HyperFeed Technologies Reports Quarterly Profit of $0.03 Per Diluted Share

Product Mix Shift Yields Higher Profit on Lower Revenue



Apr 30, 2001, 01:00 ET from HyperFeed Technologies, Inc.

    CHICAGO, April 30 /PRNewswire/ -- HyperFeed Technologies, Inc.
 (Nasdaq: HYPR), a premier source for financial market data and data-delivery
 solutions, today announced net income of $600,000, or $0.03 per diluted share,
 for the first quarter of 2001.  This compares to a net loss of $150,000, or
 $0.01 per diluted share, for the first quarter of 2000.
     The increase in net income occurred while consolidated gross revenue
 declined 10% as a result of a 42% increase in higher-margin institutional
 sales.  Revenue for first quarter 2001 was $9.8 million compared to revenue of
 $10.9 million for the year-ago quarter.  However, with the shift in business
 mix, profitability and gross margin continued to improve.  Gross margin for
 the first quarter was $4.2 million, or 43% of quarterly revenue, compared to a
 gross margin of $3.4 million, or 31% of revenue, for the first quarter of
 2000.
     "As we previously reported, we expected the decline in quarterly revenue,"
 said Jim R. Porter, HyperFeed chairman and CEO. "We are very pleased with our
 first-quarter performance, as our profits continue to rise on the strength of
 our higher-margin, datafeed services.  To supplement our institutional
 efforts, we are working on building a more profitable revenue base in the
 retail segment.  As a start, in the first quarter we introduced two new
 product offerings, Mercenary and Orbit 3.0, together with an extensive
 television and print marketing campaign.  We believe the results of our
 aggressive retail strategy should start to take shape in the second quarter.
 The fact that HyperFeed has consistently improved profitability in such trying
 economic times is attributable to the strength of our business model, which is
 to provide individual and professional investors with speedy access to the
 most complete financial market data in the industry, and to provide them with
 superior tools for making better investment decisions."
     The company also reported EBITDA (earnings before interest, taxes,
 depreciation, and amortization) of $1.9 million for the first quarter, a 36%
 increase over the $1.4 million in EBITDA recorded in the year-ago quarter.
 
     Business Outlook
 
     (The following section, in particular, may contain forward-looking
 statements such as those that are made within the meaning of the Safe Harbor
 provisions of the Private Securities Litigation Reform Act of 1995. More
 information about content that qualifies as forward-looking statements is
 provided in the Safe Harbor Disclosure that appears at the end of this
 release.)
 
     -- The company also announced that it recently unveiled a new retail
        strategy aimed at capturing more market share among individual
        investors. The strategy, tailored to appeal to online investors, will
        encompass product launches, and where it makes sense, possibly
        strategic acquisitions.
 
     -- The company also unveiled a significant institutional offering with the
        release of SmarTicker(TM). Targeted at larger institutions, SmarTicker
        is the equivalent of putting HyperFeed's renowned ticker processing
        capability directly in a customer's site. Institutions can connect
        directly to exchanges and other information sources, thereby minimizing
        potential sources of latency, all while the ticker plant is remotely
        monitored and maintained by HyperFeed.
 
     -- The company also reiterated its plans to continue to enhance the
        content of its premier datafeed with the addition of international
        data, starting with the London Stock Exchange, and the addition of ECN
        data, both of which are anticipated to occur in the second quarter.
 
     About HyperFeed Technologies, Inc.
     Everything HyperFeed Technologies does revolves around fast, accurate and
 complete financial market data.  Beginning with its flagship datafeed,
 HyperFeed(R), the Company applies the latest technologies to the processing,
 delivery, distribution and display of financial market data.  HyperFeed takes
 a systems integration approach and offers customized solutions based upon the
 unique needs of its clients.
     In addition to providing its own suite of display applications for
 enterprises and consumers, HyperFeed is compatible with a wide range of third-
 party software applications and development and middleware platforms.  Plus,
 front-end and back-end e-business solutions facilitate the offering of bundled
 real-time market data and display applications over the Internet by financial
 institutions, Internet portals and Web sites.  For more information, please
 visit HyperFeed's Web site at www.hyperfeed.com .
 
