Xenonics Reports First Quarter Results
|Xenonics Holdings, Inc. Press Release||FlashlightNews.org - 2/13/2008|
Company reports 1st Quarter net income of $312,000 as revenue increased to $3.56 million
NightHunter® Product Family from Xenonics
CARLSBAD, Ca. - XENONICS HOLDINGS, INC. (AMEX: XNN), a leader in high-intensity illumination and high-definition night vision technologies, announced today that net income for the first quarter of fiscal 2008 ended December 31, 2007 increased to $312,000, or $0.02 per basic share and $0.01 per diluted share, compared to a net loss for the first quarter of fiscal 2007 of $406,000, or $0.02 per basic and diluted share. Revenue increased to $3,561,000 for this year's first quarter compared to $916,000 for the same period last year.
"We are pleased with our first quarter performance, which was driven primarily by shipments of our NightHunter devices to a variety of customers in the defense industry," said CEO Chuck Hunter.
"Our program to build awareness and stimulate demand for our SuperVision high-definition night vision device in police and public safety markets also has gained traction. Formal evaluations of SuperVision are underway by a number of potentially important customers.
Feedback regarding SuperVision's performance and affordability has been uniformly positive and enthusiastic, confirming our view that our device offers a value proposition that is unmatched by any other night vision system available today.
"SuperVision generated intense activity at our booth at the recent SHOT Show in Las Vegas, the largest and most comprehensive trade show for all professionals involved with the shooting sports and hunting industries as well as military and law enforcement. We unveiled three new SuperVision products at the show -- SuperVision IR Illuminator, SuperVision Tactical Package, and SuperVision Long Range Surveillance Package. We are optimistic that our growing SuperVision product family will contribute significantly to our sales in fiscal 2008," Hunter said.
"We also have expanded our NightHunter product line with the addition of the NightHunter 3 and the NightHunter Tactical Illumination Snyper. The NightHunter 3 recently went into testing with the U.S. Army as part of formal evaluation of the Crew Serve Weapons Light (CSWL) program. The Snyper Modular Weapons Light (MWL) also went into testing as part of the U.S. Army's Weapons Mountable Light program. These systems have already captured the interest of several other customers both domestically and internationally," Hunter added.
"As we have stated previously, acquisitions are an integral part of our long-term growth strategy, and we are actively evaluating several acquisition opportunities with the potential to increase shareholder value. We recently engaged Bryant Park Capital, Inc., a New York-based investment bank, to support our acquisition program. With its many years of successful strategic advisory and M&A experience, Bryant Park Capital provides us with the professional resources we need to move this program forward successfully," Hunter concluded.
Gross profit for this year's first quarter was 49% of revenue. This is not directly comparable to gross profit of 78% of revenue for the first quarter of fiscal 2007, which was positively affected by sales of NightHunter II devices from what was previously identified as excess inventory. All excess NightHunter II inventory had been shipped to customers as of June 30, 2007. At December 31, 2007, Xenonics reported working capital of $4,939,000 and a current ratio of 5.7-to-1. This compares to working capital of $4,527,000 and a current ratio of 4.9-to-1 at September 30, 2007. Reflecting the increase in sales, accounts receivable increased to $3,326,000 for this year's first quarter from $305,000 at September 30, 2007, the majority of which have now been collected, and inventories decreased to $1,924,000 from $2,635,000. Xenonics has no debt.
Xenonics Holdings, Inc. (AMEX:XNN) develops and produces advanced, lightweight and compact ultra-high-intensity illumination and low-light vision products for military, law enforcement, public safety, and commercial and private sector applications. Xenonics' NightHunter line of illumination products is used by every branch of the U.S. Armed Forces as well as law enforcement and security agencies. Its SuperVision high-definition night vision is designed for commercial and military applications. Employing patented technologies, Xenonics provides innovative solutions for customers who must see farther so they can do their jobs better and safer. Xenonics' products represent the next generation in small, high intensity, high efficiency illumination and low-light vision systems.
Visit Xenonics on the web at www.xenonics.com.