-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, O/WH/FnaqfUOy0Buy8k/AICzt/b9r/xTjY4Wk/41spMljBkIwiLfqJiMGsLgcz8f QL3ok4CRr30NuwHaYXlCjQ== 0000950134-98-006877.txt : 19980817 0000950134-98-006877.hdr.sgml : 19980817 ACCESSION NUMBER: 0000950134-98-006877 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19980630 FILED AS OF DATE: 19980814 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: USDATA CORP CENTRAL INDEX KEY: 0000943895 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-PREPACKAGED SOFTWARE [7372] IRS NUMBER: 752405152 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 000-25936 FILM NUMBER: 98686892 BUSINESS ADDRESS: STREET 1: 2435 NORTH CENTRAL EXPRESSWAY CITY: RICHARDSON STATE: TX ZIP: 75080 BUSINESS PHONE: 2146809700 10-Q 1 FORM 10-Q FOR QUARTER ENDED JUNE 30, 1998 1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ---------------------- FORM 10-Q [X] Quarterly Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934. For the quarterly period ended June 30, 1998 [ ] Transition Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934. For the transition period from to . -------- -------- Commission File Number 0-25936 USDATA Corporation (Exact name of registrant as specified in its charter) DELAWARE 75-2405152 - ------------------------------------------------------------------------------- (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 2435 N Central Expressway, Richardson, TX, 75080 - ------------------------------------------------------------------------------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (972) 680-9700 ------------------------------ Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding twelve months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such requirements for the past 90 days. Yes X No ------ ------ --------------------------------------------- Indicate the number of shares outstanding of each of the issuer's classes of common stock as of July 31, 1998: Class Number of Shares Outstanding Common Stock, Par Value $.01 Per Share 11,235,366 shares 2 USDATA CORPORATION FORM 10-Q QUARTER ENDED JUNE 30, 1998 TABLE OF CONTENTS
Page Number PART I. FINANCIAL INFORMATION Item 1. Financial Statements (Unaudited) Consolidated Balance Sheets at June 30, 1998 and December 31, 1997 3 Consolidated Statements of Operations for the Three and Six Months Ended June 30, 1998 and 1997 4 Consolidated Statements of Cash Flows for the Six Months Ended June 30, 1998 and 1997 5 Notes to Consolidated Financial Statements 6 Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 7 PART II. OTHER INFORMATION Item 4. Submission of Matters to a Vote of Security Holders 11 Item 6. Exhibits and Reports on Form 8-K 11 Signatures 12 Computation of Per Share Earnings 13
3 USDATA CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (AUDITED) JUNE 30, DECEMBER 31, (IN THOUSANDS, EXCEPT SHARE AND PER SHARE DATA) 1998 1997 ===================================================================================================== ASSETS Current assets: Cash and cash equivalents $ 3,897 $ 5,204 Accounts receivable, net of allowance for doubtful accounts of $1,372 and $1,158, respectively 5,373 4,573 Deferred income taxes 2,345 2,345 Other current assets 464 436 ----------------------------------------------------------------------------------------------------- Total current assets 12,079 12,558 ----------------------------------------------------------------------------------------------------- Property and equipment, net 3,359 2,416 Capitalized computer software development costs, net of accumulated amortization of $2,521 and $2,161, respectively 3,048 1,938 Other assets 147 90 Net assets of discontinued operations 685 2,252 ----------------------------------------------------------------------------------------------------- Total assets $ 19,318 $ 19,254 ----------------------------------------------------------------------------------------------------- LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 1,810 $ 952 Deferred revenue 1,318 1,257 Accrued compensation and benefits 793 955 Other accrued liabilities 2,734 1,488 ----------------------------------------------------------------------------------------------------- Total current liabilities 6,655 4,652 ----------------------------------------------------------------------------------------------------- Deferred income taxes 596 729 ----------------------------------------------------------------------------------------------------- Total liabilities 7,251 5,381 ----------------------------------------------------------------------------------------------------- Commitments and contingencies - - Stockholders' equity: Preferred stock, $.01 par value, 2,200,000 shares authorized; none issued or outstanding - - Common stock, $.01 par value, 22,000,000 shares authorized; 14,343,550 issued in 1998 and 1997 143 143 Additional paid-in capital 16,520 16,365 Retained earnings 6,401 8,919 Treasury stock at cost, 3,129,684 shares in 1998 and 3,321,894 shares in 1997 (10,997) (11,554) ----------------------------------------------------------------------------------------------------- Total stockholders' equity 12,067 13,873 ----------------------------------------------------------------------------------------------------- Total liabilities and stockholders' equity $ 19,318 $ 19,254 =====================================================================================================
