Exhibit 99.1

MIND CTI Reports Results for the Second Quarter of 2013

*AGM Resolutions Approved

Yoqneam, Israel, August 7, 2013 — MIND C.T.I. LTD. (NasdaqGM:MNDO), a leading provider of convergent end-to-end billing and customer care product based solutions for service providers as well as call accounting solutions, today announced results for its second quarter ended June 30, 2013.

The following will summarize our major achievements in the second quarter of 2013 as well as our business. Full financial results can be found in the Investors section of our website at www.mindcti.com/investor/PressReleases.asp and in our Form 6-K filed with the Securities and Exchange Commission.

Financial Highlights

· Revenues were $4.42 million, compared with $5.29 million in the second quarter of 2012 and with $4.44 million in the first quarter of 2013.

· Gross profit was $2.55 million, or 58% of revenue, compared with $2.51 million, or 47% of revenue, in the second quarter of 2012.

· Operating income was $454 thousand, or 10.3% of revenue, compared with $710 thousand, or 13.4% of revenue, in the second quarter of 2012.

· Net income was $402 thousand, or $0.02 per share, compared with $549 thousand, or $0.03 per share, in the second quarter of 2012.

· Cash flow from operating activities was $1.1 million.

· Two wins and some follow-on orders.

As of June 30, 2013 we had 355 employees in our four offices, compared with 336 as of June 30, 2012.

Monica Iancu, MIND's CEO, commented: "The second quarter soft revenue reflects the factors we emphasized repeatedly in the past and the delayed timing of wins that we expected to materialize in the first quarter. Increased expenses, partially due to detrimental exchange rates, had their impact on our lower than targeted margins. We are excited and encouraged with the new deals that we won this quarter as we competed with larger companies. The carriers’ feedback is that we provide a robust feature rich solution at a much better value than our competition. In addition, we received reconfirmation of customer satisfaction by being the platform of choice at an existing customer. We see this trend of unifying platforms as a general one and expect to benefit from it in the future.”

Cash Position

The cash position including available for sale securities was $17.5 million as of June 30, 2013, compared with approximately $21.1 million as of March 31, 2013.

The change in the cash position reflects the operating cash flow of $1.1 million in the second quarter of 2013, offset by the dividend distribution of approximately $4.53 million in April 2013.

Revenue Distribution for Q2 2013

Sales in the Americas represented 66.1%, sales in Europe represented 21.9%, sales in Israel represented 6.4% and the rest of the world represented 5.6% of total revenue.

Revenue from customer care and billing software totaled $3.25 million, while revenue from enterprise call accounting software totaled $1.17 thousand.

Revenue from licenses was $1.02 million, or 23% of total revenue, while revenue from maintenance and additional services was $3.40 million, or 77%.

Two New Wins and Follow-on Orders

One win this quarter is to deploy our prepaid wireless platform for a new customer. We expect to enhance this relationship with future orders by replacing existing platforms with our solutions until they reach the full convergence offered by us. The contract includes real time interfaces for Voice, SMS and Data. MIND’s unique promotions, alerting and Voice & Data rating capabilities will help this customer increase subscriber base. MIND will provide multiple avenues for top up through USSD, Web Selfcare, IVR, Vouchers, Point of Sale and through the call center which is expected to increase ARPU. MIND’s multiple prepaid business models will allow for the carrier to target additional prepaid market segments.

A significant additional win is with an existing customer who utilized MIND’s postpaid wireless solution. Our customer conducted a detailed search for a platform that unifies the multiple services and prepaid & postpaid business models. The carrier provides Cable, Wireless, Wireline & Broadband services. With this upgrade MIND will implement a fully convergent solution to support prepaid and postpaid for Wireline, Wireless, Broadband and Cable in one system. MIND’s cross product discounting capabilities and hybrid real time prepaid & postpaid capabilities within the same account will provide additional market segments enabling the carrier to target growth.

The follow-on orders include an upgrade to support LTE data throttling, some license increases and some additional onsite professional services.

