EX-2 3 ex2.htm THIRD QUARTER FINANCIAL DATA Third Quarter Financial Data
 
Exhibit 2
 
ADB Systems International Ltd.
Consolidated Statements of Operations
(expressed in thousands of dollars, except per share amounts)
(Canadian GAAP, Unaudited)
           
   
Three Months Ended
  
Nine Months Ended
  
   
September 30
  
September 30
  
   
2005
  
2005
  
2004
  
2005
  
2005
  
2004
  
   
($C)
  
($US)
  
($C)
  
($C)
  
($US)
  
($C)
  
           
   
translated
into US$ at
Cdn$ 1.1607
for
convenience
  
translated
into US$ at
Cdn$ 1.1607
for
convenience
  
           
Revenue
  
$
1,119
  
$
964
  
$
886
  
$
3,946
  
$
3,400
  
$
3,401
  
Operating expenses
                                      
    General and administrative
    
862
    
743
    
1,061
    
3,046
    
2,624
    
3,345
  
    Customer service and technology
    
718
    
619
    
678
    
2,622
    
2,259
    
2,377
  
    Sales and marketing costs
    
122
    
105
    
149
    
385
    
332
    
600
  
    Employee stock options
    
22
    
19
    
-
    
68
    
59
    
39
  
    Depreciation and amortization
    
32
    
28
    
374
    
97
    
84
    
1,096
  
    Losses (gains) on disposal of capital assets
    
-
    
-
    
-
    
(2
)
  
(2
)
  
1
  
    Other income
    
-
    
-
    
-
    
(42
)
  
(36
)
  
-
  
        Total operating expenses
    
1,756
    
1,514
    
2,262
    
6,174
    
5,320
    
7,458
  
Loss from operations
    
(637
)
  
(550
)
  
(1,376
)
  
(2,228
)
  
(1,920
)
  
(4,057
)
Interest expense
                                      
    Cash interest expense
    
73
    
63
    
52
    
214
    
184
    
105
  
    Accretion of secured subordinated notes
    
91
    
78
    
93
    
277
    
239
    
172
  
Interest income
    
(1
)
  
(1
)
  
-
    
(4
)
  
(3
)
  
(3
)
     
163
    
140
    
145
    
487
    
420
    
274
  
Net Income/(Loss)
  
$
(800
)
$
(690
)
$
(1,521
)
$
(2,715
)
$
(2,340
)
$
(4,331
)
Basic earnings/(loss) per share
  
$
(0.01
)
$
(0.01
)
$
(0.02
)
$
(0.04
)
$
(0.03
)
$
(0.07
)
Weighted average common shares
    
73,895
    
73,895
    
61,996
    
72,494
    
72,494
    
61,105
  




ADB Systems International Ltd.
Consolidated Balance Sheets
(expressed in thousands of dollars)
(Canadian GAAP, Unaudited)
               
   
September 30
  
September 30
  
December 31
  
   
2005
  
2005
  
2004
  
   
(unaudited)
  
(unaudited)
  
(audited)
  
   
(in $C)
  
(in $US)
  
(in $C)
  
               
       
translated
      
       
into $US at
      
       
Cdn$ 1.1607
      
       
for
      
       
convenience
      
               
Cash
  
$
431
  
$
371
  
$
440
  
Marketable securities
    
13
    
11
    
13
  
Other current assets
    
1,362
    
1,174
    
1,743
  
Other assets
    
296
    
255
    
297
  
Total assets
  
$
2,102
  
$
1,811
  
$
2,493
  
Accounts payable and accrued liabilities
  
$
1,502
  
$
1,294
  
$
1,680
  
Due to related parties
    
139
    
120
    
-
  
Deferred revenue
    
442
    
381
    
135
  
Current portion of secured subordintated notes
    
330
    
284
    
-
  
Non-current portion of secured subordintated notes
    
1,685
    
1,452
    
1,684
  
Minority interest
    
3
    
3
    
3
  
Total shareholders' deficiency
    
(1,999
)
  
(1,723
)
  
(1,009
)
Total liabilities and shareholders' equity (deficiency)
  
$
2,102
  
$
1,811
  
$
2,493