Infinite Group, Inc. Reports Third Quarter Results
11 November 1999
Infinite Group, Inc. Reports Third Quarter Results
WARWICK, R.I.--Nov. 10, 1999--Infinite Group, Inc. today announced revenues for the quarter ended September 30, 1999 of $2,892,258 compared with revenues of $1,703,793 for the three months ended September 30, 1998. Additionally Infinite reported a net loss of $834,635 or $0.38 loss per share, as compared with a net loss of $392,711 or $0.15 loss per share for the quarter ended September 30, 1998.Revenues for the nine months ended September 30, 1999 were $6,813,998 compared with revenues of $5,468,916 during the nine months ended September 30, 1998. Infinite reported net income for the nine months ended September 30, 1999 of $748,086, or $0.34 per share, compared with a net loss of $1,204,935, or $0.45 loss per share, for the nine months ended September 30, 1998. The 1999 nine-month results reflect a net gain of approximately $3.6 million in the first quarter 1999 from the sale of our equity interest in Spectra Science and an extraordinary loss of $222,864 in the second quarter 1999 from early extinguishment of debt.
"The results for the three and nine months ending September 30, 1999 were adversely impacted by continued delayed receipt of materials, primarily from aerospace customers, and retooling of certain aerospace products that negatively impacted Laser Fare revenues," said Clifford G. Brockmyre, president of Infinite Group, Inc. "Additionally, costs associated with the acquisition of Osley & Whitney and startup of Express Pattern further impacted earnings," said Mr. Brockmyre.
Infinite continues to advance its proprietary technology in its key markets for laser materials processing (cutting, welding, drilling and engraving) and high productivity mold building for the aerospace, medical device, power generation, automotive, consumer sporting goods and office machine industries. News and product information are available at http://www.infinite-group.com, http://www.laserfare.com, http://www.mlpc.com and http://www.expresstool.com.
Selected Statement of Operations Data
Three Months Ended Nine Months Ended
September 30, September 30,
1999 1998 1999 1998
Revenues $2,892,258 $1,703,793 $6,813,998 $5,468,916
Loss from
continuing
operations ($834,635) ($392,711) ($3,199,365) ($767,560)
Disposed
business segment,
Loss from
operations -- ($437,375)
Gain on sale of
business segment
(less applicable
income taxes of
$825,000) 4,170,315
Income (loss)
before
extraordinary
item ($834,635) ($392,711) $970,950 ($1,204,935)
Extraordinary item ($222,964)
Net income (loss) ($834,635) ($392,711) $748,086 ($1,204,935)
Income (loss)
per share - basic:
Continuing
operations ($0.38) ($0.15) ($1.42) ($0.29)
Disposed business
segment
Loss from operations (0.17)
Gain on sale $1.86
Extraordinary item ($0.09)
Net income (loss)
per share ($0.38) ($0.15) $0.34 ($0.45)
Weighted-average
number of shares used
In computation of
per-share
net income 2,198,529 2,665,233 2,246,524 2,648,907
Selected Balance Sheet Data
September 30,
1999 1998
Cash $ 434,878 $ 1,010,736
Accounts Receivable 1,474,934 1,093,414
Inventory 544,886 193,412
Other Current Assets 461,706 1,136,075
Total Current Assets 2,916,404 3,433,637
Long-term Assets 9,045,702 5,082,005
TOTAL ASSETS $11,962,507 $ 8,515,642
Liabilities 9,026,245 5,165,768
Equity 2,936,262 3,349,874
TOTAL LIABILITIES & EQUITY $11,962,507 $ 8,515,642
This release contains "forward looking statements" based on current expectations but involving known and unknown risks and uncertainties. Actual results or achievements may be materially different from those expressed or implied. The Company's plans and objectives are based on assumptions involving judgements with respect to future economic, competitive and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond the control of the Company; therefore, there can be no assurance that the forward-looking statements will prove to be accurate.