eLinear Solutions Announces First Quarter Revenue of $6.5 Million and a 50% Increase in Gross Profit
18 July 2006 - 11:23PM
Business Wire
eLinear, Inc. (AMEX:ELU) announced today its financial results for
the first quarter ended March 31, 2006. Revenue for the first
quarter ended March 31, 2006 was $6.5 million, an increase of 18.4%
compared to revenue of $5.5 million for the first quarter of 2005.
Gross profit was $1,367,979, an increase of 50% compared to
$912,518 for the first quarter of 2005. Gross margin in the first
quarter of 2006 was nearly 21%, a significant improvement over the
17% earned in the first quarter of 2005 and the 11% earned in the
first quarter of 2004. The net loss for the quarter was $1,108,375,
a 39% reduction from the loss of $1,802,954 realized in the same
period of 2005. Tommy Allen, CEO of eLinear, stated, "In spite of
the challenges we have faced in relation to restating our financial
results dating back to 2004, our first quarter in 2006 was in line
with what we expected. Our revenues grew steadily while our margins
showed even better improvement. Achieving 21% gross profit margins
is proof that eLinear has successfully made the transition from a
value added reseller to a comprehensive solutions integrator. We
believe this accomplishment should reward shareholders as average
market valuations for integrated solutions providers are higher
than where eLinear is valued today. As we have trimmed costs to
better align our company with the market environment, our losses
have narrowed and management remains confident and excited about
our goal of reaching operating profitability during 2006." Mike
Hardy, CFO of eLinear, added, "As of this filing today, eLinear is
now current with all the filings required of the company by the
American Stock Exchange per the Amex Company Guide. We have worked
diligently to maintain our listing status with the American Stock
Exchange and our hope is that with today's filing, we have
fulfilled all that is required for eLinear to regain compliance."
-0- *T Results of Operations for the First Quarter March 31, 2006
and 2005 2006 2005 ------------------------- Revenue $6,526,417
$5,512,275 Cost of revenue 5,158,438 4,599,757
------------------------- Gross profit 1,367,979 912,518 Selling,
general and administrative expenses 2,412,658 3,983,155
Depreciation and amortization 84,264 133,051
------------------------- Loss from operations (1,128,943)
(3,203,688) Other income (expense) 20,569 1,400,734 ------------
------------ Net loss $(1,108,375) $(1,802,954)
========================= Net loss per share - basic and diluted
$(0.04) $(0.08) ========================= *T About eLinear, Inc.
eLinear, Inc. is a communications, security and compliance company
providing integrated technology solutions including information and
physical security, IP Telephony and network and storage solutions
infrastructure. Typically, the company's customers are Fortune 2000
and small to medium sized business organizations. eLinear's
services are offered to companies seeking to increase productivity
or reduce costs through investing in technology. eLinear has a
national and international footprint (based in Dubai) and has its
headquarters in Houston, Texas. For more information, see
http://www.elinear.com. Safe Harbor Statement This press release
contains statements that may constitute forward-looking statements,
including the company's ability to realize the projected revenues
from the newly announced project orders and the future strength of
the company's business and industry. These statements are based on
current expectations and assumptions and involve a number of
uncertainties and risks that could cause actual results to differ
materially from those currently expected. For additional
information about eLinear please visit www.elinear.com or
www.sec.gov. eLinear undertakes no obligation to update any
forward-looking statement that may be made from time to time by or
on behalf of the company, whether as a result of new information,
future events or otherwise.
Elinear (AMEX:ELU)
Historical Stock Chart
From May 2024 to Jun 2024
Elinear (AMEX:ELU)
Historical Stock Chart
From Jun 2023 to Jun 2024