SpectraLink Reports 84% Earnings Growth for First Quarter 2001
Apr 19, 2001, 01:00 ET from SpectraLink Corporation
BOULDER, Colo., April 19 /PRNewswire/ -- SpectraLink Corporation
(Nasdaq: SLNK) today reported exceptional earnings growth for the first
quarter of 2001. Earnings for the quarter were $1.7 million, or $0.09 per
diluted share, representing an 84% increase over earnings of $0.9 million, or
$0.05 per diluted share, in the first quarter of 2000. Year-over-year
quarterly revenue also grew substantially to $14.1 million from $11.6 million
a year ago.
Bruce Holland, SpectraLink president and CEO, said, "I am very pleased
that in these difficult economic times, we were able to deliver earnings
growth in excess of 80%. In addition, it was gratifying to see our growth
within the industry further solidified in recent industry reports.
SpectraLink was once again identified as the clear market leader in North
America providing innovative wireless telephone systems for the workplace."
SpectraLink has established partnerships with top-tier resellers in North
America and Europe to further expand sales into a huge potential market for
workplace wireless solutions that remains largely under-penetrated. Resellers
in North America include BellSouth, Comdial, Fujitsu Business Communication
Systems, Inter-Tel, Norstan, Panasonic Telecommunications, SBC Communications,
Siemens Information and Communication Networks, and Verizon. In Europe, the
Company has signed with leading distributors of Agere Systems, BreezeCOM, and
Cisco wireless LANs such as Anixter, ARtem, Ascom, CNP, Miel, PHI DATA,
Upgrade Communications, Westcon and WiND.
Webcast Information
SpectraLink will hold an audio webcast to discuss first quarter 2001
earnings results, as well as 2001 guidance, today, April 19th, at 4:45 p.m.
Eastern Time. You can access the webcast and replay at
http://www.spectralink.com.
About SpectraLink
SpectraLink Corporation has helped thousands of commercial enterprises
improve productivity and customer service as the leading manufacturer and
provider of wireless telephone systems for the workplace. Headquartered in
Boulder, Colo., SpectraLink has more installed systems and accumulated more
experience and application knowledge than any other provider in North America.
SpectraLink distributes its products through industry-leading service,
equipment and application providers, cultivating a vast customer base among
industries including retail, education, healthcare, manufacturing, finance,
information systems and telecommunications. A sample of customers includes:
Amazon.com, Arthur Andersen, AT&T, Barnes & Noble, Cisco Systems, Dow Jones,
General Motors, GTE, IBM, Lowe's, Marriott International, Microsoft,
MCI WorldCom, National Semiconductor, Sun Microsystems, Toys 'R' Us,
UCLA Medical Center, the U.S. Postal Service and Volvo. For more information
contact 1-800-676-5465 or http://www.spectralink.com.
This release, as it relates to revenues and other company matters,
contains forward-looking statements, which are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995.
Investors are cautioned that all forward-looking statements involve risks and
uncertainties. Investors are directed to the Risk Factors section and other
information contained in the company's most recent 10-Q and 10-K filings with
the Securities and Exchange Commission for a more complete description of the
risks and uncertainties relating to the material in this release as well as to
other aspects of the company's business.
All trademarks, trade names, registered trademarks, or registered trade
names are property of their respective holders. For more information visit
the SpectraLink website at http://www.spectralink.com.