     Safe Harbor Disclosure
     The statements made herein that are not historical in nature, are intended
 to be, and are identified as "forward-looking statements" within the meaning
 of the "safe harbor" provisions of the Private Securities Litigation Reform
 Act of 1995, particularly in reference to statements regarding our
 expectations, plans, and objectives.  Forward-looking statements may be
 impacted by a number of factors, risks, and uncertainties that could cause
 actual results to differ materially from those described in the forward-
 looking statements. Our filings with the Securities and Exchange Commission
 identify factors that could cause material differences.  Among these factors
 are our ability to: i) fund our current and future business strategies either
 through continuing operations or external financing; ii) attract and retain
 key employees; iii) compete successfully against competitive products and
 services; iv) maintain relationships with key suppliers and providers of
 market data; and v) respond to the effect of economic and business conditions
 generally.  The Company cautions readers that forward-looking statements,
 including and without limitation, those relating to the Company's future
 business prospects, revenues, working capital, liquidity, income, and margin
 are subject to certain risks and uncertainties that could cause actual results
 to differ materially from those indicated by the forward-looking statements
 due to any number of risk factors.
 
     *HyperFeed will broadcast its conference call live on Tuesday, May 1, 2001
 at 10 A.M. Central Standard Time (11 A.M. Eastern) at http://www.hyperfeed.com
 and http://www.streetevents.com .  An online replay will also be available
 approximately one hour after the call and will be accessible at the company's
 corporate Web site for 30 days. Please see end of the release for more
 details.
     To listen to the Webcast, your computer must have RealPlayer installed. If
 you do not have RealPlayer, go to http://www.streetevents.com prior to the
 call, where you can download RealPlayer for free. A replay of HyperFeed's
 conference call will be available at the company's corporate Web site,
 http://www.hyperfeed.com for approximately 30 days following the conference
 call.
 
     HYPERFEED TECHNOLOGIES, INC.
     Consolidated Balance Sheets
     March 31, 2001 and December 31, 2000
 
 
     ASSETS                                         March 31,    December 31,
                                                      2001           2000
                                                   (Unaudited)     (Audited)
 
     Current Assets
      Cash and cash equivalents                    $3,272,969     $2,522,593
      Restricted cash equivalents                     200,000        200,000
      Accounts receivable, less allowance
       for doubtful accounts of:
        2001: $85,664; 2000: $89,724                2,157,849      2,848,983
      Prepaid license fees, current                 1,680,000      1,680,000
      Prepaid expenses and other current assets     1,095,800        235,512
 
     TOTAL CURRENT ASSETS                           8,406,618      7,487,088
 
     Property and equipment
      Satellite receiving equipment                    89,417        282,474
      Computer equipment                            2,786,383      4,520,991
      Communication equipment                       1,521,249      1,243,584
      Furniture and fixtures                          235,106        194,818
      Leasehold improvements                          809,691        831,348
 
                                                    5,441,846      7,073,215
     Less: Accumulated depreciation
      and amortization                              2,234,088      4,247,134
 
                                                    3,207,758      2,826,081
 
     Prepaid license fees, net of
      accumulated amortization of:
       2001: $3,290,000; 2000: $2,870,000             910,000      1,330,000
 
     Software development costs, net of accumulated
      amortization of: 2001: $5,580,869;
       2000: $7,795,215                             2,528,995      2,602,283
 
     Deposits and other assets                        124,538         80,808
 
     TOTAL ASSETS                                 $15,177,909    $14,326,260
 
 
     HYPERFEED TECHNOLOGIES, INC.
     Consolidated Balance Sheets (continued)
     March 31, 2001 and December 31, 2000
 
