E-Stamp Corporation Announces First Quarter 2001 Results

Apr 26, 2001, 01:00 ET from E-Stamp Corporation

    MOUNTAIN VIEW, Calif., April 26 /PRNewswire/ --
 E-Stamp Corporation (Nasdaq: ESTM), a provider of transportation management
 solutions, today announced its results for the first quarter ended
 March 31, 2001.
 
     First Quarter 2001 Results
     For the first quarter ended March 31, 2001, the Company reported revenues
 of $317,000 derived from sales and support of its transportation management
 solutions, versus $1.5 million in revenue in the first quarter of 2000 derived
 from the Company's discontinued Internet Postage business.  The Company
 reported a net loss, excluding amortization of deferred compensation, goodwill
 and intangible assets and impairment loss on long-lived assets, of
 $6.5 million or $(.17) per share for the first quarter of 2001, versus
 $26.3 million or $(0.73) per share in the same quarter of last year.  Reported
 net loss was $13.9 million or $(.37) per share for the first quarter of 2001,
 versus $29.7 million or $(.82) per share in the same quarter of last year.
 During the first quarter of 2001, the Company identified indicators of
 impairment related to goodwill, intangible assets and fixed assets, resulting
 in an impairment loss on long-lived assets of $5.7 million for the
 first quarter of 2001.  As of March 31, 2001, the Company's cash, cash
 equivalents and restricted cash were approximately $18.9 million.
 
     Merger with Learn2.com
     On April 20, 2001, the Company announced that it intends to merge with
 online learning provider, Learn2.com.  The Company also announced that it
 would be phasing out its existing transportation management business and
 exploring the transition of its existing customers to a third-party provider.
 The Company's press release announcing the merger and the phase-out of its
 existing business is available at www.e-stamp.com.
 
     About E-Stamp
     E-Stamp Corporation provides transportation management systems designed to
 help companies streamline their critical business processes.  For retailers,
 manufacturers, warehouses and distribution centers, E-Stamp delivers shipping
 systems that allow companies to fulfill their promises to customers and
 trading partners.
     The Company's products includes DigitalShipper Enterprise, an automated
 shipping system that enhances customer service by providing e-mail
 notifications when orders are shipped, status for existing orders, and
 real time tracking of packages shipped, and e-Receive, an internal delivery
 system which uses a portable data collection device to track delivery of
 incoming packages and documents.
     For more information about E-Stamp Corporation and its shipping and
 logistics products, please call 800-499-7040 or visit the Company's Web site
 at www.e-stamp.com.
     "Safe Harbor" Statement under the U.S. Private Securities Litigation
 Reform Act of 1995:  This press release contains forward-looking statements
 under the federal securities laws about the pending merger between the Company
 and Learn2.com, including statements concerning the completion of the merger,
 the phase-out of the Company's existing business and the transition of the
 Company's customers to a third-party provider.  These forward-looking
 statements are subject to significant risks and uncertainties, and actual
 results may differ materially from those described in such statements as a
 result of a number of factors, including those factors described in the
 Company's press release issued on April 20, 2001 and the risk factors
 identified in the "Risk Factors" section of the Form 10-Ks for the fiscal year
 ended December 31, 2000 for each of Learn2.com and E-Stamp, which are on file
 with the Securities and Exchange Commission.  Neither E-Stamp nor Learn2.com
 is under any obligation to update or alter its forward-looking statements,
 whether as a result of new information, future events or otherwise.
     NOTE:  E-Stamp and the E-Stamp logo are registered trademarks, and
 DigitalShipper, e-Receive and e-Warehouse are trademarks, of E-Stamp
 Corporation.  Other trademarks are the property of their respective owners.
 