3 4 USDATA CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, ========================= ====================== (IN THOUSANDS, EXCEPT SHARE AND PER SHARE DATA) 1998 1997 1998 1997 =================================================================================================================================== Net sales $ 5,806 $ 5,508 $ 11,446 $ 11,425 Cost of sales 353 503 721 1,036 - ----------------------------------------------------------------------------------------------------------------------------------- Gross profit 5,453 5,005 10,725 10,389 - ----------------------------------------------------------------------------------------------------------------------------------- Operating expenses: Selling 3,760 3,683 7,686 8,305 Product development 865 1,062 1,545 1,946 General and administration 1,203 1,419 2,371 2,665 - ----------------------------------------------------------------------------------------------------------------------------------- Total operating expenses 5,828 6,164 11,602 12,916 - ----------------------------------------------------------------------------------------------------------------------------------- Loss from operations (375) (1,159) (877) (2,527) Interest income 56 118 114 168 - ----------------------------------------------------------------------------------------------------------------------------------- Loss from continuing operations before income taxes (319) (1,041) (763) (2,359) Income tax (provision) benefit (34) 362 (36) 802 - ----------------------------------------------------------------------------------------------------------------------------------- Loss from continuing operations (353) (679) (799) (1,557) - ----------------------------------------------------------------------------------------------------------------------------------- Discontinued operations: Income (loss) from discontinued Systems Operations (net of income taxes of $39 and $60 in 1997) - 77 (219) 118 Estimated loss on disposal of discontinued System Operations, including provision for operating losses of $250 - - (1,500) - - ----------------------------------------------------------------------------------------------------------------------------------- Income (loss) from discontinued operations - 77 (1,719) 118 - ----------------------------------------------------------------------------------------------------------------------------------- - ----------------------------------------------------------------------------------------------------------------------------------- Net loss $ (353) $ (602) $ (2,518) $ (1,439) - ----------------------------------------------------------------------------------------------------------------------------------- Earnings per share (basic & dilutive): Loss from continuing operations $ (0.03) $ (0.06) $ (0.07) $ (0.14) Income (loss) from discontinued operations - 0.01 (0.16) 0.01 =================================================================================================================================== Net loss $ (0.03) $ (0.05) $ (0.23) $ (0.13) =================================================================================================================================== Weighted average shares outstanding: 11,211 11,380 11,156 11,233 ===================================================================================================================================
4 5
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) SIX MONTHS ENDED JUNE 30, (IN THOUSANDS) 1998 1997 ======================================================================================================== Cash flows from operating activities: -------------------------------------------------------------------------------------------------------- Net loss from continuing operations $ (799) $ (1,557) -------------------------------------------------------------------------------------------------------- Adjustments to reconcile net loss from continuing operations to net cash provided by (used in) continuing operations: Depreciation and amortization 894 690 Changes in assets and liabilities: Accounts receivable (800) 611 Income tax receivable - 1,050 Deferred income taxes (133) (1,149) Accounts payable and accrued liabilities 1,160 97 Deferred revenue 61 (455) -------------------------------------------------------------------------------------------------------- Other - net (83) 143 -------------------------------------------------------------------------------------------------------- Net cash provided by (used in) continuing operations 300 (570) -------------------------------------------------------------------------------------------------------- Cash