To: rupert1 who wrote (57408 ) 4/12/1999 4:43:00 PM From: Jimbo Cobb Respond to of 97611
Victor...VOCLF earnings warning !!!!! Of course, since VOCLF has no earnings anyway, it may not be too devastating... I sold a few at $13 this morning just to bag a quick profit, but I am still holding 75% of my shares....avg price 10 5/8... Jimbo. VocalTec Communications Issues First Quarter Update HERZLIYA, Israel--(BUSINESS WIRE)--April 12, 1999--VocalTec Communications Ltd. (Nasdaq:VOCLF) today announced that, based on preliminary analysis of its results for the first quarter ended March 31, 1999, it expects to report results lower than the estimates of financial analysts. VocalTec expects to report approximately $6 million in revenue with a loss per share of between $0.85 and $0.87. Analysts' estimates range from a loss of $0.37 to a loss of $0.45 per share. These statements are preliminary and the Company expects to report its final first quarter results on April 27, 1999. The greater than expected loss is attributable to lower than expected sales, a less favorable sales mix and higher operating expenses, including larger than expected reserves for bad debt and other adjustments. "This is a frustrating period in the development of the market," said Doron Zinger, president and CEO of VocalTec Communications. "Carrier interest in our solution for offering a range of new IP-based enhanced services is high and continues to grow. However, this is entailing a lengthy and complex process which is taking longer than expected. Meanwhile, the cost of obtaining and supporting smaller accounts relative to the size of the sale is putting pressure on margins. Also, the revenue reflects the lumpiness that we have repeatedly warned about in connection with existing customers. We reiterate though that we remain confident in our product architecture and strategies that address market requirements. Also, we have been successful in expanding our relationships during the quarter to include more large service providers, which we expect to be reflected in our results as these relationships mature." About VocalTec Communications