Coherent Communications Systems Corp. reports its 12th
record public quarter
LEESBURG, Va.--(BUSINESS WIRE)--April 14, 1997-- Coherent Communications Systems
Corp today reported that first quarter earnings increased 37% to $2,905,000 or $0.19 per share.
First quarter sales of $16,007,000 were 44% above the $11,109,000 reported in the first quarter
of 1996. Net income for the same period was $2,905,000 or $0.19 per share on 15,510,000
shares as compared to $2,118,000 or $0.14 per share on 15,457,000 shares in 1996.
Daniel L. McGinnis, CEO, said "All of Coherent's sales regions reported double digit increases in
first quarter sales. Asian sales were particularly strong with revenue increases in excess of 200%.
During the second half of 1996, the Company opened offices in Singapore, Tokyo, and Beijing
which supplemented COHPAC in Australia. All of these new offices contributed to the quarter's
revenue growth in this region."
During the first quarter, the Company announced several new products at the Cellular Telephone
Industry Association (CTIA) show in San Francisco. Coherent's new wireless echo cancelling
platform is the industry's first product that not only eliminates traditional wireline echo in digital
wireless systems like PCS, but also cancels acoustic echo and noise that is generated on the
handset side of the wireless system. This new product platform, which can be installed in cellular,
wireless local loop, or PCS systems to improve voice quality, was designed so that future software
enhancements can be imported easily to maintain state of the art voice quality performance in
wireless networks.
Also announced at CTIA was c/mor(tm), the Company's network management system for the
centralized configuration and management of all echo cancellers in a system. This new product is
especially useful in helping a network operator reduce costs by keeping expert staff to a minimum
and reducing the need to travel to remote locations. As one client observed, "When your system is
spread over hundreds of islands, it is quite helpful to avoid dispatching technicians to the farthest
reaches of your network."
Coherent also introduced a new service offering, its annual network upgrade service, which
enables network operators to regularly enhance voice quality as the technology in that area is
improved. Several Coherent customers have already upgraded their networks under this program.
Coherent Communications Systems Corporation is a worldwide leader in state of the art voice
enhancement technology, spanning echo cancellation platforms and associated network software.
The Company's products are used globally by major wireless and wireline telecommunications
companies and network operators, including AT&T Wireless, British Telecom, Cable & Wireless,
Cellular One, Cisco Systems, Deutsche Telekom, France Telecom, KDD, Mercury, Nokia,
NORTEL, Telia, and Telmex, among the extensive list. Coherent is a fully accredited ISO 9001
company, dedicated to maintaining the highest quality standards at every level. The Company's
headquarters are based in Leesburg, Virginia, USA.
Also available via Coherent's Web Page: coherent.com
Except for the historical information contained herein, this news release contains forward looking
statements. The risks and uncertainties associated with the acceptance of the new products,
competition, market growth, and the timely availability and the pricing of products, as well as other
risks detailed in the Company's SEC reports could cause actual results to differ from those in the
forward looking statements.
COHERENT COMMUNICATIONS SYSTEMS CORPORATION
(Amounts are in Thousands Except Earnings Per Share)
Condensed Statement of Operations
Three Months Ended
March 31, 1997
(Unaudited)
3/31/97 3/31/96
REVENUES $16,007 $11,109
GROSS PROFIT $10,508 $ 7,022
PRE-TAX INCOME $ 4,539 $ 3,329
NET INCOME $ 2,905 $ 2,118
EARNINGS PER SHARE $ 0.19 $ 0.14
AVERAGE SHARES
OUTSTANDING 15,510 15,457
Condensed Balance Sheet
3/31/97 12/31/96
(Unaudited)
Cash & Short Term
Investments $18,200 $16,769
Accounts Receivable, Inventory
and Other Current Assets $16,873 $14,475
Current Assets $35,073 $31,244
Property, Plant, Equipment
and Other Assets $ 6,742 $ 6,314
Total Assets $41,815 $37,558
Current Liabilities $6,854 $5,592
Long Term Liabilities $167 $167
Shareholders' Equity $34,794 $31,799
Total Liabilities and
Stockholders' Equity $41,815 $37,558
Earnings per share calculations for each of the quarters are based on the weighted average number
of shares outstanding in each period.
CONTACT: Coherent
Daniel L. McGinnis, CEO (703) 724-7300
Michael P. Gendron, CFO (703) 724-7364 |
