Princeton Video Image, Inc. Announces Increased Fiscal 2000 First Quarter Revenues
LAWRENCEVILLE, N.J.--(BUSINESS WIRE)--Nov. 5, 1999--
- Fourteenth Consecutive Quarter of Year-Over-Year Revenue Growth -
- Revenue up 83% for Quarter -
Princeton Video Image, Inc. (NASDAQ: PVII; pvi-inc.com),
the leader in virtual advertising and imaging solutions for
television, today reported improved revenues for its fiscal 2000 first
quarter ended September 30, 1999.
For the quarter, total revenues increased 83% to $507,943 from
$277,946 in the comparable quarter of fiscal 1999. The Company
reported a net loss of $3.0 million, or $0.37 per share in the first
quarter of fiscal 2000 versus a net loss of $1.9 million, or $0.24 per
share in the first quarter of fiscal 1999. The increased loss per
share primarily reflects the Company's increased investment in sales
and marketing, including program rights acquisition, as well as the
strengthening of its patent portfolio and the deployment of additional
Live Video Insertion Systems ("L-VIS(TM)Systems") necessary to support
the Company's growing sales.
Mr. Dennis Wilkinson, President and Chief Executive Officer of
PVI, Inc., stated, "Since the end of our 1999 fiscal year, we
capitalized on the growing interest in virtual imaging, generating new
revenue and entering into a number of important new contracts. The
multi year contract we signed with CBS Sports has the potential to
open numerous opportunities for us with CBS. Our new agreement with
CBS News, to create virtual insertions in The Early Show, is an
example of such an opportunity. We signed a license agreement
encompassing Spain and Portugal with one of the most influential
members of the on-site sports advertising industry, which we believe
will allow us to accelerate our expansion in Europe. We raised over $8
million in additional funding through a private placement of common
stock providing us with additional financing to exploit the increasing
opportunities for generating revenue from virtual insertion. We were
granted two additional patents, strengthening our intellectual
property rights in both the United States and Europe and we continue
to attract talented and influential executives like Paul Slagle, our
new VP of Sales and Marketing, to our management team and, pending
shareholder approval, Don Garber, Commissioner, President and Chief
Executive Officer of Major League Soccer, to our board of directors."
Mr. Wilkinson concluded, "The opportunities for virtual imaging
are accelerating. In addition to the increasing use in sporting
events, we are seeing growing interest in the use of virtual image
insertions in national live and syndicated television programs. The
initial reaction to our product development for the Internet and
interactive television has also been enthusiastic. We believe that
although these emerging markets will take time to develop, they
represent significant new potential revenue streams."
Princeton Video Image, Inc. has developed and is marketing a
real-time video insertion system that, through patented pattern
recognition technology, places computer-generated electronic images
into television broadcasts of sporting events as well as other
programming. These electronic images range from simple corporate names
and logos to sophisticated 3-D images and animated effects. In virtual
advertising, broadcasters insert advertising messages into telecasts
so that the ads appear as part of the live stadium scene. PVI has
provided video insertion services for over 1,200 live telecasts
worldwide, including broadcasts of Major League Baseball, the National
Football League, professional soccer, motorsports, and other live
events. The Company is headquartered in Lawrenceville, New Jersey,
with offices in New York City and Brussels, and licensees' offices in
Mexico City, Johannesburg and Madrid.
Any statements contained in this press release that relate to future
plans, events or performance are forward-looking statements that
involve risks and uncertainties including, but not limited to, those
relating to market acceptance, dependence on strategic partners and
third party sales, contractual restraints on use of PVI's technology,
a rapidly changing commercial and technological environment,
competition, possible adverse regulations, need for additional
financing, intellectual property rights and litigation, and other
risks identified in PVI's filings with the Securities and Exchange
Commission. Actual results, events or performance may differ
materially. PVI undertakes no obligation to publicly release the
result of any revisions to these forward-looking statements that may
be made to reflect events or circumstances after the date hereof to
reflect the occurrence of unanticipated events.
PRINCETON VIDEO IMAGE, INC.
CONDENSED STATEMENT OF OPERATIONS
For the three months ended
September 30,
1999 1998
Royalties and license fees $ 216,672 $ 67,292
Advertising and contract revenue 291,271 210,654
Total revenue 507,943 277,946
Costs and expenses:
Sales and marketing 933,586 474,493
Product development 581,543 443,792
Field operations and support 1,243,070 882,877
General and administrative 911,150 689,337
Total costs and expenses 3,669,349 2,490,499
Operating loss (3,161,406) (2,212,553)
Interest and other financial (expense) - -
Interest and other income 137,807 278,763
Net loss (3,023,599) (1,933,790)
Accretion of preferred stock dividends (11,013) (11,013)
Net loss applicable to common stock $(3,034,612) $(1,944,803)
Basic and diluted net loss per share
applicable to common stock (0.37) (0.24)
Weighted average number of shares
of common stock outstanding 8,213,484 8,181,885
--30--jl/ny*
CONTACT: Princeton Video Image, Inc.
Lawrence L. Epstein
Vice President of Finance and
Chief Financial Officer
(609) 912-9400
pvi-inc.com
or
Contact:
Cheryl Schneider/John Blackwell
Morgen-Walke Associates, Inc.
(212) 850-5600
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