     LIABILITIES AND STOCKHOLDERS' EQUITY           March 31,    December 31,
                                                      2001           2000
                                                   (Unaudited)     (Audited)
     Current Liabilities
      Notes payable                                $1,124,634     $1,199,634
      Accrued satellite termination fees              366,000        399,000
      Accounts payable                              2,377,789      1,744,102
      Accrued expenses                                570,398        759,818
      Accrued compensation                            294,778        269,736
      Income taxes payable                             60,000         35,000
      Unearned revenue                              2,677,011      2,559,252
 
     TOTAL CURRENT LIABILITIES                      7,470,610      6,966,542
 
     Notes payable, less current portion                    -        250,000
     Accrued satellite termination fees,
      less current portion                            150,000        225,000
     Unearned revenue, less current portion            62,310         82,090
     Accrued expenses, less current portion            99,244        108,264
     Minority interest                                      -          1,829
 
     TOTAL NONCURRENT LIABILITIES                     311,554        667,183
 
     TOTAL LIABILITIES                              7,782,164      7,633,725
 
     Stockholders' Equity
     Preferred stock, $.001 par value; authorized
      5,000,000 shares; issued and outstanding:
     Series A 5% convertible: 19,075 shares at
      March 31, 2001 and December 31, 2000                 19             19
     Series B 5% convertible: 28,791 shares at
      March 31, 2001 and December 31, 2000                 29             29
     Common stock, $.001 par value;
      authorized 50,000,000 shares; issued and
       outstanding 15,802,150 shares at March 31,
      2001 and 15,756,310 shares at
      December 31, 2000                                15,802         15,756
     Additional paid-in capital - Series A 5%
      convertible preferred stock                   3,086,013      3,086,013
     Additional paid-in capital - Series B 5%
      convertible preferred stock                   4,664,891      4,664,891
     Additional paid-in capital - common stock     25,612,517     25,555,214
     Additional paid-in capital -
      convertible subordinated debenture
       and warrants                                 8,630,491      8,630,491
     Accumulated deficit                          (34,614,017)   (35,259,878)
 
     TOTAL STOCKHOLDERS' EQUITY                     7,395,745      6,692,535
     TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY   $15,177,909    $14,326,260
 
     HYPERFEED TECHNOLOGIES, INC.
     Consolidated Statements of Operations (Unaudited)
 
                                                 For The Three Months Ended
                                                   March 31,       March 31,
                                                      2001           2000
     REVENUE
      HyperFeed Services                           $6,866,395     $4,851,831
      PCQuote Services                              2,889,922      5,999,946
 
     TOTAL REVENUE                                  9,756,317     10,851,777
 
     DIRECT COST OF SERVICES
      HyperFeed Services                            3,275,977      3,021,888
      PCQuote Services                              2,237,091      4,462,428
 
     TOTAL DIRECT COST OF SERVICES                  5,513,068      7,484,316
 
     GROSS MARGIN                                   4,243,249      3,367,461
     OPERATING EXPENSES
      Sales                                           918,025      1,078,951
      General and administrative                    1,231,046      1,155,649
      Product and market development                1,103,786        819,484
      Depreciation and amortization                   327,827        427,671
 
     TOTAL OPERATING EXPENSES                       3,580,684      3,481,755
 
     INCOME (LOSS) FROM OPERATIONS                    662,565       (114,294)
 
     INTEREST INCOME (EXPENSE)
      Interest income                                  36,478         13,403
      Interest expense                                (30,011)       (52,049)
 
     NET INTEREST INCOME (EXPENSE)                      6,467        (38,646)
 
     INCOME (LOSS) BEFORE INCOME TAXES                669,032       (152,940)
     INCOME TAXES                                      25,000              -
 
 
     INCOME (LOSS) BEFORE MINORITY INTEREST           644,032       (152,940)
     Minority interest                                  1,829          3,869
 
     NET INCOME (LOSS)                               $645,861      $(149,071)
 
     Basic net income (loss) per share                  $0.04        $(0.01)
     Diluted net income (loss) per share                $0.03        $(0.01)
 
     Weighted-average common shares outstanding    15,759,281     15,606,096
     Diluted weighted-average common
      shares outstanding                           21,749,619     15,606,096
 
