3rd quarter sucked:
quicken.excite.com
TAMPA, Fla., Nov. 12 /PRNewswire/ -- SAFLINK Corporation (Nasdaq: ESAF, news, msgs), formerly
The National Registry Inc. (Nasdaq: NRID, news, msgs), today reported a net loss attributable to
common stockholders of $1,057,000 on revenue of $281,000 for the quarter ended September 30, 1999
compared to a net loss attributable to common stockholders of $1,021,000 on revenue of $437,000 for
third quarter 1998.
The Company further reported a net loss attributable to common stockholders of $2.9 million on
revenue of $891,000 for the nine months ended September 30, 1999 compared to a net loss
attributable to common stockholders of $412,000 on revenue of $4.4 million for the same period in
1998. The year- over-year variances were primarily due to the lack of a 1999 transaction comparable to
the sale of approximately $3.5 million of prepaid licenses to XL Vision, Inc. during 1998, the transfer of
state welfare contracts in early 1999, and a $536,000 (13%) decrease in operating expenses for the
nine months ended September 30, 1999.
"Revenue from the sale of commercial products and services, excluding sales to XL Vision, increased
approximately $86,000 (46%) for third quarter 1999 compared to 1998 and increased approximately
$206,000 (39%) for the nine months ended September 30, 1999 when compared to the same period in
1998," said James W. Shepperd, Chief Financial Officer. "Our transition into a data and network
security software products company is now complete and we expect to see continued improvement in
sales of commercial software products to our growing customer base in the coming quarters."
SAFLINK Corporation, based in Tampa, Florida and formerly known as The National Registry Inc.,
brings the Power of Biometric Identification? to enterprise networks and the Internet. The Company
provides cost-effective multi-biometric software solutions to verify individual identity, to protect business
and personal information, and to replace passwords and PINs in order to safeguard and simplify
access to electronic systems and enable new online services for customers. The Company's Secure
Authentication Facility (SAF(TM)) suite of multi-biometric network security products delivers
enterprise-level secure access control to a range of software platforms and network applications,
including Microsoft(R) Windows NT(R) and Internet Information Server(R), Novell Netware(TM), as well
as Computer Associates' Unicenter(R) TNG(TM) and its Single Sign-On(TM) option. Further information
is available through the Company's World Wide Web Site ( saflink.com ).
The aforementioned remarks contain forward-looking statements that involve risks and uncertainties
including without limitation those relating to industry trends, those relating to the Company's sales
strategy, those relating to the Company's management strategy and those relating to competition. The
Company's actual results could differ materially from those discussed above.
Secure Authentication Facility, SAF and Power of Biometric Identification are trademarks of SAFLINK
Corporation. All other brands and products referenced herein are acknowledged to be trademarks or
registered trademarks of their respective holders.
SAFLINK Corporation
Condensed Consolidated Balance Sheets
(in thousands)
September 30, December 31,
1999 1998
ASSETS
Current assets:
Cash and cash equivalents $1,238 $1,736
Accounts receivable - net 224 149
Inventory 94 37
Investments 666 105
Prepaid expenses 254 270
Other 31 27
Total current assets 2,507 2,324
Furniture and equipment - net 211 361
$2,718 $2,685
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable $328 $189
Accrued expenses 250 222
Deferred revenue 794 305
Total current liabilities 1,372 716
Stockholders' equity
Series A Preferred stock,
$.01 par value convertible 1 1
Common stock, $.01 par value 185 167
Additional paid-in capital 49,376 47,138
Accumulated other comprehensive
income (loss) (4) --
Accumulated deficit (48,212) (45,337)
1,346 1,969
$2,718 $2,685
SAFLINK Corporation
Condensed Consolidated Statements of Operations
(in thousands except per share data)
(In thousands except per share amounts)
Three Months Ended Nine Months Ended
September 30, September 30,
1999 1998 1999 1998
Post contract services $-- $126 $97 $381
Products and services 281 311 794 4,003
Total revenue 281 437 891 4,384
Cost of products and
services sold 151 248 271 792
Gross profit 130 189 620 3,592
Operating expenses:
Product development 288 291 791 973
Sales and marketing 331 269 950 1,195
Minimum royalty payments 125 125 375 375
General and administrative 458 460 1,390 1,499
Total operating expenses 1,202 1,145 3,506 4,042
Loss from operations (1,072) (956) (2,886) (450)
Interest and other income,
net 15 4 11 256
Net loss (1,057) (952) (2,875) (194)
Preferred stock dividends -- 69 -- 218
Net loss attributable
to common
stockholders $(1,057) $(1,021) $(2,875) $(412)
Basic and diluted loss
per common share $ (0.06) $ (0.15) $ (0.17) $ (0.06)
Weighted average number of common
shares outstanding,
basic and diluted 18,069 6,902 17,203 6,736
CONTACT: James W. Shepperd
Chief Financial Officer
SAFLINK Corporation
(813) 636-0099
SOURCE SAFLINK Corporation
CONTACT: James W. Shepperd, Chief Financial Officer of SAFLINK Corporation, 813-636-0099
Quote for referenced ticker symbols: NRID, ESAF
¸ 1999, PR Newswire
Regards,
Bob |
