GERMANTOWN, Md. , April 30 /PRNewswire-FirstCall/ -- Optelecom-NKF, Inc. (Nasdaq: OPTC), a leading global supplier of advanced video surveillance solutions, today announced results for its first quarter ended March 31, 2008 .
Revenue for the quarter advanced to
Income from Operations for the current quarter increased to
"We reported solid first quarter 2008 sales marking our third straight quarter of double digit growth," said Edmund Ludwig , Optelecom-NKF's President and CEO. "Our markets are currently witnessing a key technological transition toward network-enabled surveillance solutions. The jump in sales for what is our seasonally slowest quarter demonstrates the increased momentum of our business."
"Revenue for the first quarter increased 19% with growth in both our domestic and international markets," added Steven Tamburo , Optelecom-NKF's Chief Financial Officer. "We continue to experience strong acceptance of our global IP Surveillance products and solutions. Our recent addition of a Siqura(R) camera line demonstrates our product development capability in these rapidly growing markets."
First Quarter Conference Call
Optelecom-NKF President and CEO Edmund Ludwig will lead a conference call to discuss first quarter results at 10:00 a.m. Eastern Time , Thursday, May 1, 2008 .
Interested parties are welcome to call 800-638-4817 (International Dial In: 617-614-3943) and request the "Optelecom-NKF conference call" shortly before the designated start time or provide the participant passcode 25071317. The telephone conference call will feature a question and answer segment with management. For those parties unable to participate in the live conference call, a replay will be available from noon following the teleconference until May 8, 2008 . Those wishing to listen to the replay should call 888-286-8010 (International Dial In: 617-801-6888) and enter passcode 25737680 when prompted.
The call is being web cast by CCBN and can be accessed at www.earnings.com or at Optelecom-NKF's website www.optelecom-nkf.com.
About Optelecom-NKF
Optelecom-NKF, Inc. (Nasdaq: OPTC), is a global supplier of advanced video surveillance solutions, including IP cameras, video servers/codecs, network video recorders, fiber transmission equipment, video management and video analytics software. We deliver complete solutions for traffic management and security of airports, seaports, casinos, prisons, utilities, public transport, city centers, hospitals, and corporate campuses.
Founded in 1972, Optelecom-NKF is committed to providing its customers with expert technical advice and support in addition to products that are developed and tested for professional and mission critical applications. All Optelecom-NKF IP surveillance solutions are marketed under the Siqura(R) name.
The Optelecom-NKF corporate headquarters is in Germantown, Maryland , USA, with European corporate offices in Gouda, The Netherlands , and sales offices or support covering Latin America , France , Spain , the UK, Germany , Italy , Dubai , and Singapore .
Forward-Looking Statements
The statements contained in this release, which are not historical facts, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by forward-looking statements. These risks and uncertainties include, among others: the ability of Optelecom-NKF to successfully operate its global business; the ability of the Company to develop and market network video products and solutions for the traffic monitoring, transportation security, commercial and industrial and government markets; lack of reliable vendors, service providers, and outside products; unforeseen changes in competing technologies and products; worldwide economic variances; poor or delayed research and development results; and disparities between forecast and realized sales results. Other important factors that could cause actual results to differ materially are included but are not limited to those listed in Optelecom-NKF's periodic reports and registration statements filed with the Securities and Exchange Commission. Optelecom-NKF does not assume any obligation to update information concerning its expectations.
Investor inquiries should be directed to Mr. Rick Alpert at 301-948-7872. OPTELECOM-NKF, INC. CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME FOR THE THREE MONTHS ENDED MARCH 31, (Unaudited) (Dollars in Thousands, Except Share Amounts) 2008 2007 Revenue $10,535 $8,835 Cost of goods sold 4,076 3,922 Gross profit 6,459 4,913 Operating expenses: Sales and marketing 2,661 2,057 Engineering 1,416 1,376 General and administrative 1,662 1,348 Amortization of intangibles 208 183 Total operating expenses 5,947 4,964 Income (loss) from operations 512 (51) Other expense, net 352 324 Income (loss) before income taxes 160 (375) Provision (benefit) for income taxes 12 (117) Net income (loss) $148 $(258) Basic earnings (loss) per share $.04 $(.07) Diluted earnings (loss) per share $.04 $(.07) Weighted average common shares outstanding - basic 3,632,564 3,518,205 Weighted average common shares outstanding - diluted 3,632,635 3,518,205 Net income (loss) $148 $(258) Foreign currency translation 1,920 173 Comprehensive income (loss) $2,068 $(85) OPTELECOM-NKF, INC. CONSOLIDATED BALANCE SHEETS AS OF MARCH 31, 2008 AND DECEMBER 31, 2007 (March 31, 2008 Unaudited) (Dollars in Thousands, Except Share Amounts) Mar. 31, Dec. 31, ASSETS 2008 2007 CURRENT ASSETS (unaudited) Cash and cash equivalents $8,093 $5,043 Accounts and contracts receivable, net of allowance of $316 and $249 8,158 9,575 Inventories, net 5,096 5,214 Deferred tax asset-current 708 732 Prepaid expenses and other current assets 1,014 816 Total current assets 23,069 21,380 Property and equipment, less accumulated depreciation of $8,105 and $7,634 2,705 2,594 Deferred tax asset-non-current 2,764 2,284 Intangible assets, net of accumulated amortization of $2,644 and $2,259 8,620 8,241 Goodwill 16,368 15,259 Other assets 220 205 TOTAL ASSETS $53,746 $49,963 LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable $2,621 $2,623 Accrued payroll 2,564 2,165 Commissions payable 172 198 Current portion of capitalized leases 26 45 Bank line of credit 1,625 1,000 Current portion of notes payable 4,576 1,525 Accrued warranty reserve 402 418 Taxes payable 79 49 Other current liabilities 1,051 1,090 Total current liabilities 13,116 9,113 Notes payable 11,600 14,245 Deferred tax liability 2,207 2,037 Interest payable 1,155 1,210 Other liabilities 255 257 Total liabilities 28,333 26,862 STOCKHOLDERS' EQUITY Common stock, $.03 par value-shares authorized, 15,000,000; issued and outstanding, 3,636,730 and 3,632,083 shares as of March 31, 2008 and December 31, 2007, respectively 109 109 Additional paid-in capital 15,778 15,534 Accumulated other comprehensive gain 5,326 3,406 Treasury stock, 162,672 shares, at cost (1,265) (1,265) Retained earnings 5,465 5,317 Total stockholders' equity 25,413 23,101 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $53,746 $49,963SOURCE Optelecom-NKF, Inc.
