Unique Broadband Systems Inc - News Release
Unique Broadband six-month results
Unique Broadband Systems Inc UBS
Shares issued 65,835,356 Dec 20 close $3.30
Tue 21 Dec 99 News Release
Mr. Alex Dolgonos reports
The momentum of the company that began late in the first quarter of fiscal
2000 increased during the second quarter, with earnings for the quarter
rising to $806,363 compared with a loss of $772,181 in the first quarter of
the year. In the second quarter, sales were $2,358,218, more than double
the $836,745 in sales in the first quarter, to bring sales for the first
half to $3,174,963 compared with $4,110,445 last year.
Alex Dolgonos, president and chief executive officer, said: "As a result,
for the six months ended Nov. 30, 1999, the company achieved a profit of
$34,182. While this was lower than the $504,896 earned in the first half of
last year, the significantly improved sales and earnings in the second
quarter of fiscal 2000 are more indicative of the continuing improvements
in the company's operations than the loss that occurred during the first
three months of the year."
He said the increase in earnings of the company in the second quarter of
the year could be attributed to income directly derived from UBS's design
contract with XM Satellite Radio and the introduction of new and important
technology and products to the marketplace.
Mr. Dolgonos pointed out: "UBS is heavily involved in research and
development projects and sales and income do not always directly correlate.
Much of the work that is currently under way will not be reflected in
income until the products are manufactured and shipped, but is reflected in
a corresponding increase in assets of UBS."
The six month report mailed to shareholders today said that the company
continues to tighten controls over selling and administrative expenses,
although advertising, promotion and travel costs have increased as a result
of the company's pursuit of global markets. It is not expected that these
will decrease as the company expands into more and more markets.
"With the signing of our teaming agreement with Hughes Network Systems, we
are now poised to capture a significant portion of satellite digital radio
business in North America and globally. Management remains confident that
there are a wide range of wireless broadband opportunities ahead and UBS
intends to take full advantage of those opportunities," Mr. Dolgonos
concluded.
INTERIM CONSOLIDATED
STATEMENT OF OPERATIONS
Three months ended Nov. 30
1999 1998
Sales $2,338,218 $3,065,175
Cost of sales 1,060,403 989,362
---------- ----------
1,277,815 2,075,813
---------- ----------
Expense
Research 120,448 594,629
Selling and
administrative 236,747 594,870
Amortization 114,257 159,305
---------- ----------
471,452 1,348,804
---------- ----------
Profit from
operations 806,363 727,009
Other income
(expense) 0 (131,866)
---------- ----------
Profit $806,363 $595,143
========== ==========
Earnings
per share 1 cent 1 cent
INTERIM CONSOLIDATED
STATEMENT OF OPERATIONS
Six months ended Nov. 30
1999 1998
Sales $3,174,963 $4,110,445
Cost of sales 1,352,157 1,380,881
---------- ----------
1,822,806 2,729,564
---------- ----------
Expense
Research 863,118 1,201,836
Selling and
administrative 716,664 1,023,542
Amortization 208,842 223,732
---------- ----------
1,788,624 2,449,110
---------- ----------
Profit from
operations 34,182 280,454
Other income
(expense) 0 224,442
---------- ----------
Profit $34,182 $504,896
========== ==========
Earnings
per share 0 1 cent
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