pos.com, Inc. Comments on Second and Third Quarter Outlook for Fiscal 2002
SAN JOSE, Calif.--(BUSINESS WIRE)--Dec. 18, 2001--@pos.com, Inc.
-- Reaffirms revenue expectations for the current quarter in the
range of $4.2M to $4.6M
-- Expects a bottom line loss for the current quarter of $.8M to
1.0M
-- Expects sequential revenue decline for the third fiscal
quarter
-- Exploring options to reduce spending, raise equity
pos.com, Inc. (www.atpos.com), (OTCBB:EPOS), a leader in secure, interactive electronic transaction technologies, today announced that it expects revenue in the range of $4.2M and $4.6M in the second fiscal quarter ended December 31, 2001. When combined with first quarter fiscal 2001 revenue of $2.8M, year-to-date revenue is expected in the range of $7.0M and $7.4M for the period ending December 31, 2001. This is in line with previous guidance indicating that the Company expected to complete projects totaling $6M to $7M in revenues prior to the end of the second fiscal quarter.
The Company expects net operating losses for the second fiscal quarter ending December 31, 2001 to be in the range of $.8M to $1.0M. Gross margins will be approximately 38% to 40%, in line with levels achieved in the first quarter. Operating expenses are expected to increase sequentially by approximately $.8M, as previously announced, primarily as a result of the Crossvue acquisition on September 28, 2001. When combined with first fiscal quarter operating losses of $602,000, the Company expects year-to-date operating losses of $1.4M to $1.6M for the six months ending December 31, 2001.
The Company currently forecasts a significant decline in third quarter revenues from the previous quarter, but believes that this forecast may be improved by contracts under negotiation. This decline largely reflects cutbacks and deferrals of capital spending in the retail industry. The Company expects the third fiscal quarter will represent a low point for shipments and that the overall outlook should improve in the fourth fiscal quarter.
In light of the expected weakness in third quarter revenue, Company management announced it will explore options to reduce expenses and raise equity to meet anticipated capital requirements.
About @pos.com
pos.com (OTCBB:EPOS) is a leader in secure, interactive electronic transaction technologies. The company provides signature capture products, web-enabled payment platforms, smart card interfaces, encryption engines supporting DES and Triple DES, and an extensive suite of software tools. With complete end-to-end solutions, @pos.com offers internet-based, hosted services, under its Crossvue brand, for loss prevention and electronic receipt storage and retrieval. @pos.com currently services the retail, government and banking market for applications that include electronic signature capture, debit and credit payments. For more information, see www.atpos.com, email to info@atpos.com, or call 408/468-5400.
Safe Harbor Statement
This release contains projections and other forward-looking statements regarding future events and the future financial performance of @POS.com, INC. ("@POS") such as statements regarding revenues, earnings and operating losses in the second, third and fourth quarters of the company's fiscal year and statements regarding the company's ability to reduce expenses and raise equity. These statements involve risks and uncertainties including risks associated with our operating losses, revenue growth, limited liquidity and the fact that we operate in a highly competitive industry with rapidly developing and changing technologies and market conditions. Our operating results in specific periods are not necessarily indicative of our operating results in other periods. Readers are cautioned that these forward-looking statements are only predictions and may differ materially from actual future events or results. Readers are referred to the documents filed by @POS with the SEC, specifically the most recent reports on Form 10-K, 10-Q and 8-K, each as it may be amended from time to time, which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements.
CONTACT:
pos.com, Inc.
Tammy M. Smith, 408/468-5427 (Marketing Communications)
tsmith@atpos.com
Gary Rummelhoff, 408/468-5530 (Chief Financial Officer)
grummelhoff@atpos.com
KEYWORD: CALIFORNIA
BW0425 DEC 18,2001
13:31 PACIFIC
16:31 EASTERN |
