i like this situation...two profitable qtrs in a row and new products rolling out...trading under 1.00:
(COMTEX) B: Asante Reports Profitable First Quarter 2001 Operating Re
B: Asante Reports Profitable First Quarter 2001 Operating Results; Net Income
up 23% from Q1 FY 2000
SAN JOSE, Calif., Jan 30, 2001 (BUSINESS WIRE) -- Asante Technologies, Inc.
(NASDAQ OTC:ASNT.OB) is pleased to announce results for the first quarter of
fiscal 2001.
Net sales were $7.0 million for the first quarter ended December 30, 2000,
compared to $9.1 million for the same period last year. The Company continued a
profitability trend by posting net income of $232,000 or $0.02 per diluted share
for the quarter, an increase of 23% from $189,000 for the first quarter of
fiscal 2000.
Streamlined Operations
Management's streamlined operations continue to yield favorable results.
Although the Company continues to invest heavily in new IntraCore(TM) and router
technologies, total operating expenses were only $2.3 million, down 32% from
$3.4 million from the same period a year ago. The Company reported a gross
margin for the first quarter of fiscal 2001 of 36%, compared to 39% for the same
period of fiscal 2000.
"Asante is well-positioned to meet the most important segments of the Internet
industry: high-speed client access and infrastructure," reported Wilson Wong,
Asante's Chairman and CEO. "Despite the widely-reported industry slow down in
the last quarter of 2000, Asante's portfolio of innovative products allowed us
to capitalize on our sales momentum offsetting the revenue impact for the
quarter. Our sales to education, digital design and small/home business
customers have been encouraging."
Award Winning Products
"Asante finished the first quarter with noteworthy product recognition and
market acceptance," explained Anthony Contos, Vice President of Finance. "With
top ratings from competitive reviews in Macworld ("best value"), PC World ("best
buy"), and MacsOnly ("outstanding") for our FriendlyNET(TM) Cable/DSL Routers
plus first-to-market third generation GigaNIX(TM) Gigabit Ethernet adapters, we
are strengthening our position with our key strategic partners and resellers."
About Asante
Founded in 1988, Asante is a world leader in supplying network connectivity
products for Macs and PCs. The Company's FriendlyNET products simplify
networking and provide Internet access for small offices/home offices, digital
pre-press and education (K-12 and universities). The Company's IntraCore
intelligent Gigabit Ethernet switches support multi-service applications for
large enterprises and educational institutions. Asante's headquarters are
located at 821 Fox Lane, San Jose, CA 95131. For additional information, call
800/662-9686 or visit Asante's website at asante.com.
This press release contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. These forward-looking statements
are subject to certain risks and uncertainties that could cause actual results
to differ materially from historical results or anticipated results, including
those risks set forth under the caption "Factors Affecting Future Operating
Results" in "Management's Discussion and Analysis of Financial Condition and
Results of Operations" of the Company's Annual Report on Form 10-K for the year
ended September 30, 2000 and in the Company's Quarterly Reports on Form 10-Q and
other reports filed from time to time with the Securities and Exchange
Commission. Such risks include the company's potential need for additional
financing, and the company's ability to attract and retain qualified personnel,
competition, and technological change. Readers should carefully review the risk
factors described in such reports and other filings made by the company from
time to time with the Securities and Exchange Commission.
Note to Editors: Asante is a registered trademark and FriendlyNET, GigaNIX and
IntraCore are trademarks of Asante Technologies.
Asante Technologies, Inc.
Condensed Statements of Operations
(in thousands, except per share data)
(unaudited)
Three months ended,
December 30, January 1,
2000 2000
----------- -----------
Net sales $ 6,952 $ 9,065
Cost of sales 4,422 5,534
----------- -----------
Gross profit 2,530 3,531
----------- -----------
Operating expenses:
Sales and marketing 1,244 2,063
Research and development 696 833
General and administrative 376 486
----------- -----------
Total operating expenses 2,316 3,382
----------- -----------
Income from operations 214 149
Interest and other income, net 18 40
----------- -----------
Income before income taxes 232 189
Provision for income taxes - -
----------- -----------
Net income $ 232 $ 189
=========== ===========
Basic and diluted
net income per share $ 0.02 $ 0.02
=========== ===========
Weighted average common shares
and equivalents:
Basic 9,914 9,302
=========== ===========
Diluted 9,919 9,481
=========== ===========
Asante Technologies, Inc.
Condensed Balance Sheets
(in thousands)
(unaudited)
December 30, September 30,
2000 2000
----------- ------------
Assets
Current assets:
Cash, cash equivalents and
short-term investments $ 6,647 $ 6,433
Accounts receivable, net 2,644 3,233
Inventory 3,160 2,605
Prepaid expenses
and other current assets 760 523
----------- ------------
Total current assets 13,211 12,794
Property and equipment, net 208 261
Other assets 176 167
----------- ------------
Total assets $ 13,595 $ 13,222
=========== ============
Liabilities and stockholders' equity
Current liabilities:
Accounts payable $ 3,974 $ 3,776
Accrued expenses 5,204 5,437
Payable to stockholder 504 330
----------- ------------
Total current liabilities 9,682 9,543
----------- ------------
Stockholders' equity:
Common stock 28,372 28,370
Accumulated deficit (24,459) (24,691)
----------- ------------
Total stockholders' equity 3,913 3,679
----------- ------------
Total liabilities and
stockholders' equity $ 13,595 $ 13,222
=========== ============
CONTACT: Asante Technologies, Inc.
Anthony Contos, 408/435-8401 Ext.388
ir@asante.com
URL: businesswire.com
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-0-
KEYWORD: CALIFORNIA
INDUSTRY KEYWORD: NETWORKING
INTERNET
HARDWARE
EARNINGS
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