 
     HYPERFEED TECHNOLOGIES, INC.
     Consolidated Statements of Cash Flows (Unaudited)
 
                                                  For The Three Months Ended
                                                   March 31,      March 31,
                                                      2001           2000
     Cash Flows From Operating Activities:
      Net income (loss)                              $645,861     $(149,071)
     Adjustments to reconcile net income
      (loss) to net cash provided by operating
       activities:
      Depreciation and amortization of property
       and equipment                                  327,827        427,671
      Provision for doubtful accounts                  66,000        150,000
      Amortization of software development costs      469,047        651,605
      Amortization of value assigned to warrant
       issued in lieu of license fees                 420,000        420,000
      Minority interest in loss                        (1,829)        (3,869)
     Changes in assets and liabilities:
      Accounts receivable                             625,134     (1,441,081)
      Prepaid expenses and other current assets      (860,288)       (65,184)
      Deposits and other assets                       (43,730)         4,538
      Accounts payable                                633,687      1,367,193
      Accrued expenses                               (173,398)      (795,399)
      Accrued satellite termination fees             (108,000)      (150,000)
      Accrued income taxes payable                     25,000              -
      Unearned revenue                                 97,979        427,250
 
     NET CASH PROVIDED BY OPERATING ACTIVITIES      2,123,290        843,653
     Cash Flows From Investing Activities:
      Purchase of property and equipment             (709,504)      (421,604)
      Software development costs capitalized         (395,759)      (289,271)
 
     NET CASH USED IN INVESTING ACTIVITIES         (1,105,263)      (710,875)
     Cash Flows From Financing Activities:
      Proceeds from issuance of common stock           57,349        134,980
      Principal payments on notes payable            (325,000)       (75,000)
 
     NET CASH PROVIDED BY (USED IN)
      FINANCING ACTIVITIES                           (267,651)        59,980
 
     Net increase in cash and cash equivalents        750,376        192,758
      Cash and cash equivalents:
      Beginning of the period                       2,522,593      1,452,186
 
      End of the period                            $3,272,969     $1,644,944
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X62050349
 
 

SOURCE HyperFeed Technologies, Inc.
    CHICAGO, April 30 /PRNewswire/ -- HyperFeed Technologies, Inc.
 (Nasdaq: HYPR), a premier source for financial market data and data-delivery
 solutions, today announced net income of $600,000, or $0.03 per diluted share,
 for the first quarter of 2001.  This compares to a net loss of $150,000, or
 $0.01 per diluted share, for the first quarter of 2000.
     The increase in net income occurred while consolidated gross revenue
 declined 10% as a result of a 42% increase in higher-margin institutional
 sales.  Revenue for first quarter 2001 was $9.8 million compared to revenue of
 $10.9 million for the year-ago quarter.  However, with the shift in business
 mix, profitability and gross margin continued to improve.  Gross margin for
 the first quarter was $4.2 million, or 43% of quarterly revenue, compared to a
 gross margin of $3.4 million, or 31% of revenue, for the first quarter of
 2000.
     "As we previously reported, we expected the decline in quarterly revenue,"
 said Jim R. Porter, HyperFeed chairman and CEO. "We are very pleased with our
 first-quarter performance, as our profits continue to rise on the strength of
 our higher-margin, datafeed services.  To supplement our institutional
 efforts, we are working on building a more profitable revenue base in the
 retail segment.  As a start, in the first quarter we introduced two new
 product offerings, Mercenary and Orbit 3.0, together with an extensive
 television and print marketing campaign.  We believe the results of our
 aggressive retail strategy should start to take shape in the second quarter.
 The fact that HyperFeed has consistently improved profitability in such trying
 economic times is attributable to the strength of our business model, which is
 to provide individual and professional investors with speedy access to the
 most complete financial market data in the industry, and to provide them with
 superior tools for making better investment decisions."
     The company also reported EBITDA (earnings before interest, taxes,
 depreciation, and amortization) of $1.9 million for the first quarter, a 36%
 increase over the $1.4 million in EBITDA recorded in the year-ago quarter.
 
