Sand Technology Systems InternationalReports Year-End Results
November 5, 1998 09:05 AM
MONTREAL--(BUSINESS WIRE)--Nov. 5, 1998--Sand Technology Systems
International Inc. SNDCF reported today a net loss for its fiscal year ended July
31, 1998 of ($906,722) or ($0.106) per share on sales of $3,088,041 as compared
to a net loss of ($549,073) or ($0.062) per share on sales of $2,989,157 for the
fiscal year ended July 31, 1997. Arthur Ritchie, President and Chief Executive
Officer of Sand, said that "these financial results were generally expected as the
Company continued to fully-expense its considerable investment in software
product development." He indicated that the Company follows conservative
accounting policies. Mr. Ritchie added that "it is possible that the Corporation will
suffer losses during the first two quarters of fiscal 1999, but it is anticipated that a
solid turn-around will occur after that period." Mr. Ritchie emphasized that fiscal
year 1998 was pivotal in the Company's implementation of its long range strategy
to evolve from being an enterprise involved in the sale and service of high
performance mainframe peripheral products to one which designs, develops,
markets and supports software products. He described some of the activities of
the Company which led to significant accomplishments during the past fiscal year
and which have continued during recent months.
- Sand brought to market new products designed to break through the
return on investment issues plaguing existing data warehouses and
data marts, the Nucleus Exploration Warehouse and the Nucleus
Exploration Mart, as well as the Nucleus Prototype Warehouse and
Mart.
- Sand gained approval in September 1998 in the IBM Business
Intelligence Partnership Initiative for the IBM Visual Warehouse
with its Nucleus Exploration and Nucleus Prototype product
suites.
- Sand became a member of Digital Equipment Corporation's
Association of Software and Application Partners Program (ASAP).
- Sand was accepted as a "branded" provider for Microsoft Windows
NT Server and announced the general availability of the Nucleus
product suite on the 32-bit Windows NT operating system
environment.
- Sand received the 1998 World Class Solution Award for Outstanding
Product Innovation from DM Review. In addition, the Nucleus
Exploration software solution integrated within Hitachi Data
Systems' Intelligent Storage Subsystem was named on the DM Review
Data Warehouse 100 list.
- Sand continued building its network of distributors and entered
into important strategic alliances or marketing and distribution
agreements with among others Wyle Computer Products, Brio
Technology, Inc. and Axiom(R) Corporation.
- Sand's affiliate, Hitachi Data Systems Inc., continued to
generate strong profits and contributed to Sand's working capital
through the payment of a dividend of $800,000 in October of the
current fiscal year.
- Sand commenced marketing in the United Kingdom through Hitachi
Data Systems Corporation and associated partners.
SAND TECHNOLOGY SYSTEMS INTERNATIONAL provides high performance,
scaleable software solutions for data mining, data marts, data warehouses and
on-line analytical processing (OLAP). Sand's product suite, the Nucleus Series
brings patented technology to the business user allowing for more timely and
accurate decision processing within the disconnected client, desktop, workgroup,
departmental and enterprise computing environments. More information on
Nucleus is provided at the Sand website at http:/www.sandtechnology.com.
Nucleus, Nucleus Server and N-Vector are registered trademarks of Sand
Technology Systems International Inc. and Nucleus Exploration Mart, Nucleus
Exploration Warehouse and Nucleus Virtual Database are trademarks of Sand
Technology Systems International Inc. Other trademarks are the property of their
respective owners. The earnings projections contained in this release are forward
looking statements based on reasonable assumptions. However, some
assumptions may not materialize and unanticipated events may occur which
could cause actual results to differ materially from those forecasted. Competitive
pressures, availability and cost competitiveness of supplies or competing
products, timing of significant orders, market acceptance of the Sand Enterprise
Nucleus Server and other risks and uncertainties described in Sand's reports to
Securities and Exchange Commission are important factors which could cause
actual results to differ materially from those projected.
SAND TECHNOLOGY SYSTEMS INTERNATIONAL INC.
Consolidated Statement of Operations
For the Years Ended July 31, 1998 and 1997
IN CANADIAN DOLLARS
FOR THE YEARS ENDED JULY 31
----------------------------------------------------------------
1998 1997
----------------------------
Net Sales $3,088,041 $2,989,157
Research and Development Costs ($2,079,738) ($778,394)
Selling, general and
administrative expenses ($2,923,221) ($1,700,043)
Cost of Sales and Support ($661,734) ($2,069,034)
(Loss) earnings from operations ($1,978,926) ($921,925)
(Loss) earnings before income tax ($906,722) ($549,073)
Income taxes -- --
Net (loss) earnings ($906,722) ($549,073)
(Loss) earnings per share ($0.106) ($0.062)
Weighted average number of
shares outstanding 8,520,206 8,912,864
|
