MTS Announces first quarter 2020 Financial Results

RA'ANANA, Israel and POWDER SPRINGS, Georgia, Aug. 20, 2020 /PRNewswire/ --  Mer Telemanagement Solutions Ltd. (MTS) (Nasdaq Capital Market: MTSL), a global provider of telecommunications expense management (TEM), call accounting and contact center software, today released its financial results for the three months ended March 31, 2020.

The Company recorded revenues of $1.15 million for the three months ended March 31, 2020, compared with $1.3 million for the three months ended March 31, 2019. The Company incurred a net loss of $20,000, or $0.01 per diluted share, for the three months ended March 31, 2020 compared with a net loss of $128,000, or $0.03 per diluted share, for the comparable period in 2019. In the three months ended March 31, 2020, the Company had net loss from continuing operations of $32,000 compared to net loss from continuing operations of $130,000 in the comparable period in 2019.

On June 23, 2020, the Company's institutional investor exercised its greenshoe option in part and purchased 622,807 convertible preferred shares in consideration of $710,000, providing the Company with additional working capital.

Commenting on the results, Mr. Roy Hess, Chief Executive Officer of MTS, said, "Our results in 2020 reflect the efficiency plan we implemented during 2019 in order to adjust our operating expenses attributable to the declining sales and to improve our operating  margins. We recently entered the field of omnichannel contact center software. In June 2019, we introduced Omnis - Contact Center Software with "Out-Of-The-Box" capabilities and open channel architecture. At the end of 2019 and during 2020, we started to see initial revenues from this new product. As previously reported, we are also continuing our efforts to find a suitable M&A candidate for our company which will enhance shareholder value."

About MTS

Mer Telemanagement Solutions Ltd. (MTS) is focused on innovative products and services for enterprises in the area of telecom expense management (TEM), call accounting and contact center software. Headquartered in Israel, MTS markets its solutions through wholly-owned subsidiaries in Israel, the U.S. and Hong Kong, as well as through distribution channels. For more information please visit the MTS web site: www.mtsint.com.

Forward Looking Statements

Certain matters discussed in this news release are forward-looking statements that involve a number of risks and uncertainties including, but not limited to, the Company's ability to achieve  profitable operations, its ability  to continue to operate as a going concern, its ability to continue to meet NASDAQ continued listing requirements, customer acceptance of new products, the effects of the spread of Coronavirus (COVID-19) and future measures taken by authorities in the countries in which we operate on our operations, the demand for our products and our customers' economic condition, the impact of competitive products and pricing, market acceptance, the lengthy sales cycle, proprietary rights of the Company and its competitors, risk of operations in Israel,  general economic conditions and other risk factors detailed in the Company's annual report and other filings with the United States Securities and Exchange Commission.

Contact:           
Ofira Bar, CFO
Tel: +972-9-7777-540  

SOURCE Mer Telemanagement Solutions Ltd. (MTS)