Elbit Vision Systems Reports Financial Results for the First Half and Second Quarter of 2005
Wednesday August 10, 8:00 am ET
The Company Records a 266% YOY Increase in Sales
YOQNEAM, Israel--(BUSINESS WIRE)--Aug. 10, 2005--Elbit Vision Systems, Ltd. (OTCBB:EVSNF - News):
First Half Highlights
6 months ended June 30
--------------------------- ------------------------------- ----------
2005 2004
--------------------------- --------------- --------------- ----------
Net Sales $8,589 thousand $3,232 thousand Up 266%
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Net Loss $342 thousand $1,411 thousand Down 76%
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Net Loss before $34 thousand $1,411 thousand Down 98%
amortization
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Elbit Vision Systems, Ltd. (OTCBB:EVSNF - News), a leading provider of automatic optical inspection and quality monitoring systems, today announced its consolidated financial results for the first half and second quarter ended June 30, 2005.
Financial Results first half
Revenues for the first half of 2005 were $8,589,000, an increase of 266% compared with $3,232,000 in the first half of 2004. Revenues for the second quarter of 2005 were $4,446,000 an increase of 185% compared with $2,402,000 in the second quarter of 2004.
Net loss for the first half of 2005 was $342,000, or $0.013 per share, compared to a net loss of $1,411,000, or $0.09 per share, for the first half of 2004. Net loss for the second quarter of 2005 was $225,000, or $0.009 per share, compared to a net loss of $521,000, or $0.03 per share, for the second quarter of 2004.
Excluding amortization related to 2004 acquisitions, the Company recorded net loss of $34,000, or $0.001 per share, for the first half of 2005.
Comments of Management
Commenting on the results, Mr. Yaky Yanay, Chief Financial Officer of EVS, said, "We are pleased with our results for the first half and second quarter of 2005, which were in line with our internal projections. We expect that the significant increase in revenues will pave the way for a return to profitability. We are delighted with the continued growing demand for all our product lines, which indicates that we are well positioned for strong growth ahead."
About Elbit Vision Systems (EVS):
EVS offers a broad portfolio of automatic in-line inspection and quality monitoring systems used to improve product quality and increase production efficiency. The Company's Microelectronic Division provides state-of-the-art optical and laser-based inspection and correction systems for the manufacture of LCDs, FPDs and Bare Wafers. The Company's Industrial Division provides automatic optical inspection (AOI) and non-destructive ultrasound inspection systems for heavy manufacturing (automotive, aeronautics, steel and others). EVS maintains headquarters and manufacturing in Israel, R&D operations in Israel and Korea, and offers global sales and support coverage.
Safe Harbor:
This press release contains forward-looking statements. Such statements are subject to certain risks and uncertainties, such as market acceptance of new products and our ability to execute production on orders, which could cause actual results to differ materially from those in the statements included in this press release. Although EVS believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be achieved. EVS disclaims any intention or obligation to update or revise any forward-looking statements, which speak only as of the date hereof, whether as a result of new information, future events or otherwise. EVS undertakes no obligation to update forward-looking statements to reflect subsequently occurring events or circumstances.
This press release and other releases are available on www.evs.co.il .