     Business Outlook
 
     (The following section, in particular, may contain forward-looking
 statements such as those that are made within the meaning of the Safe Harbor
 provisions of the Private Securities Litigation Reform Act of 1995. More
 information about content that qualifies as forward-looking statements is
 provided in the Safe Harbor Disclosure that appears at the end of this
 release.)
 
     -- The company also announced that it recently unveiled a new retail
        strategy aimed at capturing more market share among individual
        investors. The strategy, tailored to appeal to online investors, will
        encompass product launches, and where it makes sense, possibly
        strategic acquisitions.
 
     -- The company also unveiled a significant institutional offering with the
        release of SmarTicker(TM). Targeted at larger institutions, SmarTicker
        is the equivalent of putting HyperFeed's renowned ticker processing
        capability directly in a customer's site. Institutions can connect
        directly to exchanges and other information sources, thereby minimizing
        potential sources of latency, all while the ticker plant is remotely
        monitored and maintained by HyperFeed.
 
     -- The company also reiterated its plans to continue to enhance the
        content of its premier datafeed with the addition of international
        data, starting with the London Stock Exchange, and the addition of ECN
        data, both of which are anticipated to occur in the second quarter.
 
     About HyperFeed Technologies, Inc.
     Everything HyperFeed Technologies does revolves around fast, accurate and
 complete financial market data.  Beginning with its flagship datafeed,
 HyperFeed(R), the Company applies the latest technologies to the processing,
 delivery, distribution and display of financial market data.  HyperFeed takes
 a systems integration approach and offers customized solutions based upon the
 unique needs of its clients.
     In addition to providing its own suite of display applications for
 enterprises and consumers, HyperFeed is compatible with a wide range of third-
 party software applications and development and middleware platforms.  Plus,
 front-end and back-end e-business solutions facilitate the offering of bundled
 real-time market data and display applications over the Internet by financial
 institutions, Internet portals and Web sites.  For more information, please
 visit HyperFeed's Web site at www.hyperfeed.com .
 
     Safe Harbor Disclosure
     The statements made herein that are not historical in nature, are intended
 to be, and are identified as "forward-looking statements" within the meaning
 of the "safe harbor" provisions of the Private Securities Litigation Reform
 Act of 1995, particularly in reference to statements regarding our
 expectations, plans, and objectives.  Forward-looking statements may be
 impacted by a number of factors, risks, and uncertainties that could cause
 actual results to differ materially from those described in the forward-
 looking statements. Our filings with the Securities and Exchange Commission
 identify factors that could cause material differences.  Among these factors
 are our ability to: i) fund our current and future business strategies either
 through continuing operations or external financing; ii) attract and retain
 key employees; iii) compete successfully against competitive products and
 services; iv) maintain relationships with key suppliers and providers of
 market data; and v) respond to the effect of economic and business conditions
 generally.  The Company cautions readers that forward-looking statements,
 including and without limitation, those relating to the Company's future
 business prospects, revenues, working capital, liquidity, income, and margin
 are subject to certain risks and uncertainties that could cause actual results
 to differ materially from those indicated by the forward-looking statements
 due to any number of risk factors.
 
     *HyperFeed will broadcast its conference call live on Tuesday, May 1, 2001
 at 10 A.M. Central Standard Time (11 A.M. Eastern) at http://www.hyperfeed.com
 and http://www.streetevents.com .  An online replay will also be available
 approximately one hour after the call and will be accessible at the company's
 corporate Web site for 30 days. Please see end of the release for more
 details.
     To listen to the Webcast, your computer must have RealPlayer installed. If
 you do not have RealPlayer, go to http://www.streetevents.com prior to the
 call, where you can download RealPlayer for free. A replay of HyperFeed's
 conference call will be available at the company's corporate Web site,
 http://www.hyperfeed.com for approximately 30 days following the conference
 call.
 