flows from investing activities: Capital expenditures (298) (795) Purchase of MES software (400) - -------------------------------------------------------------------------------------------------------- Capitalized software development costs (1,469) (582) -------------------------------------------------------------------------------------------------------- Net cash used in investing activities (2,167) (1,377) -------------------------------------------------------------------------------------------------------- Cash flows from financing activities: -------------------------------------------------------------------------------------------------------- Proceeds from issuance of common shares 712 190 -------------------------------------------------------------------------------------------------------- Net cash provided by financing activities 712 190 -------------------------------------------------------------------------------------------------------- Cash flows from discontinued operations (152) 899 -------------------------------------------------------------------------------------------------------- Net increase (decrease) in cash and cash equivalents (1,307) (858) Cash and cash equivalents, beginning of period 5,204 6,398 -------------------------------------------------------------------------------------------------------- Cash and cash equivalents, end of period $ 3,897 $ 5,540 ========================================================================================================
5 6 USDATA CORPORATION AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) (1) BASIS OF PRESENTATION The accompanying unaudited interim consolidated financial statements were prepared in accordance with generally accepted accounting principles for interim financial statements. These financial statements do not include all disclosures associated with annual financial statements. Accordingly, these statements should be read in conjunction with the Company's consolidated financial statements and notes thereto contained in the Company's Form 10-K for the year ended December 31, 1997. In the opinion of management, all adjustments (which include only normal recurring adjustments) necessary to present fairly the financial position, results of operations and cash flows for all periods presented have been made. Interim results are not necessarily indicative of results expected for the full year. (2) RECENT ACCOUNTING PRONOUNCEMENTS Effective January 1, 1998, the Company adopted pronouncements issued by the Financial Accounting Standards Board ("FASB") relating to the presentation and disclosure of information related to comprehensive income (SFAS 130), segment data (SFAS 131) and pensions and other postretirement benefits (SFAS 132). The adoption of these provisions did not have a material effect on the Company's financial position or results of operations for the first six months of 1998 and the Company does not anticipate it will have a material impact in the future, but may change the presentation of certain of the Company's financial statements and related notes and data thereto. Also, effective January 1, 1998, the Company adopted a Statement of Position (SOP) on software revenue recognition (SOP 97-2) issued by the Accounting Standards Executive Committee of the American Institute of Certified Public Accountants that supersedes SOP 91-1. The adoption of SOP 97-2 did not have a material effect on the Company's financial position or results of operations for the first six months of 1998 and the Company does not anticipate it will have a material impact in the future. (3) SUBSEQUENT EVENTS Effective July 1, 1998 the Company entered into an agreement to sell its discontinued Auto ID hardware integration and servicing business. The Company currently estimates the loss on disposal and loss from operations until the date of disposal will approximate the $1.7 million or $.16 per share loss which was recognized during the first quarter 1998. 6 7 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS OVERVIEW USDATA Corporation (the "Company") is a global supplier of real-time manufacturing application software and development tools, and related consulting services. The Company's products and services help automate manufacturing and process control applications. Its real-time data management capabilities enable customers to reduce operating costs, shorten cycle times, improve product quality and increase productivity. Specifically, the Company produces automation software tools, marketed under the name FactoryLink(R), that enable an organization's information systems to supervise, monitor and control manufacturing and other automated processes and to interface with corporate information systems (the "Software Operations"). In early 1998, the Company disclosed its intention to dispose of its system integration and hardware servicing business (the "Systems Operations"). This business has historically been engaged in the sale of automatic identification (Auto ID) equipment, distributed