TalkVISUAL Announces Second Quarter and Six-month Results . . . Gross Margins Up On Record Revenue
MIAMI--(BUSINESS WIRE)--July 29, 2002--
With Sales Increasing and Margins Improving,
Company Expands to Southern California and Adds
Second Switch to Increase Service Capacity
Mike Rollins, president and chief executive officer of TalkVISUAL Corporation (OTCBB:TVCP), announced today results for the second quarter and six months ended June 30, 2002.
For the quarter ended June 30, 2002, the company generated record revenue from operations of approximately $2.2 million (up $1.1 million or 104.4%) compared to revenue of approximately $1.1 million for the comparable period last year. Gross margin, which was approximately $124,000 or 11.6% of revenue for the second quarter of 2001, amounted to nearly $676,000, or 31.02% of revenue, for the most recent quarter.
For the six months ended June 30, 2002, TalkVISUAL's revenue was up 98.6% to nearly $4.1 million compared to $2.0 million for the first six months of 2001. Gross margin for the most recent six-month period was nearly $1.2 million, or 29% of revenue, compared to $315,023 or 15.4% of revenue for the first six months of 2001.
Net loss for the quarter ended June 30, 2002, including a loss of $64,196 attributable to discontinued operations, was $383,922 or $0.0026 per common share (149,217,000 weighted average shares outstanding) versus approximately $1.7 million, including $535,946 attributable to discontinued operations, or $0.019 per common share (91,992,573 weighted average shares outstanding) for the second quarter of 2001. This was a improvement of 77.6% year to year.
For the six months ended June 30, 2002, the company booked a net loss of $795,724 versus a net loss of nearly $2.7 million for the comparable six months of 2001, reflecting a 70.6% improvement year to year. The most recent six-month period includes a $5,747 gain attributable to discontinued operations, while the comparable six-month period of last year includes a loss of $512,608 attributable to discontinued operations.
"Revenue growth was slow but steady during the quarter," said Rollins. "While we are pleased that we are moving in the right direction, management continued to devote a disproportionate amount of time to cash management and other non-operational activities during the second quarter," he said. Rollins indicated that during the quarter, the company continued to streamline expenses, which resulted in notable gross margin percentage improvement (12.3% over first quarter 2002). "With the addition of our first customers in the southern California market and an additional switch that more than doubles our capacity, we look for significant revenue growth in future quarters, as well as additional margin improvement," Rollins said. He noted that with better operating results and support and input from new board members, management's ability to regain and maintain focus on sales, new product opportunities and customer service improves dramatically. "There is an abundance of market opportunities resulting from recent events in the telecom industry, which TalkVISUAL is becoming uniquely positioned to seize," he said.
TalkVISUAL Corporation owns and operates telecommunications retail centers providing communication and related services to business and individual consumers. Principal services include business and residential long-distance services, long-distance telephone calling in private booths ("call-shop services"), prepaid calling cards, money transfer services and international package delivery. Visit the company's web site at talkvisual.com. TalkVISUAL targets key business and consumer market segments in the United States, with a primary focus on Latin American expatriate business and consumer communities.
NOTE: Statements contained in this news release that are not strictly historical are forward-looking within the meaning of the safe harbor clause |
