CIC Reports Third Quarter 2011 Results Nine Month Revenues Exceed 2010 Total
REDWOOD SHORES, Calif., Nov. 14, 2011 /PRNewswire/ -- Communication Intelligence Corporation ("CIC" or the "Company") (OTCQB: CICI), a leading supplier of electronic signature solutions and the recognized leader in biometric signature verification, reported today total revenue of $512,000 for the three months ended September 30, 2011, an increase of $348,000 or 212%, compared to total revenue of $164,000 for the same quarter in the prior year. For the nine months ended September 30, 2011, total revenue was $1,115,000, an increase of $532,000 or 91%, compared to total revenue of $583,000 for the same period in the prior year.
"We are pleased to have taken another small but positive step in the right direction at this relatively early stage in our efforts to rejuvenate the Company," stated Philip Sassower, CIC's Chairman and Chief Executive Officer. "Our revenue for the first nine months of 2011 was approximately 31% greater than the total revenue for the full year of 2010. After an initial focus on cost cutting earlier this year, we are now investing in the improvement and expansion of our products and services with a greater focus on recurring revenue from partnership opportunities. We believe that, over time, this approach will strengthen the Company's position in the marketplace."
For the quarter ended September 30, 2011, operating expenses were $1,382,000, an increase of $172,000, or 14%, compared to operating expenses of $1,210,000 for the same quarter in the prior year. For the nine months ended September 30, 2011, operating expenses were $4,357,000, an increase of $676,000, or 18%, compared to operating expenses of $3,681,000 for the same period in the prior year. The comparative increases in operating costs were primarily due to higher research and development expenses, non-cash expenses related to the vesting of option grants made in January 2011 and reductions in the amount of capitalized software development costs.
For the quarter ended September 30, 2011, the net loss attributable to common stockholders was $1,167,000, a decrease of $70,000, or 6%, compared to a net loss attributable to common stockholders of $1,237,000 for the same period in the prior year. This decrease was primarily due to conversion of the Company's debt into preferred stock.
For the nine months ended September 30, 2011, the net loss attributable to common stockholders was $4,935,000, an increase of $386,000, or 8%, compared to a net loss attributable to common stockholders of $4,549,000 for the same period in the prior year. This increase was primarily due to the non-cash, intrinsic value of the conversion feature associated with dividends paid on the Company's Series B and Series C Preferred Stock and with the 800 shares of Series C Preferred Stock sold on March 31, 2011, as well as the above-described increase in operating expenses, as offset by lower interest and debt amortization expenses in comparison to the same period last year.
Additional financial information regarding CIC's operating results for the quarter ended September 30, 2011, will be available in the Company's Quarterly Report on Form 10-Q that will be filed with the Securities and Exchange Commission and available at www.sec.gov.
CIC is a leading supplier of electronic signature products and the recognized leader in biometric signature verification. CIC enables companies to achieve truly paperless workflow in their electronic business processes by providing multiple signature technologies across virtually all applications. CIC's solutions are available both in SaaS and on-premise delivery models and afford "straight-through-processing," which can increase customer revenue by enhancing user experience and can also reduce costs through paperless and virtually error-free electronic transactions that can be completed significantly quicker than paper-based procedures. CIC is headquartered in Redwood Shores, California. For more information, please visit our website at http://www.cic.com. CIC's logo is a registered trademark of CIC.
Forward Looking Statements
Certain statements contained in this press release, including without limitation, statements containing the words "believes", "anticipates", "hopes", "intends", "expects", and other words of similar import, constitute "forward looking" statements within the meaning of the Private Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors, which may cause actual events to differ materially from expectations. Such factors include the following (1) technological, engineering, quality control or other circumstances which could delay the sale or shipment of products containing the Company's technology; (2) economic, business, market and competitive conditions in the software industry and technological innovations which could affect customer purchases of the Company's solutions; (3) the Company's inability to protect its trade secrets or other proprietary rights, operate without infringing upon the proprietary rights of others or prevent others from infringing on the proprietary rights of the Company; and (4) general economic and business conditions and the availability of sufficient financing.
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SOURCE Communication Intelligence Corporation