                              E-Stamp Corporation
                     Condensed Consolidated Balance Sheets
                                 (In thousands)
                                  (Unaudited)
 
                                          March 31, 2001    December 31, 2000
     Assets
     Current assets:
       Cash and cash equivalents                 $15,153              $25,233
       Restricted cash                             3,750                3,750
       Accounts receivable, net                      183                  369
       Other receivable                            1,448                  847
       Prepaid expenses and other current assets   1,283                1,274
     Total current assets                         21,817               31,473
 
     Fixed assets                                  3,524                5,493
     Goodwill & Other Intangible assets               --                4,741
     Other assets                                  1,200                1,200
 
     Total assets                                $26,541              $42,907
 
 
     Liabilities and stockholders' equity
 
     Current liabilities:
       Accounts payable - trade                   $3,969               $3,529
       Accrued liabilities                         3,973                8,073
       Deferred revenue                              243                  328
     Total current liabilities                     8,185               11,930
 
     Stockholders' equity                         18,356               30,977
 
     Total liabilities and stockholders' equity  $26,541              $42,907
 
 
                              E-Stamp Corporation
                Condensed Consolidated Statements of Operations
                    (In thousands, except per share amounts)
                                  (Unaudited)
 
                                               For the Three    For the Three
                                               Months Ended     Months Ended
                                              March 31, 2001    March 31, 2000
 
     Revenue                                       $317             $1,490
 
     Cost of sales                                  172              1,879
 
     Gross profit/(loss)                            145               (389)
     Gross profit/(loss) percentage               45.7%             (26.1%)
 
     Operating expenses:
     Research and development                     1,592              5,231
     Sales and marketing                          1,894             19,512
     General and administration                   3,631              1,577
     Goodwill and intangible asset amortization     439                 --
     Deferred compensation amortization           1,190              3,434
     Deferred marketing cost amortization            --                950
     Impairment loss on long-lived assets         5,709                 --
     Total operating expenses                    14,455             30,704
 
     Operating loss                             (14,310)           (31,093)
 
     Interest income                                478              1,437
     Interest expense                               (21)               (32)
 
     Net loss                                  $(13,853)          $(29,688)
 
     Net loss per share                          $(0.37)            $(0.82)
 
     Net loss per share before amortization of
      deferred stock compensation, goodwill and
      intangible assets and impairment charges   $(0.17)            $(0.73)
 
     Shares used in computing net loss per
      share                                      37,539             36,086
 
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SOURCE E-Stamp Corporation
    MOUNTAIN VIEW, Calif., April 26 /PRNewswire/ --
 E-Stamp Corporation (Nasdaq: ESTM), a provider of transportation management
 solutions, today announced its results for the first quarter ended
 March 31, 2001.
 
     First Quarter 2001 Results
     For the first quarter ended March 31, 2001, the Company reported revenues
 of $317,000 derived from sales and support of its transportation management
 solutions, versus $1.5 million in revenue in the first quarter of 2000 derived
 from the Company's discontinued Internet Postage business.  The Company
 reported a net loss, excluding amortization of deferred compensation, goodwill
 and intangible assets and impairment loss on long-lived assets, of
 $6.5 million or $(.17) per share for the first quarter of 2001, versus
 $26.3 million or $(0.73) per share in the same quarter of last year.  Reported
 net loss was $13.9 million or $(.37) per share for the first quarter of 2001,
 versus $29.7 million or $(.82) per share in the same quarter of last year.
 During the first quarter of 2001, the Company identified indicators of
 impairment related to goodwill, intangible assets and fixed assets, resulting
 in an impairment loss on long-lived assets of $5.7 million for the
 first quarter of 2001.  As of March 31, 2001, the Company's cash, cash
 equivalents and restricted cash were approximately $18.9 million.
 
     Merger with Learn2.com
     On April 20, 2001, the Company announced that it intends to merge with
 online learning provider, Learn2.com.  The Company also announced that it
 would be phasing out its existing transportation management business and
 exploring the transition of its existing customers to a third-party provider.
 The Company's press release announcing the merger and the phase-out of its
 existing business is available at www.e-stamp.com.
 
