Image Sensing Systems Announces Fiscal Year 2001 Unaudited Earnings
Contacts:
Jeffrey F. Martin, Chief Financial Officer
Image Sensing Systems, Inc., Phone: 651.603.7700
Michael Murphy
Fitzgerald Advertising and Public Relations, Inc., Phone: 407.251.1020.
SAINT PAUL, Minn., February 11, 2002 - Image Sensing Systems, Inc. (NASDAQ/Small Cap: ISNS), a leading maker of video-based traffic management systems, announced today unaudited financial results for its fourth quarter and year ended December 31, 2001.
Revenues for the fourth quarter of 2001 increased 8 percent to $2,071,000 compared with $1,913,000 for the same period a year ago. Revenues for fiscal year 2001 were $6,683,000, an increased 14% from $6,036,000 in fiscal year 2000. The increase in revenue income for the fourth quarter and fiscal year 2001 was due primarily to increased royalties from our North American partner, Econolite Control Products.
EBITDA for the fourth quarter and twelve months ending December 31, 2001 was income of $328,000 or $.10 per share and income of $371,000 or $.12 per share respectively. Net income for the fourth quarter was $252,000 or $.08 per share, versus a net loss of $43,000 or $.01 per share, for the comparable period in 2000. Net loss for 2001 was $87,000, or $.03 per share, versus net loss of $50,000, or $.02 per share, in 2000.
Bill Russell, Chairman and CEO, commented, "We are delighted with the fourth quarter performance and the positive trend upward given the worldwide economic issues that have slowed growth and delayed expected orders into 2002. The cost reductions effort that began midyear and that are continuing have proven to be effective. Our investment in Asia with Flow Traffic Ltd. is proving to be the correct strategy for both the near and long term and we have taken the initiative to acquire all of the minority shares of Flow Traffic Ltd. Additionally, we have strengthened Europe by placing a full-time manager on the continent.
We were disappointed in 2001 by the delay of expected shipments of wireless technology products to the Middle East, but are confident that the situation will reverse in 2002. On the domestic front, our partner, Econolite, had significant growth as compared to 2000 with the Autoscope product line and has proven that Autoscope Solo Pro was the correct technology strategy for the future.
Going forward we believe that our two year business development initiative in the International markets combined with new technology will yield excellent return on both the top and bottom lines. Our one year effort to develop wireless communication business is now beginning to bear fruit and we will continue to pursue new opportunities with Autoscope, especially where the Solo Pro technology provides immediate solutions to many security related applications that have recently been identified. I believe that the expanded products and markets strategy combined with new product development undertaken two years ago is proving to have been the correct direction to ensure a good future for ISS."
Based in Saint Paul, Minnesota, Image Sensing Systems, Inc. is the world leader in products applying video imaging technology for implementation in advanced traffic management systems (ATMS), freeway incident detection and traffic data collection to help reduce traffic congestion and improve roadway planning. The company also offers a suite of products that provide wireless transmission of video, data and audio in a variety of markets. The Company's cornerstone Autoscope products provide traffic managers the means to reduce roadway congestion, improve roadway planning and increase cost efficiencies. Econolite Control Products, Inc., based in Anaheim, California, has been the exclusive distributor of Autoscope products throughout North America since 1991. Image Sensing Systems, Inc. and Econolite Control Products, Inc. are particularly suited to provide technical solutions to the emerging intelligent transportation systems and security markets worldwide.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This report contains "forward-looking statements" made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. There are certain factors that could cause results to differ materially from those anticipated by some of the statements made, as listed in the Company's 2001 Annual Form 10-KSB.
|
Three Month Period Ended December 31 (Dollars in thousands except per share amounts): |
|||
2001 |
2000 |
||
| Revenue | $2,071 |
$1,913 |
|
| Operating Income | 222 |
5 |
|
| Net Income | 252 |
(43) |
|
| Net Income per share | ||||
| Basic | $0.08 |
($0.01) |
||
| Diluted | $0.08 |
($0.01) |
||
|
Year Ended December 31 (Dollars in thousands except per share amounts): |
|||
2001 |
2000 |
||
| Revenue | $6,683 |
$6,036 |
|
| Operating Income | (228) |
(203) |
|
| Net Income | (87) |
(50) |
|
| Net Income per share | ||||
| Basic | ($0.03) |
($0.02) |
||
| Diluted | ($0.03) |
($0.02) |
||
| Weighted average shares outstanding | ||||
| Basic | 3,153,000 |
3,143,000 |
||
| Diluted | 3,153,000 |
3,143,000 |
||
Statements regarding the Company's anticipated performance for 2002 are forward-looking and therefore involve risk and uncertainties, including but not limited to: the ability and willingness of governmental agencies responsible for roadway planning to invest in Autoscope machine vision technology for advanced traffic management, the impact of new products introduced by competitors, higher than expected expenses to establish a worldwide marketing presence and the ability of the Company's North American manufacturing and distribution partner, Econolite Control Products, Inc., to adequately manufacture and effectively market the Autoscope system and to pay royalties owed the Company for sales of the Autoscope system or Wireless Technology, Inc., to adequately manufacture product to meet sales demand.