CONSOLIDATED BALANCE SHEETS
Jun-30 Dec-31
------------------ ---------
2005 2004 2004
--------- -------- ---------
(Unaudited) (Audited)
------------------ ---------
U.S. dollars in thousands
(except per share data)
----------------------------
Assets
CURRENT ASSETS:
Cash and cash equivalents 476 1,517 1,222
Restricted deposit 1,961 506 768
Accounts receivable:
Trade 1,842 1,887 2,287
Other 1,275 927 980
Inventories 5,107 3,426 4,682
--------- -------- ---------
Total current assets 10,661 8,263 9,939
--------- -------- ---------
LONG-TERM RECEIVABLES:
Funds in respect of employee rights
upon retirement 1,485 534 1,389
Other long-term receivables 205 112 187
--------- -------- ---------
Total long-term receivables 1,690 646 1,576
--------- -------- ---------
PROPERTY, PLANT AND
EQUIPMENT - net of
accumulated depreciation and
amortization 938 705 1,057
--------- -------- ---------
OTHER ASSETS AND DEFERRED CHARGES -
net of accumulated amortization:
Goodwill 3,893 1,520 2,448
Other intangible assets 3,722 - 4,090
Deferred charges 343 - 343
--------- -------- ---------
7,958 1,520 6,881
--------- -------- ---------
--------- -------- ---------
Total assets 21,247 11,134 19,453
--------- -------- ---------
Jun-30 Dec-31
------------------- ---------
2005 2004 2004
--------- --------- ---------
(Unaudited) (Audited)
------------------- ---------
In thousands
-----------------------------
Liabilities and shareholders' equity
CURRENT LIABILITIES:
Credit from banks 2,422 828 1,394
Current maturities of loan from
shareholder 160 181 160
Credit from Cornell Capital Partners
L.P. 2,455 - 3,328
Accounts payable:
Trade 2,227 1,189 2,450
Deferred revenues 3,347 693 789
Other 4,684 3,375 6,637
--------- --------- ---------
Total current liabilities 15,295 6,266 14,758
--------- --------- ---------
LONG-TERM LIABILITIES:
Loan from shareholder (net of current
maturities) 219 369 408
Other long term liability 182 197 -
Liability for employee rights upon
retirement 2,100 912 2,141
--------- --------- ---------
Total long-term liabilities 2,501 1,478 2,549
--------- --------- ---------
Total liabilities 17,796 7,744 17,307
--------- --------- ---------
SHAREHOLDERS' EQUITY 3,451 (b) 3,390 2,146 (a)
--------- --------- ---------
Total liabilities and shareholders'
equity 21,247 11,134 19,453
========= ========= =========
(a) After reduction of $2,520 shares held in escrow
(b) After reduction of $1,168 shares held in escrow
ELBIT VISION SYSTEMS LTD.
CONSOLIDATED STATEMENTS OF OPERATIONS
6 months ended 3 months ended Year
ended
--------------- --------------- ---------
Jun-30 Jun-30 December
31,
--------------- --------------- ---------
2005 2004 2005 2004 2004
------- ------- ------- ------- ---------
(Unaudited) (Unaudited) (Audited)
--------------- --------------- ---------
U.S. dollars in thousands
(except per share data)
-----------------------------------------
REVENUES 8,589 3,232 4,446 2,402 10,960
COST OF REVENUES 5,436 1,866 2,731 1,137 8,542
------- ------- ------- ------- ---------
GROSS PROFIT 3,153 1,366 1,715 1,265 2,418
RESEARCH AND DEVELOPMENT
EXPENSES - net 682 907 234 647 2,456
SELLING, GENERAL AND
ADMINISTRATIVE EXPENSES:
Marketing and selling 1,652 1,355 930 932 3,527
General and
administrative 949 576 618 269 2,153
------- ------- ------- ------- ---------
OPERATING LOSS (130) (1,472) (67) (583) (5,718)
FINANCIAL INCOME (EXPENSES)
- net (230) (46) (157) (40) (297)
OTHER INCOME - net 18 110 (1) 104 116
------- ------- ------- ------- ---------
LOSS BEFORE TAXES ON INCOME (342) (1,408) (225) (519) (5,899)
TAXES ON INCOME - 3 - 2 6
------- ------- ------- ------- ---------
LOSS FOR THE PERIOD (342) (1,411) (225) (521) (5,905)
======= ======= ======= ======= =========
------- ------- ------- ------- ---------
NET LOSS FOR THE PERIOD
BEFORE AMORTIZATION (34) (1,411) (71) (521) (4,967)
======= ======= ======= ======= =========
NET LOSS PER SHARE - BASIC
AND DILUTED (0.013) (0.09) (0.009) (0.030) (0.315)
NET LOSS BEFORE AMORTIZATION
PER SHARE - BASIC AND
DILUTED (0.001) (0.09) (0.003) (0.030) (0.265)
WEIGHTED AVERAGE NUMBER
OF SHARES USED IN
COMPUTATION OF LOSS PER
SHARE BASIC AND DILUTED
(IN THOUSANDS) 25,042 15,313 25,042 15,313 18,724
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Contact:
Elbit Vision Systems Ltd.
Yaky Yanay, VP Finance and CFO, 972-4-993-6418
yaky@evs.co.il
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Source: Elbit Vision Systems, Ltd.
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