August 4, 2000 NEWS RELEASE
biz.yahoo.com
Friday August 4, 9:19 am Eastern Time
Press Release
dot com Announces Second Quarter Results
OAKVILLE, Ontario--(BUSINESS WIRE)--Aug. 4, 2000--dot com Entertainment Group, Inc. (``dot com'') (OTCBB: DCEG - news) a leading technology company specializing in the development of Internet based gaming systems, today announced its second quarter results for the period ending June 30, 2000.
* Revenue Increased by 465% to $436,312 from $77,215 in 1999.
* Net Income was $41,074 Compared to a Loss of $(96,218) in 1999.
* Company Generated Positive Cash-flow from Operations bringing cash to $510,281 with No Indebtedness.
* Development offices expanded by 100% to accommodate corporate growth.
* Financial Affairs are Reported in $U.S..
The increase in revenue for the quarter to $436,312 from $77,215 in the prior year results from higher royalties, support and maintenance charges. Net income increased to $41,074 or $0.004 per share in the second quarter of 2000 from a loss of $(96,218) or $(0.009) per share in the prior year. Operating expenses increased to $368,592 for the quarter ended June 30, 2000 from $173,433 for the same quarter in 1999. The increase in operating expenses reflects the significantly higher level of activity at the Company.
Revenues increased to $742,222 for the six months ended June 30, 2000 from $143,264 for the six months ended June 30, 1999. The growth in revenues results from higher royalties and support and maintenance charges and the assessment of license fees to new software licensees. Net income increased to $65,469 or $0.006 per share for the six months ended June 30, 2000 from a loss of $(95,333) or $(0.010) per share in the prior year.
Net cash provided by operating activities was $5,659 and $3,574 for the three and six months respectively ended June 30, 2000. These amounts compare to $(133,609) and $(232,227) in the prior year. The improvement results from higher net income, increased non-cash expenses and a lower increase in non-cash working capital items.
During the quarter, dot com completed the development of a full suite of JAVA-based Internet Casino products, which are now available for licensing. dot com has also completed major upgrades to its award winning multi-player Bingo software which will now include Java, Flash and Windows-based technologies, enabling multi-platform support. Other low denomination products, such as Keno, Scratch Cards and Lottery Style Games are currently in development and will be showcased with our other product lines at the World Gaming Conference in Las Vegas, Nevada (October 18-20, 2000).
In addition to expanding its suite of products, the company has commenced a comprehensive sales and marketing campaign, focusing on the license of its multi-platform Internet Bingo and JAVA casino technology to current Internet gaming operators in Antigua, Costa Rica and abroad. Recent meetings in these locations have yielded very positive feedback amongst Internet Casino and Sportsbook operators. The company plans to pursue an aggressive sales and marketing program for the rest of FY2000, in order to become the dominate provider and supporter of Internet Bingo technology while increasing market share of the Internet Casino market.
``We are very excited to have demonstrated to the investment community that our business model is sound and our growth and profitability are consistent with our financial projections. Our company expects to announce several new license agreements over the coming months, which will significantly increase revenue streams'' said Scott White, dot com's President. ``Our corporate mission is to continue growing our Internet gaming software division, while embarking on the development of our free game portal and not-for-profit divisions. The successful execution of these business models will assist us to become strategically placed as a major force in the development and support of e-gaming and online entertainment products and services''.
This press release may contain forward-looking statements, particularly as related to the business plans of the Company, within the meaning of Section 27A of the Securities Act of 1933 and Sections 21E of the Securities Exchange Act of 1934, and are subject to the safe harbor created by these sections. Actual results may differ materially from the Company's expectations and estimates
Contact:
dot com Entertainment Group, Inc.
Scott White, President/Frank Ricciuti, Investor Relations
1 (888) 250-3312
swhite@dceg.com/fricciuti@dceg.com |