management software and related integration services that allow remote, real-time data collection using a variety of automatic identification techniques. The System Operations' net sales are generated from sales of third-party automated data collection equipment, distributed management software and related repair, installation and integration services. As a result of this decision, the Company's revenues and operating expenses for the periods presented herein reflect only the Software Operations with the net results of the Systems Operations reported on its statements of operations under the caption Discontinued operations. The Company currently derives all of its net sales from the Software Operations. The Software Operations' net sales are generated substantially from licenses of the FactoryLink family of products and also from related integration services, training classes, technical support and service agreements. These support and services agreements are generally one year, renewable contracts entitling a customer to certain software upgrades and technical support. Support and service revenue represented 11%, and 10% of Software Operations' net sales during the three months ended June 30, 1998 and 1997, respectively. In February 1998, the Company began shipping FactoryLink ECS 6.5, which provides a number of enhancements and is year 2000 compliant. FactoryLink ECS 6.5 is the server platform for FactoryLink ECS WebClient, which allows users to view and control their production processes using a simple Web browser. FactoryLink ECS 6.5 supports OPC (Object Linking and Embedding for Process Control) to provide connectivity to data collection devices such as PLC's (Programmable Logic Controllers) and RTU's (Remote Terminal Units). FactoryLink ECS 6.5 also supports MicroSoft Windows Terminal Server. Effective January 12, 1998, the Company entered into an agreement to purchase a Manufacturing Execution Systems ("MES") software product, for $400,000 cash and 165,000 shares of the Company's common stock for $.01 per share. The common stock is expected to be issued in the second half of 1998 and will be restricted from sale. Restrictions on the sale of the stock will lapse upon the achievement of certain performance factors and time. The Company recorded $782,000 in accrued liabilities at June 30, 1998, which reflects the value of the stock to be issued based upon the closing price of the Company's common stock on January 12, 1998. The total purchase price of $1,182,000 is included in property and equipment at June 30, 1998. During the second quarter 1998, the Company and Microsoft jointly announced the Company's innovative new Manufacturing Execution System (MES) product, Xfactory(TM), which incorporates Microsoft's newest technologies and is built on Microsoft's DNA (Distributed interNet Applications) architecture. Xfactory enables manufacturing plants to more easily and quickly automate their production processes and is the first visual object modeling MES. Xfactory bridges the gap between the plant floor and ERP (Enterprise Resource Planning) systems. 7 8 RESULTS OF OPERATIONS The following table sets forth, for the periods indicated, selected statement of operations data as a percentage of net sales:
Three Months Ended Six Months Ended June 30, June 30, ===================== ===================== 1998 1997 1998 1997 ===================================================================================================================== Net sales 100.0% 100.0% 100.0% 100.0% Cost of sales 6.1% 9.1% 6.3% 9.1% - --------------------------------------------------------------------------------------------------------------------- Gross Profit 93.9% 90.9% 93.7% 90.9% - --------------------------------------------------------------------------------------------------------------------- Operating Expenses: Selling 64.8% 66.9% 67.2% 72.7% Product development 14.9% 19.3% 13.5% 17.0% General and administrative 20.7% 25.8% 20.7% 23.3% - --------------------------------------------------------------------------------------------------------------------- Total operating expenses 100.4% 111.9% 101.4% 113.1% - --------------------------------------------------------------------------------------------------------------------- Loss from operations (6.5)% (21.0)% (7.7)% (22.1)% Interest income 1.0% 2.1% 1.0% 1.5% - --------------------------------------------------------------------------------------------------------------------- Loss from continuing operations before income taxes (5.5)% (18.9)% (6.7)% (20.6)% Income tax (provision) benefit (0.6)% 6.6% (0.3)% 7.0% - --------------------------------------------------------------------------------------------------------------------- Loss from continuing operations (6.1)% (12.3)% (7.0)% (13.6)% - --------------------------------------------------------------------------------------------------------------------- Discontinued Operations: Income (loss) from discontinued Systems Operations 0.0% 1.4% (1.9)% 1.0% Estimated loss on disposal of discontinued System Operations 0.0% 0.0% (13.1)% 0.0% - --------------------------------------------------------------------------------------------------------------------- Income (loss) from discontinued operations 0.0% 1.4% (15.0)% 1.0% - --------------------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------------------------------------------------- Net Loss (6.1)% (10.9)% (22.0)% (12.6)% =====================================================================================================================
