5 Columbia Road
Somerville, NJ 08876
Conolog Corporation was established in 1969 as an electronics design/engineering and manufacturing company specializing in Hi-Reliability communications equipment and components for the United States military. Conolog products were incorporated into the military's VRC, PRC and GRC family of radios, the Mark series of torpedoes and guidance for the Patriot missile and Captor Torpedo. Conolog's design expertise was expanded to commercial applications for AT&T, Dow Jones and other wire services as well as Utilities and DOTs (Departments of Transportation).
In 1980 Conolog Corp. acquired INIVEN, an electronics manufacturer making FSK (frequency shift keyed) audio communications equipment. Under Conolog, Iniven was expanded to include DSP (Digital Signal Processing) controlled FSK transmission protection communications for electric utilities and other products. Iniven continues to enhance and add to its product line to include the latest technology.
Conolog continues to support and manufacture products for the military, specializing in communications and guidance to some of the military's most sophisticated systems
Introducing The GlowWorm: A passive fiber optic light detection device for quickly isolating fiber link failures.
Audio Communications Module now available for PDR-2000 Digital Teleprotection Terminal
CONOLOG REPORTS RESULTS FOR THE NINE MONTHS ENDED APRIL 30, 2011
Somerville, NJ - June 20, 2011: Conolog Corporation (OTCQB: CNLG) announced today the results for the nine months ended April 30, 2011.
Product revenues for the nine months ended April 30, 2011 totaled $1,179,708 representing an increase of 7.6% from the $1,095,913 reported for the same nine month period last year. The company attributes this to increased orders from North American customers.
Product cost for the nine months ended April 30, 2011 totaled $638,986 or 54.2% of product revenues, an increase of 3% from the previous year of $621,649 or 56.8% of revenue.
Gross Profit for the nine months ended April 30, 2011 amounted to $540,722 or 45.8% compared to $474,264 or 43.3% for the prior year. The increase in gross profit is attributable to lower material component costs.
As a result of the forgoing, the Company reported a loss from operations of ($1,733,435) compared to a loss from operation s of ($2,976,461) for the nine months ended April 30, 2011 and 2010, respectively.
The Company reported a net loss of ($3,618,318) or ($0.39) per share for the nine months ended April 30, 2011 compared to a net loss of ($29,253,750) or ($7.56) per share for the nine months ended April 30, 2010. The decrease in net loss of $25,635,432 can mainly be attributed to noncash transactions related to the subscription agreement entered into in August 2009, which resulted in a loss on the derivative financial instrument of $24,674,279.
About Conolog Corporation
Conolog Corporation is a provider of digital signal processing and digital security solutions to electric utilities. The Company designs and manufactures electromagnetic products for the military and provides engineering and design services to a variety of industries, government organizations and public utilities. The Company's INIVEN division manufactures a line of digital signal processing systems, including transmitters, receivers and multiplexers.
The number of shares of common stock outstanding as of June 17, 2011 was 12,455,380.
Common stock, par value $0.01; 30,000,000 shares authorized; 12,455,382 shares issued at April 30, 2011 and 6,967,881 shares issued at July 31, 2010, respectively