SPECTRALINK CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)
Three Months Ended
March 31,
2001 2000
NET SALES $14,063 $11,602
COST OF SALES 4,495 4,387
Gross profit 9,568 7,215
OPERATING EXPENSES
Research and development 1,275 1,078
Marketing and selling 5,151 4,337
General and administrative 805 684
Total operating expenses 7,231 6,099
INCOME FROM OPERATIONS 2,337 1,116
INVESTMENT INCOME AND OTHER, net 441 398
INCOME BEFORE INCOME TAXES 2,778 1,514
INCOME TAX EXPENSE 1,041 568
NET INCOME $1,737 $946
BASIC EARNINGS PER SHARE $0.09 $0.05
BASIC WEIGHTED AVERAGE
SHARES OUTSTANDING 19,080 19,170
DILUTED EARNINGS PER SHARE $0.09 $0.05
DILUTED WEIGHTED AVERAGE
SHARES OUTSTANDING 20,050 20,680
SPECTRALINK CORPORATION AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
(In thousands)
ASSETS
March 31, December 31,
2001 2000
(Unaudited)
CURRENT ASSETS:
Cash and cash equivalents $20,834 $20,793
Short-term investments in
marketable securities 8,471 10,976
Trade accounts receivable,
net of allowance of $317
and $308, respectively 15,947 14,481
Inventory, net 9,404 9,029
Deferred income taxes
- current portion 1,336 1,336
Other 1,038 1,037
Total current assets 57,030 57,652
INVESTMENTS IN MARKETABLE SECURITIES 1,014 --
PROPERTY AND EQUIPMENT, at cost:
Furniture and fixtures 1,525 1,461
Equipment 5,491 5,173
Leasehold improvements 824 805
7,840 7,439
Less - Accumulated depreciation (5,673) (5,420)
Net property and equipment 2,167 2,019
DEFERRED INCOME TAXES - NON CURRENT 236 236
OTHER 152 163
TOTAL ASSETS $60,599 $60,070
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $1,430 $1,549
Accrued payroll, commissions,
and employee benefits 1,893 2,519
Income taxes payable 557 62
Accrued sales, use and property taxes 191 266
Accrued warranty expenses 255 290
Other accrued expenses 774 695
Deferred revenue 2,963 2,932
Total current liabilities 8,063 8,313
LONG-TERM LIABILITIES 249 263
Total liabilities 8,312 8,576
STOCKHOLDERS' EQUITY:
Common stock 208 207
Additional paid-in capital 54,659 53,855
Retained earnings 7,733 5,996
Treasury stock at cost (10,313) (8,564)
TOTAL STOCKHOLDERS' EQUITY 52,287 51,494
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $60,599 $60,070
SOURCE SpectraLink Corporation
BOULDER, Colo., April 19 /PRNewswire/ -- SpectraLink Corporation
(Nasdaq: SLNK) today reported exceptional earnings growth for the first
quarter of 2001. Earnings for the quarter were $1.7 million, or $0.09 per
diluted share, representing an 84% increase over earnings of $0.9 million, or
$0.05 per diluted share, in the first quarter of 2000. Year-over-year
quarterly revenue also grew substantially to $14.1 million from $11.6 million
a year ago.
Bruce Holland, SpectraLink president and CEO, said, "I am very pleased
that in these difficult economic times, we were able to deliver earnings
growth in excess of 80%. In addition, it was gratifying to see our growth
within the industry further solidified in recent industry reports.
SpectraLink was once again identified as the clear market leader in North
America providing innovative wireless telephone systems for the workplace."
SpectraLink has established partnerships with top-tier resellers in North
America and Europe to further expand sales into a huge potential market for
workplace wireless solutions that remains largely under-penetrated. Resellers
in North America include BellSouth, Comdial, Fujitsu Business Communication
Systems, Inter-Tel, Norstan, Panasonic Telecommunications, SBC Communications,
Siemens Information and Communication Networks, and Verizon. In Europe, the
Company has signed with leading distributors of Agere Systems, BreezeCOM, and
Cisco wireless LANs such as Anixter, ARtem, Ascom, CNP, Miel, PHI DATA,
Upgrade Communications, Westcon and WiND.
Webcast Information
SpectraLink will hold an audio webcast to discuss first quarter 2001
earnings results, as well as 2001 guidance, today, April 19th, at 4:45 p.m.
Eastern Time. You can access the webcast and replay at
http://www.spectralink.com.
About SpectraLink
SpectraLink Corporation has helped thousands of commercial enterprises
improve productivity and customer service as the leading manufacturer and
provider of wireless telephone systems for the workplace. Headquartered in
Boulder, Colo., SpectraLink has more installed systems and accumulated more
experience and application knowledge than any other provider in North America.
