CAM Commerce Solutions, Inc.
17075 Newhope Street
Fountain Valley, CA 92708
CAM Announces 1st Quarter Results
For Release After the Market Close
January 30, 2002
Contact: Mathew Hayden, President
Hayden Communications, Inc.
858-704-5065
(FOUNTAIN VALLEY, CA) CAM Commerce Solutions (NASDAQ: CADA) announced that revenues for the three months ended December 31, 2001 decreased 6% to $4.9 million compared to the three months ended December 31, 2000. Net loss for the three months ended December 31, 2001 was $506,000 or $(0.17) per share compared to $614,000 or $(0.20) per share for the same period ended December 31, 2000. The company’s cash position as of December 31, 2001 was $9.6 million or $3.13 per share. The Company is debt free.
"After seeing an upward trend in the September quarter, we realized a 12 week period following the events of September 11th where new system purchases were virtually put on hold by large numbers of small retailers," stated Geoff Knapp, CEO of CAM Commerce Solutions. "This was compounded by the busy holiday season for retailers and the uncertainty surrounding expected sales. These combined factors caused us to have a quarter with lower sales than the first quarter of the 2001 fiscal year. During the last two weeks of December we saw a significant increase in new sales activity, which has continued through January. It is too early to tell but barring unforeseen events, it feels like our market is firming up and showing renewed signs of strength. I am optimistic that the December quarter was not an indicator of our future expected results and that the improvement we began to see in the September quarter is now taking hold again. In late January, we have trimmed over $500,000 per year in annual operating expenditures, which will help us return to profitability. This cost cutting will not impact our ability to take advantage of future growth opportunities. Furthermore, we generated positive cash flow during the quarter, finishing the quarter up slightly over the September quarter at $9.6 million or $3.13 per share."
About CAM Commerce Solutions
CAM Commerce Solutions provides total commerce solutions for traditional and web retailers that are based on the company’s open
architecture software products for inventory management, point of sale, sales transaction processing, accounting, and payment
processing. These solutions often include hardware, installation, training, service, and payment processing services provided by the
company. You can visit CAM Commerce Solutions at www.camcommerce.com.
Important Information
Certain statements made in this release, including those relating to the expectations of profitability and economic climates, are forwardlooking
and are made pursuant to the safe harbor provisions of the Securities Litigation Reform Act of 1995. Words such as “will,”
“should,” “believe,” “expect,” “anticipate,” “outlook,” “forecast,” “optimistic,” “feel,” “potential,” “continue,” “intends,” “goal,”
“plans,” “estimates,” “may,” “seeks,” “would,” “future,” “bright,” “projected,” and other similar expressions that predict or indicate
future events or trends, or that are not statements of historical matters, identify forward-looking statements. Expectations concerning
financial results for future quarters are not actual results and are based upon preliminary estimates, as well as certain assumptions
management believes to be reasonable at this time. Investors should not rely upon forward-looking statements because they are subject
to a variety of risks, uncertainties, and other factors that could cause actual results to differ materially from management's expectations,
and the company does not undertake any duty to update forward-looking statements which speak only as of the date of this release.
The performance of any one month or quarter may not be indicative of future performance, particularly given prevailing market and
economic uncertainties. In addition to the factors set forth elsewhere in this release, the economic, competitive, technological, and
other factors identified in CAM Commerce Solutions’ filings with the Securities and Exchange Commission could affect the forward
looking statements contained in this release.
CAM COMMERCE SOLUTIONS, INC.
CONDENSED BALANCE SHEETS
(In thousands, except per share data)
| |
THREE MONTHS ENDED (Unaudited) |
| |
DECEMBER 31 2001 |
DECEMBER 31 2000 |
| REVENUES |
|
|
| Net hardware, software and installation revenues |
$3,344 |
$3,782 |
| Net service revenues |
1,524 |
1,392 |
| Total net revenues |
4,868 |
5,174 |
| COSTS AND EXPENSES |
|
|
| Cost of hardware, software and installation revenues |
1,849 |
1,959 |
| Cost of service revenues |
716 |
716 |
| Total cost of revenues |
2,565 |
2,675 |
| Selling, general and administrative expenses |
2,387 |
2,872 |
| Research and development expenses |
492 |
397 |
| Interest income |
(70) |
(156) |
| Total costs and expenses |
5,374 |
5,788 |
| Loss before benefit for income taxes |
(506) |
(614) |
| Benefit for income taxes |
- |
- |
| Net loss and comprehensive loss |
$(506) |
$(614) |
| |
| Basic net income per share |
$(0.17) |
$(0.20) |
| |
| Diluted net income per share |
$(0.17) |
$(0.20) |
| |
| Shares used in computing basic net income per share |
3,025 |
3,018 |
| |
| Shares used in computing diluted net income per share |
3,025 |
3,018 |
CAM COMMERCE SOLUTIONS, INC.
CONDENSED BALANCE SHEETS
(In thousands, except per share data)
| |
DECEMBER 31 2001 (Unaudited) |
SEPTEMBER 30 2001 |
| ASSETS |
|
|
| Current assets: |
|
|
| Cash and cash equivalents |
$9,581 |
$9,451 |
| Accounts receivable, net |
1,555 |
2,262 |
| Inventories |
426 |
465 |
| Other current assets |
179 |
124 |
| Total current assets |
11,741 |
12,302 |
| |
| Property and equipment, net |
706 |
763 |
| Intangible assets, net |
1,423 |
1,323 |
| Other assets |
452 |
408 |
| Total assets |
$14,322 |
$14,796 |
| |
| |
| |
| LIABILITIES AND STOCKHOLDERS' EQUITY |
|
|
| Current liabilities: |
|
|
| Accounts payable |
$546 |
$733 |
| Accrued compensation and related expenses |
504 |
522 |
| Customer deposits and deferred service revenue |
1,284 |
1,084 |
| Other accrued liabilities |
191 |
255 |
| Total current liabilities |
2,525 |
2,594 |
| |
| Stockholders' equity: |
|
|
| Common stock, $.001 par value; 12,000 |
|
|
| shares authorized, 3,063 shares issued and |
|
|
| outstanding at December 31, 2001 and 3,023 at |
|
|
| September 30, 2001 |
3 |
3 |
| Paid-in capital |
13,729 |
13,628 |
| Retained deficit |
(1,935) |
(1,429) |
| Retained earnings |
11,797 |
12,202 |
| Total stockholders' equity |
11,797 |
12,202 |
| Total stockholders' equity |
$14,322 |
$14,796 |
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