     HYPERFEED TECHNOLOGIES, INC.
     Consolidated Balance Sheets
     March 31, 2001 and December 31, 2000
 
 
     ASSETS                                         March 31,    December 31,
                                                      2001           2000
                                                   (Unaudited)     (Audited)
 
     Current Assets
      Cash and cash equivalents                    $3,272,969     $2,522,593
      Restricted cash equivalents                     200,000        200,000
      Accounts receivable, less allowance
       for doubtful accounts of:
        2001: $85,664; 2000: $89,724                2,157,849      2,848,983
      Prepaid license fees, current                 1,680,000      1,680,000
      Prepaid expenses and other current assets     1,095,800        235,512
 
     TOTAL CURRENT ASSETS                           8,406,618      7,487,088
 
     Property and equipment
      Satellite receiving equipment                    89,417        282,474
      Computer equipment                            2,786,383      4,520,991
      Communication equipment                       1,521,249      1,243,584
      Furniture and fixtures                          235,106        194,818
      Leasehold improvements                          809,691        831,348
 
                                                    5,441,846      7,073,215
     Less: Accumulated depreciation
      and amortization                              2,234,088      4,247,134
 
                                                    3,207,758      2,826,081
 
     Prepaid license fees, net of
      accumulated amortization of:
       2001: $3,290,000; 2000: $2,870,000             910,000      1,330,000
 
     Software development costs, net of accumulated
      amortization of: 2001: $5,580,869;
       2000: $7,795,215                             2,528,995      2,602,283
 
     Deposits and other assets                        124,538         80,808
 
     TOTAL ASSETS                                 $15,177,909    $14,326,260
 
 
     HYPERFEED TECHNOLOGIES, INC.
     Consolidated Balance Sheets (continued)
     March 31, 2001 and December 31, 2000
 
     LIABILITIES AND STOCKHOLDERS' EQUITY           March 31,    December 31,
                                                      2001           2000
                                                   (Unaudited)     (Audited)
     Current Liabilities
      Notes payable                                $1,124,634     $1,199,634
      Accrued satellite termination fees              366,000        399,000
      Accounts payable                              2,377,789      1,744,102
      Accrued expenses                                570,398        759,818
      Accrued compensation                            294,778        269,736
      Income taxes payable                             60,000         35,000
      Unearned revenue                              2,677,011      2,559,252
 
     TOTAL CURRENT LIABILITIES                      7,470,610      6,966,542
 
     Notes payable, less current portion                    -        250,000
     Accrued satellite termination fees,
      less current portion                            150,000        225,000
     Unearned revenue, less current portion            62,310         82,090
     Accrued expenses, less current portion            99,244        108,264
     Minority interest                                      -          1,829
 
     TOTAL NONCURRENT LIABILITIES                     311,554        667,183
 
     TOTAL LIABILITIES                              7,782,164      7,633,725
 
     Stockholders' Equity
     Preferred stock, $.001 par value; authorized
      5,000,000 shares; issued and outstanding:
     Series A 5% convertible: 19,075 shares at
      March 31, 2001 and December 31, 2000                 19             19
     Series B 5% convertible: 28,791 shares at
      March 31, 2001 and December 31, 2000                 29             29
     Common stock, $.001 par value;
      authorized 50,000,000 shares; issued and
       outstanding 15,802,150 shares at March 31,
      2001 and 15,756,310 shares at
      December 31, 2000                                15,802         15,756
     Additional paid-in capital - Series A 5%
      convertible preferred stock                   3,086,013      3,086,013
     Additional paid-in capital - Series B 5%
      convertible preferred stock                   4,664,891      4,664,891
     Additional paid-in capital - common stock     25,612,517     25,555,214
     Additional paid-in capital -
      convertible subordinated debenture
       and warrants                                 8,630,491      8,630,491
     Accumulated deficit                          (34,614,017)   (35,259,878)
 
     TOTAL STOCKHOLDERS' EQUITY                     7,395,745      6,692,535
     TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY   $15,177,909    $14,326,260
 
     HYPERFEED TECHNOLOGIES, INC.
     Consolidated Statements of Operations (Unaudited)
 
