LKON reports losses - At least that brings them out of the "quiet period":
Linkon Reports Fiscal 1999 Results
with 10% Sales Increase
FAIRFIELD, Conn., May 4 /PRNewswire/ -- Linkon Corporation (OTC Bulletin Board: LKON -
news) today announced results for the fiscal year 1999 ended January 31, 1999. Revenues for the
year were up 10% at $4,243,996 versus prior fiscal year's revenues of $3,862,594. The company
also reported a net loss of $2,686,779 or $0.21 per share versus a net loss of $1,647,135 or $0.15
per share for the prior fiscal year.
''Fiscal 1999 saw us commercializing several important R&D projects including the LinkNet(TM)
Gateway Switch and the LinkNetwork(TM) IP Enhanced Services Division. Both are targeted at the
rapidly emerging Internet Protocol Telephony market.
''While this new IP Telephony market is potentially large, the competition is moving at 'Internet
Speed' as well. But, we believe our scalable UNIX based platforms and our flexible middleware
which provides applications developers with easy to use interfaces to both telephone networks and
IP controlled networks, whether the Internet or private data lines, have significant competitive
advantages. As an example, a leading trade magazine, Internet Telephony, gave LinkNet its 'Product
of the Year' award for 1998.
''On the financial side of the business, we were able to offset operating losses with additional
financings. We are actively engaged in raising added capital to help us penetrate the IP Telephony
market,'' said Lee W. Hill, President and CEO.
This release contains forward-looking statements which are subject to factors which may cause
Company results to vary from those expected. Risks include: the uncertainty of product acceptance,
dependence on its relationship with AT&T and Sun, the competitive nature of targeted industries,
government regulations, legal uncertainties, dependence on key personnel, and a variety of risks set
forth from time to time in Linkon Corporation's filings with the Securities and Exchange Commission.
Linkon undertakes no obligation to publicly release results of any of these forward-looking
statements which may be made to reflect events or circumstances after the date hereof or to reflect
the occurrence of unexpected events.
About Linkon Corporation
Linkon develops and markets Internet Protocol Telephony enhanced services equipment and
services for the telecom, data, cable, utility and Internet industries. Linkon was recently named as
one of Deloitte & Touche's ''Fast 50,'' a group of the fastest growing companies in Connecticut. The
magazine, Internet Telephony, named the Corporation's LinkNet IP Telephony Switch as a
''Product of the Year'' for 1998. Linkon products are sold to end-users and through system
integrators, application developers, value added resellers and original equipment manufacturers.
CONSOLIDATED STATEMENTS OF OPERATIONS
Year Ended January 31,
1999 1998
Revenues $4,243,996 $3,862,594
Cost of Goods Sold 2,853,593 2,227,528
Gross Margin On Sales 1,390,403 1,635,066
Selling, R&D, General and
Administrative Expenses 4,009,127 2,980,753
Provision for
Doubtful Accounts 40,565 33,724
4,049,692 3,014,477
Operating Loss (2,659,289) (1,379,411)
Other Income (136,404) (263,724)
Loss Before Income Tax (2,795,693) (1,643,135)
Income Taxes (1,000) 4,000
Net Loss $(2,686,779) $(1,647,135)
Loss Per Share $(0.21) $(0.15)
Weighted Average Number
of Shares Outstanding 12,997,671 10,896,252
More up to the minute information is available from the Linkon home page; linkon.com
or linknetwork.org. Linkon, Escape, LinkNet, LinkNetwork and Maestro are
trademarks of Linkon Corporation. All other trademarks are the property of their respective owners.
SOURCE: Linkon Corporation |