     About E-Stamp
     E-Stamp Corporation provides transportation management systems designed to
 help companies streamline their critical business processes.  For retailers,
 manufacturers, warehouses and distribution centers, E-Stamp delivers shipping
 systems that allow companies to fulfill their promises to customers and
 trading partners.
     The Company's products includes DigitalShipper Enterprise, an automated
 shipping system that enhances customer service by providing e-mail
 notifications when orders are shipped, status for existing orders, and
 real time tracking of packages shipped, and e-Receive, an internal delivery
 system which uses a portable data collection device to track delivery of
 incoming packages and documents.
     For more information about E-Stamp Corporation and its shipping and
 logistics products, please call 800-499-7040 or visit the Company's Web site
 at www.e-stamp.com.
     "Safe Harbor" Statement under the U.S. Private Securities Litigation
 Reform Act of 1995:  This press release contains forward-looking statements
 under the federal securities laws about the pending merger between the Company
 and Learn2.com, including statements concerning the completion of the merger,
 the phase-out of the Company's existing business and the transition of the
 Company's customers to a third-party provider.  These forward-looking
 statements are subject to significant risks and uncertainties, and actual
 results may differ materially from those described in such statements as a
 result of a number of factors, including those factors described in the
 Company's press release issued on April 20, 2001 and the risk factors
 identified in the "Risk Factors" section of the Form 10-Ks for the fiscal year
 ended December 31, 2000 for each of Learn2.com and E-Stamp, which are on file
 with the Securities and Exchange Commission.  Neither E-Stamp nor Learn2.com
 is under any obligation to update or alter its forward-looking statements,
 whether as a result of new information, future events or otherwise.
     NOTE:  E-Stamp and the E-Stamp logo are registered trademarks, and
 DigitalShipper, e-Receive and e-Warehouse are trademarks, of E-Stamp
 Corporation.  Other trademarks are the property of their respective owners.
 
                              E-Stamp Corporation
                     Condensed Consolidated Balance Sheets
                                 (In thousands)
                                  (Unaudited)
 
                                          March 31, 2001    December 31, 2000
     Assets
     Current assets:
       Cash and cash equivalents                 $15,153              $25,233
       Restricted cash                             3,750                3,750
       Accounts receivable, net                      183                  369
       Other receivable                            1,448                  847
       Prepaid expenses and other current assets   1,283                1,274
     Total current assets                         21,817               31,473
 
     Fixed assets                                  3,524                5,493
     Goodwill & Other Intangible assets               --                4,741
     Other assets                                  1,200                1,200
 
     Total assets                                $26,541              $42,907
 
 
     Liabilities and stockholders' equity
 
     Current liabilities:
       Accounts payable - trade                   $3,969               $3,529
       Accrued liabilities                         3,973                8,073
       Deferred revenue                              243                  328
     Total current liabilities                     8,185               11,930
 
     Stockholders' equity                         18,356               30,977
 
     Total liabilities and stockholders' equity  $26,541              $42,907
 
 
                              E-Stamp Corporation
                Condensed Consolidated Statements of Operations
                    (In thousands, except per share amounts)
                                  (Unaudited)
 
                                               For the Three    For the Three
                                               Months Ended     Months Ended
                                              March 31, 2001    March 31, 2000
 
     Revenue                                       $317             $1,490
 
     Cost of sales                                  172              1,879
 
     Gross profit/(loss)                            145               (389)
     Gross profit/(loss) percentage               45.7%             (26.1%)
 
     Operating expenses:
     Research and development                     1,592              5,231
     Sales and marketing                          1,894             19,512
     General and administration                   3,631              1,577
     Goodwill and intangible asset amortization     439                 --
     Deferred compensation amortization           1,190              3,434
     Deferred marketing cost amortization            --                950
     Impairment loss on long-lived assets         5,709                 --
     Total operating expenses                    14,455             30,704
 
     Operating loss                             (14,310)           (31,093)
 
     Interest income                                478              1,437
     Interest expense                               (21)               (32)
 
     Net loss                                  $(13,853)          $(29,688)
 
     Net loss per share                          $(0.37)            $(0.82)
 
     Net loss per share before amortization of
      deferred stock compensation, goodwill and
      intangible assets and impairment charges   $(0.17)            $(0.73)
 
     Shares used in computing net loss per
      share                                      37,539             36,086
 
                      MAKE YOUR OPINION COUNT - Click Here
                http://tbutton.prnewswire.com/prn/11690X87178712
 
 SOURCE  E-Stamp Corporation