                                                 For The Three Months Ended
                                                   March 31,       March 31,
                                                      2001           2000
     REVENUE
      HyperFeed Services                           $6,866,395     $4,851,831
      PCQuote Services                              2,889,922      5,999,946
 
     TOTAL REVENUE                                  9,756,317     10,851,777
 
     DIRECT COST OF SERVICES
      HyperFeed Services                            3,275,977      3,021,888
      PCQuote Services                              2,237,091      4,462,428
 
     TOTAL DIRECT COST OF SERVICES                  5,513,068      7,484,316
 
     GROSS MARGIN                                   4,243,249      3,367,461
     OPERATING EXPENSES
      Sales                                           918,025      1,078,951
      General and administrative                    1,231,046      1,155,649
      Product and market development                1,103,786        819,484
      Depreciation and amortization                   327,827        427,671
 
     TOTAL OPERATING EXPENSES                       3,580,684      3,481,755
 
     INCOME (LOSS) FROM OPERATIONS                    662,565       (114,294)
 
     INTEREST INCOME (EXPENSE)
      Interest income                                  36,478         13,403
      Interest expense                                (30,011)       (52,049)
 
     NET INTEREST INCOME (EXPENSE)                      6,467        (38,646)
 
     INCOME (LOSS) BEFORE INCOME TAXES                669,032       (152,940)
     INCOME TAXES                                      25,000              -
 
 
     INCOME (LOSS) BEFORE MINORITY INTEREST           644,032       (152,940)
     Minority interest                                  1,829          3,869
 
     NET INCOME (LOSS)                               $645,861      $(149,071)
 
     Basic net income (loss) per share                  $0.04        $(0.01)
     Diluted net income (loss) per share                $0.03        $(0.01)
 
     Weighted-average common shares outstanding    15,759,281     15,606,096
     Diluted weighted-average common
      shares outstanding                           21,749,619     15,606,096
 
 
     HYPERFEED TECHNOLOGIES, INC.
     Consolidated Statements of Cash Flows (Unaudited)
 
                                                  For The Three Months Ended
                                                   March 31,      March 31,
                                                      2001           2000
     Cash Flows From Operating Activities:
      Net income (loss)                              $645,861     $(149,071)
     Adjustments to reconcile net income
      (loss) to net cash provided by operating
       activities:
      Depreciation and amortization of property
       and equipment                                  327,827        427,671
      Provision for doubtful accounts                  66,000        150,000
      Amortization of software development costs      469,047        651,605
      Amortization of value assigned to warrant
       issued in lieu of license fees                 420,000        420,000
      Minority interest in loss                        (1,829)        (3,869)
     Changes in assets and liabilities:
      Accounts receivable                             625,134     (1,441,081)
      Prepaid expenses and other current assets      (860,288)       (65,184)
      Deposits and other assets                       (43,730)         4,538
      Accounts payable                                633,687      1,367,193
      Accrued expenses                               (173,398)      (795,399)
      Accrued satellite termination fees             (108,000)      (150,000)
      Accrued income taxes payable                     25,000              -
      Unearned revenue                                 97,979        427,250
 
     NET CASH PROVIDED BY OPERATING ACTIVITIES      2,123,290        843,653
     Cash Flows From Investing Activities:
      Purchase of property and equipment             (709,504)      (421,604)
      Software development costs capitalized         (395,759)      (289,271)
 
     NET CASH USED IN INVESTING ACTIVITIES         (1,105,263)      (710,875)
     Cash Flows From Financing Activities:
      Proceeds from issuance of common stock           57,349        134,980
      Principal payments on notes payable            (325,000)       (75,000)
 
     NET CASH PROVIDED BY (USED IN)
      FINANCING ACTIVITIES                           (267,651)        59,980
 
     Net increase in cash and cash equivalents        750,376        192,758
      Cash and cash equivalents:
      Beginning of the period                       2,522,593      1,452,186
 
      End of the period                            $3,272,969     $1,644,944
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X62050349
 
 SOURCE  HyperFeed Technologies, Inc.