss $(413,855) $(343,683)
Net loss per common share $(.01) $(.01)
Pro forma net loss (A) $(176,395) $(343,683)
Pro forma net loss per common share $(.005) $(.01)
(A) Pro forma net loss for the quarter ended March 31, 2000 excludes the following items; a one-time non-cash compensation charge related to the Company's
stock option plan totaling $181,260 and a one-time charge to research and development costs related to the write down of internally developed software totaling
$56,200. There were no pro forma adjustments for the quarter ended March 31, 1999.
Plenum Communications, Inc. and Subsidiary
Condensed Consolidated Balance Sheet Data
March 31,
2000 December 31,
(Unaudited) 1999
Assets
Current assets
Cash and cash equivalents $452,266 $368,649
Accounts receivable - net 413,200 380,547
Prepaid expenses and other 398,731 236,584
Total current assets 1,264,197 985,780
Property and equipment - net 890,909 981,530
Goodwill - net 472,334 500,674
Other assets 37,177 37,177
$2,664,617 $2,505,161
Liabilities and stockholders' equity
Current liabilities $1,544,389 $1,788,054
Total stockholders' equity 1,120,228 717,107
$2,664,617 $2,505,161
About LION and Lioninc.com
LION is a pioneer provider of online business-to-business products and services since 1995. It has emerged as a premier provider of cutting-edge Internet products
for the over $1 trillion mortgage industry. Lioninc.com brings together borrowers, real estate companies, mortgage brokers, mortgage lenders and financial
institutions in order to facilitate home loans in a quick, easy and efficient manner.
Lioninc.com's headquarters is located at 2201 Lind Ave. SW, Renton, WA 98055. Telephone: 800-546-6463. Fax: 425-902-4141. For more information, visit the
company web sites at www.lioninc.com and www.lionchoice.com. For more information on LION Inc. visit www.lioncorp.net.
Actual results will vary because of factors such as: mortgage market trends, interest rate changes, housing/consumer trends effecting home purchases, internet
competition, risks of system interruption, management of potential growth, risks of new business areas, new internet technology, joint- marketing and sales
agreements, strategic alliances and other issues discussed in the company's Form 10-KSB and 10-QSB reports which are on file with the Securities and Exchange
Commission.
SOURCE: Lioninc.com |