SpectraLink distributes its products through industry-leading service,
equipment and application providers, cultivating a vast customer base among
industries including retail, education, healthcare, manufacturing, finance,
information systems and telecommunications. A sample of customers includes:
Amazon.com, Arthur Andersen, AT&T, Barnes & Noble, Cisco Systems, Dow Jones,
General Motors, GTE, IBM, Lowe's, Marriott International, Microsoft,
MCI WorldCom, National Semiconductor, Sun Microsystems, Toys 'R' Us,
UCLA Medical Center, the U.S. Postal Service and Volvo. For more information
contact 1-800-676-5465 or http://www.spectralink.com.
This release, as it relates to revenues and other company matters,
contains forward-looking statements, which are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995.
Investors are cautioned that all forward-looking statements involve risks and
uncertainties. Investors are directed to the Risk Factors section and other
information contained in the company's most recent 10-Q and 10-K filings with
the Securities and Exchange Commission for a more complete description of the
risks and uncertainties relating to the material in this release as well as to
other aspects of the company's business.
All trademarks, trade names, registered trademarks, or registered trade
names are property of their respective holders. For more information visit
the SpectraLink website at http://www.spectralink.com.
SPECTRALINK CORPORATION AND SUBSIDIARY
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)
Three Months Ended
March 31,
2001 2000
NET SALES $14,063 $11,602
COST OF SALES 4,495 4,387
Gross profit 9,568 7,215
OPERATING EXPENSES
Research and development 1,275 1,078
Marketing and selling 5,151 4,337
General and administrative 805 684
Total operating expenses 7,231 6,099
INCOME FROM OPERATIONS 2,337 1,116
INVESTMENT INCOME AND OTHER, net 441 398
INCOME BEFORE INCOME TAXES 2,778 1,514
INCOME TAX EXPENSE 1,041 568
NET INCOME $1,737 $946
BASIC EARNINGS PER SHARE $0.09 $0.05
BASIC WEIGHTED AVERAGE
SHARES OUTSTANDING 19,080 19,170
DILUTED EARNINGS PER SHARE $0.09 $0.05
DILUTED WEIGHTED AVERAGE
SHARES OUTSTANDING 20,050 20,680
SPECTRALINK CORPORATION AND SUBSIDIARY
CONSOLIDATED BALANCE SHEETS
(In thousands)
ASSETS
March 31, December 31,
2001 2000
(Unaudited)
CURRENT ASSETS:
Cash and cash equivalents $20,834 $20,793
Short-term investments in
marketable securities 8,471 10,976
Trade accounts receivable,
net of allowance of $317
and $308, respectively 15,947 14,481
Inventory, net 9,404 9,029
Deferred income taxes
- current portion 1,336 1,336
Other 1,038 1,037
Total current assets 57,030 57,652
INVESTMENTS IN MARKETABLE SECURITIES 1,014 --
PROPERTY AND EQUIPMENT, at cost:
Furniture and fixtures 1,525 1,461
Equipment 5,491 5,173
Leasehold improvements 824 805
7,840 7,439
Less - Accumulated depreciation (5,673) (5,420)
Net property and equipment 2,167 2,019
DEFERRED INCOME TAXES - NON CURRENT 236 236
OTHER 152 163
TOTAL ASSETS $60,599 $60,070
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $1,430 $1,549
Accrued payroll, commissions,
and employee benefits 1,893 2,519
Income taxes payable 557 62
Accrued sales, use and property taxes 191 266
Accrued warranty expenses 255 290
Other accrued expenses 774 695
Deferred revenue 2,963 2,932
Total current liabilities 8,063 8,313
LONG-TERM LIABILITIES 249 263
Total liabilities 8,312 8,576
STOCKHOLDERS' EQUITY:
Common stock 208 207
Additional paid-in capital 54,659 53,855
Retained earnings 7,733 5,996
Treasury stock at cost (10,313) (8,564)
TOTAL STOCKHOLDERS' EQUITY 52,287 51,494
TOTAL LIABILITIES AND
STOCKHOLDERS' EQUITY $60,599 $60,070
SOURCE SpectraLink Corporation
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