Comparison of Three Months Ended June 30, 1998 and 1997 Net sales for the quarter ended June 30, 1998 increased 5% compared to the same quarter in 1997 primarily due to higher product sales partially offset by lower consulting revenues. Cost of sales as a percentage of net sales decreased primarily due to the replacement of printed product documentation with CD based product documentation. Selling expenses as a percentage of net sales decreased compared to the second quarter of 1997 primarily due to higher revenue in 1998. Selling expenses in absolute dollars for the second quarter of 1998 increased 2% over the second quarter of 1997. The increase is primarily due to higher marketing and customer support expenses, partially offset by cost reductions due to organizational changes, as the Company transitions from a direct sales force to a channel based distribution model. Gross product development expenses, including capitalized software development costs of $896,000 and $58,000, in the quarter ended June 30, 1998 and 1997, respectively, increased 57%. This increase is a result of 8 9 development efforts related to the Company's next major version of FactoryLink ECS software. The Company expects to continue capitalizing these development costs throughout 1998. General and administrative expenses, for the second quarter of 1998, decreased 15%, when compared with the second quarter of 1997. The decrease is primarily related to a decrease in the quarterly provision for doubtful accounts, due to improvements in the overall quality of the Company's accounts receivable balance. The Company did not record an income tax benefit for the second quarter of 1998, as it would be based upon the future operating results of the Company. Income tax expense for 1998 is related to state income tax. During the second quarter of 1997, the Company recorded a deferred income tax benefit based on its ability to carryback losses to profitable periods. Comparison of Six Months Ended June 30, 1998 and 1997 Net sales for the six months ended June 30 1998 increased slightly compared to the same period in 1997. The increase is primarily a result of increased product sales offset by a decrease in consulting revenue. Cost of sales as a percentage of net sales decreased primarily due to the replacement of printed product documentation with CD based product documentation. Selling expenses for the six months ended June 30, 1998 decreased 11% compared to the same period in 1997. The decrease is primarily a result of cost reductions, due to organizational changes, as the Company transitions from a direct sales force to a channel based distribution model, This decrease was partially offset by higher marketing and customer support expenses. Gross product development expenses, including capitalized software development costs of $1,470,000 and $582,000, for the six months ended June 30, 1998 and 1997, respectively, increased 31%. The increase is a result of development efforts related to the Company's next major version of FactoryLink ECS software. The Company expects to continue capitalizing these development costs throughout 1998. General and administrative expenses, for the six months ended June 30, 1998, decreased 11%, when compared with the six months ended June 30, 1997, primarily due to a decrease in the provision for doubtful accounts, due to improvements in the overall quality of the Company's accounts receivable balance. The Company did not record an income tax benefit for the six months ended June 30, 1998, as it would be based upon the future operating results of the Company. Income tax expense for 1998 is related to state income tax. During the six months ended June 30, 1997, the company recorded a deferred income tax benefit based on its ability to carryback losses to profitable periods. LIQUIDITY AND CAPITAL RESOURCES The Company's operating activities provided $300,000 of cash during the six months ended June 30, 1998. During the six months ended June 30, 1998, the Company invested $298,000 in capital equipment, primarily computers, $400,000 for the purchase of an MES software product and capitalized $1,469,000 in software development costs. The Company also received $712,000 of proceeds related to the exercise of stock options during the six months ended June 30, 1998. Total cash usage for the first six months of 1998 was $1,307,000. The Company believes cash on hand and cash generated from operations will be sufficient to satisfy its operating cash needs into the future. The Company is in the