AGM Update

The Company held its Annual General Meeting of Shareholders on June 24, 2013 and all the proposed resolutions were approved.

Future Active Pursuit of Acquisitions

Given our strong cash position and our experienced enhanced organization, we believe that we are well positioned and have the required resources to respond to potentially increasing market needs and at the same time we will focus on targeting potential acquisitions that could benefit the company growth similar to the strategic acquisition in 2005 that strengthened our presence in the US and in the mobile market. The active pursuit will focus on acquisition targets at reasonable valuations that satisfy the criteria we defined: proven revenue generation, complementary technology and geography and expected accretion to earnings within two to three quarters.

Monica added: "The new wins that we closed this quarter, one by mid quarter and one at the very end, are expected to have a positive impact on our results as they translate into revenues and we thrive to achieve higher operating margins through improved efficiencies. At the same time, in the short to medium term, the net income is expected to be significantly lower than in previous years."

About MIND

MIND CTI Ltd. is a leading provider of convergent end-to-end billing and customer care product based solutions for service providers as well as telecom expense management (call accounting) solutions. MIND provides a complete range of billing applications for any business model (license, managed service or complete outsourced billing service) for Wireless, Wireline, VoIP and Quad-play carriers in more than 40 countries around the world. A global company, with over thirteen years of experience in providing solutions to carriers and enterprises, MIND operates from offices in the United States, UK, Romania and Israel.

Cautionary Statement for Purposes of the "Safe Harbor" Provisions of the Private Securities Litigation Reform Act of 1995: All statements other than historical facts included in the foregoing press release regarding the Company's business strategy are "forward-looking statements." These statements are based on management's beliefs and assumptions and on information currently available to management. Forward-looking statements are not guarantees of future performance, and actual results may materially differ. The forward-looking statements involve risks, uncertainties, and assumptions, including the risks discussed in the Company's filings with the United States Securities Exchange Commission. The Company does not undertake to update any forward-looking information.

For more information please contact:

Andrea Dray

MIND CTI Ltd.

Tel: +972-4-993-6666

investor@mindcti.com 

MIND C.T.I. LTD.

CONDENSED CONSOLIDATED BALANCE SHEETS

	June 30,			December 31,
	2013			2012
	(Unaudited)			(Audited)
	U.S. $ in thousands
A  s  s  e  t  s
CURRENT ASSETS:
Cash and cash equivalents	$	13,678		$	13,310
Short term bank deposits		3,365			5,567
Accounts receivable:
Trade		839			850
Other		240			159
Prepaid expenses		208			95
Deferred cost of revenues		106			584
Deferred taxes		124			124
Inventories		13			13
Total current assets		18,573			20,702
INVESTMENTS AND OTHER NON CURRENT ASSETS:
Available for sale securities		492			504
Severance Pay Fund		1,521			1,399
Deferred taxes		15			15
PROPERTY AND EQUIPMENT, net of accumulated depreciation
and amortization		691			681
GOODWILL		5,430			5,430
Total assets	$	26,722		$	28,731
Liabilities and shareholders’ equity
CURRENT LIABILITIES :
Accounts payable and accruals:
Trade	$	533		$	113
Other		1,298			1,151
Deferred revenues		3,663			2,259
Total current liabilities		5,494			3,523
LONG TERM LIABILITIES :
Deferred revenues		376			487
Employee rights upon retirement		1,760			1,615
Total liabilities		7,630			5,625
SHAREHOLDERS’ EQUITY:
Share capital		54			54
Additional paid-in capital		30,171			30,138
Accumulated other comprehensive income		6			17
Differences from translation of foreign currency financial statements     of a subsidiary		(1,184	)		(1,043	)
Treasury shares		(2,287	)		(2,360	)
Accumulated deficit		(7,668	)		(3,700	)
Total shareholders’ equity		19,092			23,106
Total liabilities and shareholders’ equity	$	26,722		$	28,731

