eRoom System Technologies Inc. (fka ERMS)

[10 bagger]

ERMS.. $0.16 DD 10Q 5/17/10

eROOMSYSTEM TECHNOLOGIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)



March 31, December 31,
2010 2009
ASSETS
CURRENT ASSETS
Cash and cash equivalents $ 2,068,583 $ 2,302,620
Short term investment 104,019 -
Accounts receivable, net of allowance for doubtful accounts of $16,468 at
March 31, 2010 and $19,087 at December 31, 2009 93,318 105,826
Inventory 79,475 75,911
Note receivable 522,192 522,685
Prepaid expenses 58,297 71,727
Total Current Assets 2,925,884 3,078,769

PROPERTY AND EQUIPMENT
Computer and office equipment, net of accumulated depreciation of
$12,757 at March 31, 2010 and $11,971 at December 31, 2009 72,367 4,801

INVESTMENT IN REAL PROPERTY TAX LIENS 42,107 -

INTANGIBLE ASSETS, net of accumulated amortization of $2,110 at March 31, 2010 and
$1,688 at December 31, 2009 2,984 3,376

DEPOSITS 4,950 4,950

Total Assets $ 3,048,292 $ 3,091,896

LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES
Accounts payable $ 22,227 $ 25,037
Accrued liabilities 52,065 94,640
Customer deposits 2,004 2,004

Total Current Liabilities 76,296 121,681

Total Liabilities 76,296 121,681

STOCKHOLDERS' EQUITY
Preferred stock, $0.001 par value; 5,000,000 shares authorized; none outstanding - -
Common stock, $0.001 par value; 50,000,000 shares authorized; shares 23,832,865
at March 31, 2010 and 23,832,865 at December 31, 2009 23,833 24,123
Additional paid-in capital 34,145,528 34,079,467
Treasury stock at cost 0 shares at March 31, 2010 and 290,300
shares at December 31, 2009 - (38,453 )
Warrants and options outstanding - 103,123
Accumulated deficit (31,147,365 ) (31,148,045 )
Accumulated other comprehensive loss (50,000 ) (50,000 )

Total Stockholders' Equity 2,971,996 2,970,215

Total Liabilities and Stockholders' Equity $ 3,048,292 $ 3,091,896


See accompanying notes to condensed consolidated financial statements


1
--------------------------------------------------------------------------------



eROOMSYSTEM TECHNOLOGIES, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)


For the three months ended March 31, 2010 2009

REVENUE
Product sales $ 190,880 $ 17,033
Maintenance fees 49,884 42,456
Revenue-sharing arrangements - 81,616
Interest and other income 30,414 -

Total Revenue 271,178 141,105

COST OF REVENUE
Product sales 134,067 15,394
Maintenance 15,757 7,623
Revenue-sharing arrangements - 25,502
Total Cost of Revenue 149,824 48,519

GROSS PROFIT 121,354 92,586

OPERATING EXPENSES
Selling, general and administrative expense, including non-cash compensation
of $1,101 and $2,889, respectively 118,946 128,589
Research and development expense 1,728 -
Interest and other income - (37,793 )

Net Operating Expenses 120,674 90,796

Net Income 680 1,790

Basic Earnings Per Common Share $ 0.00 $ 0.00

Diluted Earnings Per Common Share $ 0.00 $ 0.00