Hartcourt Reports Projected 2005 Transitional Period Results
The Hartcourt Companies, Inc. (OTC BB: HRCT) (Frankfurt: 900009), today announced the highlights of projected operating results for the transitional period ended May 31, 2005.
Revenue was $19.7 million for the transitional period, with over 90% of sales coming from Samsung computer products sold in the Shanghai region and the remaining sales coming from multimedia products sold in China. Revenue increased 28%, compared to last year same period, same geographic area. Samsung notebook sales was the primary contributing factor representing our successful launch of notebook sales into the consumer space.
Gross margin was 6.3% or $1,237K for the transitional period, more than doubled compared to the same period a year ago. The better gross margin was a result of favorable product mix with addition of multimedia sales.
Operating income (EBITDA) was $375K, or 3.3% for the transitional period, compared to a loss of $420K or -1.4% same period last year. The improved operating income resulted from higher gross margin and lower operating expenses. Net income was $123K, or 0.6% compared to $29K, or 0.1% a year ago.
Hartcourt experienced overall improvement of liquidity. Current ratio for the transitional period was 1.48 compared to 1.37 a year ago.
About Hartcourt
Hartcourt's achievements and operations can be found on its web site: www.hartcourt.com