process of establishing a new credit facility which could be used to fund operating and capital requirements should the business expand more rapidly than expected. In addition, the Company could consider seeking additional public or private debt or equity financing to fund future growth opportunities or acquisitions 9 10 FORWARD LOOKING STATEMENTS This report includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical fact included in this report, including without limitation, certain statements in this Item 2 under the captions "Results of Operations" and "Liquidity and Capital Resources" may constitute forward looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Important factors that could cause actual results to differ materially from the Company's expectations ("cautionary statements") are disclosed in the Company's Annual Report on Form 10-K for the year ended December 31, 1997. All subsequent written and oral forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. 10 11 PART II. OTHER INFORMATION ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS The Company held its Annual Meeting of Shareholders on June 1, 1998. At this meeting, the shareholders voted in favor of electing as directors the six nominees named in the Proxy Statement dated April 29, 1998. One nominee named in the Proxy Statement resigned from the Board of Directors for personal reasons prior to the Annual Meeting of Shareholders. The number of votes cast were as follows: I. ELECTION OF DIRECTORS
FOR WITHHELD --- -------- Arthur R. Spector 9,814,248 50,093 Gary J. Anderson, M.D. 9,815,748 48,593 James W. Dixon 9,835,860 28,481 Max D. Hopper 9,835,760 28,581 Jerry L. Johnson 9,816,676 47,665 Jack L. Messman 9,835,660 28,681 Robert A. Merry 9,827,758 36,583
ITEM 5. OTHER INFORMATION Stockholders intending to present proposals at the next Annual Meeting of Stockholders to be held in 1999 must notify the Company of the proposal no later than December 30, 1998, if they wish to include the proposal on the Company's proxy card and, along with any supporting statement, in the Company's proxy statement. As to any proposal presented by a stockholder at the Annual Meeting of Stockholders that has not been included in the Proxy Statement, the management proxies will be allowed to use their discretionary voting authority unless notice of such proposal is received by the Company no later than March 15, 1999. ITEM 6. EXHIBITS (a) Exhibits (filed as part of this report). Number Description 11.1 Computation of Per Share Earnings 27.1 Financial Data Schedule (Edgar Version Only) (b) Reports on Form 8-K No reports on Form 8-K have been filed by the Registrant during the quarter ended June 30, 1998 11 12 USDATA CORPORATION AND SUBSIDIARIES SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on behalf by the undersigned thereunto duly authorized. USDATA CORPORATION, INC. Date: August 14, 1998 /s/ Robert A. Merry ------------------------------------------------- Robert A. Merry President and Chief Executive Officer Date: August 14, 1998 /s/ Robert L. Drury ------------------------------------------------- Robert L. Drury Vice President Finance, Chief Financial Officer Treasurer and Secretary (Principal Financial and Accounting Officer) 12 13 INDEX TO EXHIBITS EXHIBIT NUMBER EXHIBIT - ------ ------- 11.1 Computation of Per Share Earnings 27.1 Financial Data Schedule EX-11.1 2 STATEMENT RE: COMPUTATION OF PER SHARE EARNINGS 1 USDATA CORPORATION AND SUBSIDIARIES EXHIBIT 11.1 - COMPUTATION OF PER SHARE EARNINGS
THREE MONTHS ENDED SIX MONTHS ENDED JUNE 30, JUNE 30, ====================== ====================== (IN THOUSANDS, EXPECT PER SHARE DATA) 1998 1997 1998 1997 ============================================================================= ====================== Net earnings (loss): Continuing operations $ (353) $ (679) $ (799) $ (1,557) Discontinued operations -- 77 (1,719) 118 ---------------------- ---------------------- Net loss $ (353) $ (602) $ (2,518) $ (1,439) ====================== ====================== Weighted average common shares outstanding 11,211 11,380 11,156 11,233 Common share equivalents -- -- -- -- ---------------------- ---------------------- Weighted average common shares and common share equivalents (if dilutive) outstanding 11,211 11,380 11,156 11,233 ====================== ====================== Net loss per common share (Basic & Dilutive) Continuing operations $ (0.03) $ (0.06) $ (0.07) $ (0.14) Discontinued operations -- 0.01 (0.16) 0.01 Net loss $ (0.03) $ (0.05) $ (0.23) $ (0.13) ====================== ======================
13 EX-27.1 3 FINANCIAL DATA SCHEDULE
5 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE COMPANY'S CONSOLIDATED FINANCIAL STATEMENTS FOR THE PERIOD JUNE 30, 1998 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 1,000 6-MOS DEC-31-1998 JAN-01-1998 JUN-30-1998 3,897 0 6,745 1,158 116 12,079 9,411 6,052 19,318 7,251 0 0 0 143 22,921 19,318 11,446 11,446 721 11,602 0 0 0 (763) 36 (799) (1,719) 0 0 (2,518) (0.23) (0.23)
-----END PRIVACY-ENHANCED MESSAGE-----