TTI Telecom International Ltd. Reports Second Quarter Results
PETACH TIKVA, Israel--(BUSINESS WIRE)--Aug. 12, 1999--TTI Telecom International Ltd. (NASDAQ/NM symbol: TTIL - news), a leading provider of integrated, turnkey software solutions for telecom service providers, today announced record unaudited results for the second quarter ended June 30, 1999.
Revenues for the second quarter of 1999 reached $7.2 million, an increase of 65% versus $4.4 million for the second quarter of last year. Product sales increased 80% to $5.6 million compared to $3.1 million for the same period last year. Operating income rose 106% to $1.3 million compared to $612 thousand for the same quarter of 1998. Net income for the quarter reached $1.4 million, or $0.13 per diluted share, versus $655 thousand, or $0.07 per diluted share, last year.
Revenues for the six months ended June 30, 1999 reached $13.6 million, an increase of 62% versus $8.4 million for the same period last year. Product sales increased 70% to $10.5 million compared to $6.1 million for the same period last year. Operating income rose 101% to $2.4 million compared to $1.2 million for the same period of 1998. Net income for the quarter reached $2.6 million, or $0.26 per diluted share, versus $1.3 million, or $0.15 per diluted share, last year.
Commenting on the results, Mr. Meir Lipshes, Chief Executive Officer, said, ``This quarter marks another quarter of record revenues for TTI Telecom, reflecting a $2 million order with Maltacom and ongoing implementation of our two largest contracts according to schedule. On-time delivery is critical to the success of these projects and the principle criteria for references from these customers in the future.
``We continue to execute on our product strategy to enrich our product offering with a variety of OSS solutions integrated with our network management system. This quarter, we introduced the Netcap product line of inventory configuration and provisioning tools and are continuing to develop a fraud detection solution.'
Mr. Lipshes concluded, ``To sell these OSS products, we are targeting our existing customers first. Our objective, by expanding our product line, is to create new tender opportunities and increase the revenue potential per customer. With our expertise in network management system technology, we believe we are well positioned to succeed in this market.'
About TTI Telecom
TTI Telecom International Ltd. develops, markets and supports advanced, modular, integrated software products and services for operations support systems (``OSS') and network management systems (``NMS') in the telecommunications industry. The Company's solutions, based on its Netrac family of products, enable telecommunications service providers to improve the quality of existing services, streamline their operations in order to compete cost-effectively, maximize the return on their investment in network infrastructure and offer new services over complex networks. The Company's products manage mission-critical functions, such as fault management, performance management, configuration management and security management. Its growing family of Netrac NMS/OSS application tools are used by telecommunications companies worldwide and include leading service providers such as Sweden's Tele2 AB, RSL-Com in the UK, Germany's VIAG Interkom, SaskTel in Canada, and HK Telecom in Hong Kong.
Forward looking statements in this release involve a number of risks and uncertainties including, but not limited to, product demand, pricing, market acceptance, changing economic conditions, risks in product and technology development, the effect of the Company's accounting policies as well as certain other risk factors which are detailed in the Company's SEC filings. |