MIND C.T.I. LTD.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

	Six months				Three months						Year ended
	ended June 30				ended June 30						December 31,
	2013		2012		2013			2012			2012
	(Unaudited)										(Audited)
	U.S. $ in thousands
	(except per share data)
Revenues	$	8,860	$	10,546	$	4,417		$	5,285		$	20,209
Cost of revenues		4,126		4,781		1,869			2,779			7,852
Gross profit		4,734		5,765		2,548			2,506			12,357
Research and development expenses		2,483		2,326		1,293			1,128			4,643
Selling and marketing expenses		826		742		408			259			1,524
General and administrative expenses		831		851		393			409			1,818
Operating income		594		1,846		454			710			4,372
Financial income (expenses) - net		126		24		(7	)		(160	)		298
Income before taxes on income		720		1,870		447			550			4,670
Income tax expense		156		211		45			1			392
Net income for the period	$	564	$	1,659	$	402		$	549		$	4,278
Earning per ordinary share:
Basic and diluted	$	0.03	$	0.09	$	0.02		$	0.03		$	0.23
Weighted average number of ordinary shares used in computation of earnings per ordinary share -
in thousands:
Basic		18,852		18,756		18,885			18,772			18,767
Diluted		18,881		18,790		18,894			18,786			18,846

MIND C.T.I. LTD.

CONSOLIDATED STATEMENTS OF CASH FLOWS

	Six months						Three months						Year ended
	ended June 30						ended June 30						December 31,
	2013			2012			2013			2012			2012
	(Unaudited)												(Audited)
	U.S. $ in thousands
Cash flows from operating activities:
Net income	$	564		$	1,659		$	402		$	549		$	4,278
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		118			145			57			74			270
Financial loss (income) from available for sale securities		1			(3	)		1			1			(3	)
Deferred income taxes, net		-			-			-			-			138
Accrued severance pay		99			82			43			(3	)		147
Capital loss (gain) on sale of property and equipment - net		(6	)		(7	)		(8	)		1			14
Employees share-based compensation expenses		33			42			12			21			80
Realized loss on sale of available for sale securities		-			24			-			-			24
Changes in operating asset and liability items:
Decrease (increase) in accounts receivable:
Trade		11			429			423			1,419			913
Other		(78	)		(6	)		(50	)		(118	)		149
Decrease (increase) in prepaid expenses and deferred charges		365			502			44			712			456
Decrease in inventories		-			-			-			-			16
Increase (decrease) in accounts payable and accruals:
Trade		421			(195	)		345			(96	)		(639	)
Other		150			278			(155	)		(427	)		(65	)
Increase (decrease) in deferred revenues		1,311			226			(32	)		(532	)		(842	)
Net cash provided by operating activities		2,989			3,176			1,082			1,601			4,936
Cash flows from investing activities:
Purchase of property and equipment		(141	)		(100	)		(81	)		(15	)		(169	)
Sale of available for sale securities		-			444			-			-			444
Severance pay funds		(76	)		(44	)		(34	)		(9	)		(174	)
Investment in short term bank deposits		-			-			(1,127	)		-			(1,258	)
Proceeds from  short term bank deposits		2,099			1,957			-			874			-
Proceeds from sale of property and equipment		19			39			9			23			84
Net cash provided by (used in) investing activities		1,901			2,296			(1,233	)		873			(1,073	)
Cash flows from financing activities:
Employee stock options exercised and paid		73			32			-			4			41
Dividend paid		(4,532	)		(4,505	)		(4,532	)		(1,173	)		(4,505	)
Net cash used in financing activities		(4,459	)		(4,473	)		(4,532	)		(1,169	)		(4,464	)
Translation adjustments on cash and Cash equivalents		(63	)		19			13			(17	)		45
Increase (decrease) in cash and cash equivalents		368			1,018			(4,670	)		1,288			(556	)
Balance of cash and cash equivalents at beginning of period		13,310			13,866			18,348			13,596			13,866
Balance of cash and cash equivalents at end of  period	$	13,678		$	14,884		$	13,678		$	14,884		$	13,310