OT--BUT this Net2Phone 2nd Qtr Report mentions GNET, and hopefully will be of interest to this board.....
KLP
Note: I have put in the bold marks.... Wonder what this statement will mean to GNET....?? Any ideas??? The majority of these distribution agreements are expected to go live in the coming weeks.
net2phone.com
Net2Phone Reports Second Quarter Results
Company records $15.5 million in quarterly revenues and loss of $0.17 per share
New products to include IP devices, Voice over DSL, and unified messaging
HACKENSACK, N.J.- March 1, 2000 - Net2Phone, Inc. (NASDAQ: NTOP) today reported net revenues totaling $15.5 million for the second quarter fiscal year 2000 ended January 31, 2000, more than double the net revenues of $7.5 million for the second quarter FY1999 and an 18% increase over revenues of $13.1 million in the first quarter of this fiscal year.
Net loss before the amortization of non-cash compensation expense for the issuance of options for the second quarter of 2000 was ($8.7) million or ($0.17) per share, as compared to a net loss of ($0.8) million or ($0.03) per share for the second quarter of 1999 and ($5.4) million or ($0.11) per share in the prior quarter.
Gross margins in the quarter were 46% as compared to 47% in the same quarter year-ago and 48% in the prior quarter. Depreciation and amortization for the second quarter was $1.1 million as compared to $0.4 million in the same quarter year-ago, and $0.9 million for the prior quarter.
EBITDA for the second quarter was ($10.2) million or ($0.20) per share as compared to EBITDA of ($1.2) million or ($.04) per share for the same quarter one year-ago, and ($5.7) million or ($0.12) per share in the first quarter of FY2000.
"Once again, we have shown an impressive quarter filled with technological developments, international expansion, and new distribution channels," said Howie Balter, CEO of Net2Phone. "We intend to spend the coming quarters on continuing our aggressive global IP network expansion as well as bringing new products to market and value-added services worldwide."
Minutes of Use
Total Net2Phone minutes of use grew to 103 million minutes for the quarter, a 94% increase over the 53 million minutes of use for the same quarter year-ago and a 21% increase over the prior quarter's 85 million minutes. Frost & Sullivan recently reported that Net2Phone was the industry leader for Internet telephony minutes of use.
Increased Usage
As of January 31, 2000, Net2Phone had over 575,000 active customers who had used Net2Phone's services during the past three months, a 47% increase over the prior quarter's 390,000.
Hardware Solutions and IP Devices
The Company has recently entered into hardware integration transactions with three of the top electronics manufacturers in the world. Panasonic and Net2Phone will jointly develop a new cordless phone featuring a "One Touch" button that will connect users to Net2Phone's VoIP network. The Company also announced an agreement with 3COM (NASDAQ: COMS) to create a new modem specifically designed to enhance VoIP usage with Net2Phone's technology. Earlier this week, the Company announced an agreement with Samsung Electronics to build IP Telephony equipment for small-to-mid sized businesses worldwide. The new hardware solutions are expected to be available this summer.
The Company also plans on introducing its own line of innovative hardware solutions designed to enable a wide range of users to easily make Internet phone calls. The new product line is called "Y@P ? Your Alternative Phone," and will be sold worldwide to consumers and enterprises through retail superstores, resellers and VARs (Value Added Resellers) this year. More details will be available in the coming weeks, including both product and service solutions for Voice over DSL.
Online Distribution
This quarter, the company announced an integrated relationship with Qualcomm's (NASDAQ: QCOM) Eudora software to integrate the Company's PC-to-phone service throughout its e-mail program as well as offer co-branded calling cards to its users worldwide. The Company also signed distribution agreements with Mail.com (NASDAQ: MAIL), ShopNow (NASDAQ: SPNW), CBS Switchboard (NASDAQ: BNYN) and McAfee (NASDAQ: MCAF) during the quarter to integrate a combination of PC-to-phone, PC-to-PC, voicemail, unified messaging, and phone cards to their customers worldwide.
Net2Phone has secured multiple online distribution agreements with the top companies on the web today, including Priceline.com (NASDAQ: PCLN), America Online (NYSE: AOL), Excite (NASDAQ: ATHM), Infospace (NASDAQ: INSP), and Go2Net (NASDAQ: GNET). The majority of these distribution agreements are expected to go live in the coming weeks. For example, Net2Phone will be implementing a name-your-own-price system for long distance services with Priceline.com in the current quarter. The Company also plans to unveil a feature-rich interactive Unified Messaging service by the end of Q4 FY00.
IP Network Expansion
Furthering its commitment to a worldwide IP telephony network, Net2Phone has rolled out its phone-to-phone service internationally. The Company has started offering its low cost Voice over IP ("VoIP") service in the UK, Canada, France, and Germany, and intends to expand its retail offering to 20 additional countries by the end of the year 2000. Net2Phone's network currently reaches 30 countries and expects to be operational in 25 additional countries by the end of the year.
Net2Phone is a leading provider of voice-enhanced Internet communications services to individuals and businesses worldwide. Net2Phone enables people to place low-cost high quality calls from their computer, telephone, or fax machine to any telephone or fax machine in the world. Net2Phone develops and markets technology and services for IP voice and e-commerce solutions for the web and other IP networks. For more information about Net2Phone's products and services, please visit www.net2phone.com. |
