HONG KONG, March 23, 2018 (GLOBE NEWSWIRE) -- Bonso Electronics International, Inc. (NASDAQ:BNSO) today announced its unaudited results for the six-month period ended September 30, 2017.
Bonso reported net income for the six-month period ended September 30, 2017 of $0.69 million, or $0.14 basic earnings per share, as compared to net income of $1.10 million, or $0.21 basic earnings per share, posted during the six-month period ended September 30, 2016. Net sales for the six-month period ended September 30, 2017 decreased 38.8% to $6.2 million from $10.2 million for the six-month period ended September 30, 2016. The decreased net income resulted from the decline in revenue and the corresponding decline in income from the operations for the six-month period ended September 30, 2017.
Mr. Anthony So, Chairman and CEO stated: “Although our revenue decreased as compared with the same period in the previous year, we are pleased that our operations remained profitable.”
Mr. So said further: "To cope with the decrease in demand for our products and the loss of significant customers, we will continue to invest in and develop new or upgraded products for our customers and target customers. Also, we will be advertising our services and products through different platforms and trade exhibitions, which we hope will result in additional sales revenue for the Company. In addition, the Company will build more production facilities to generate additional rental income by leasing those facilities to third parties.”
About Bonso Electronics
Bonso Electronics designs, develops, manufactures, assembles and markets a comprehensive line of electronic scales, weighing instruments, health care products and pet electronics products. Bonso products are manufactured in the People's Republic of China for customers primarily located in North America and Europe. Company services include product design and prototyping, production tooling, procurement of components, total quality management, and just-in-time delivery. Bonso also independently designs and develops electronic products for private label markets. For further information, visit the company's web site at http://www.bonso.com.
This news release includes forward looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended. Forward looking statements may be identified by such words or phrases as "should," "intends," "is subject to," "expects," "will," "continue," "anticipate," "estimated," "projected," "may," "I or we believe," "future prospects," “our strategy” or similar expressions. Forward-looking statements made in this press release, which relate to the reduction of losses and a positive impact upon our future operations as a result of the sale of assets involve known and unknown risks and uncertainties that may cause the actual results to differ materially from those expected and stated in this announcement. We undertake no obligation to update “forward-looking” statements.
For more information please contact:
Albert So
Chief Financial Officer and Secretary
Tel: 852 2605 5822
Fax: 852 2691 1724
| -- Tables to Follow – | |||
| Unaudited Consolidated Balance Sheets | |||
| (Expressed in United States Dollars) | |||
| March 31, | September 30, | ||
| 2017 | 2017 | ||
| $ in thousands | $ in thousands | ||
| (Audited) | (unaudited) | ||
| Assets | |||
| Current assets | |||
| Cash and cash equivalents | 3,745 | 7,044 | |
| Trade receivables, net | 1,167 | 973 | |
| Inventories | 1,018 | 200 | |
| Other receivables, deposits and prepayments | 1,646 | 1,006 | |
| Financial instruments at fair value | 167 | 0 | |
| Total current assets | 7,743 | 9,223 | |
| Investment in life settlement contracts | 144 | 146 | |
| Other intangible assets | 2,785 | 2,761 | |
| Property, plant and equipment, net | 10,294 | 10,252 | |
| Total assets | 20,966 | 22,382 | |
| Liabilities and stockholders’ equity | |||
| Current liabilities | |||
| Notes payable | 134 | 119 | |
| Accounts payable | 1,183 | 873 | |
| Accrued charges and deposits | 3,018 | 4,651 | |
| Income tax liabilities | 533 | 0 | |
| Short-term bank loans | 143 | 35 | |
| Payable to affiliated party | 54 | 0 | |
| Current portion of long-term debt and capital lease obligations | 44 | 46 | |
| Loan from affiliated party - current portion | 135 | 135 | |
| Total current liabilities | 5,244 | 5,859 | |
| Capital lease obligations, net of current portion | 60 | 34 | |
| Loan from affiliated party - non current portion | 67 | 0 | |
| Total liabilities | 5,371 | 5,893 | |
| Stockholders’ equity | |||
| Common stock par value $0.003 per share | |||
| - authorized shares - 23,333,334 | |||
| - issued shares: Mar 31, 2017 - 5,577,639; Sept 30, 2017 - 5,553,639 | 17 | 17 | |
| outstanding shares: Mar 31, 2017 – 5,009,120; Sept 30, 2017 - 4,903,686 | |||
| Additional paid-in capital | 22,566 | 22,508 | |
| Treasury stock at cost: Mar 31, 2017 - 568,519; Sept 30, 2017 - 649,953 | -1,929 | -2,120 | |
| Accumulated deficit | -6,033 | -5,345 | |
| Accumulated other comprehensive income | 974 | 1,429 | |
| 15,595 | 16,489 | ||
| Total liabilities and stockholders’ equity | 20,966 | 22,382 | |
| Unaudited Consolidated Statements of Operations and Comprehensive Loss | |||
| (Expressed in United States Dollars) | |||
| Six months ended September 30, 2016 | Six months ended September 30, 2017 | ||
| $ in thousands | $ in thousands | ||
| (unaudited) | (unaudited) | ||
| Net sales | 10,163 | 6,217 | |
| Cost of sales | -7,006 | -4,516 | |
| Gross profit | 3,157 | 1,701 | |
| Selling expenses | -151 | -125 | |
| Salaries and related costs | -1,179 | -752 | |
| Research and development expenses | -103 | -70 | |
| Administration and general expenses | -1,531 | -1,080 | |
| Other income | 821 | 1,141 | |
| Income from operations | 1,014 | 815 | |
| Interest income | 4 | 15 | |
| Interest expenses | -24 | -6 | |
| Foreign exchange gain / (loss) | 150 | -136 | |
| Income before income taxes | 1,144 | 688 | |
| Income tax expense | -46 | 0 | |
| Net income | 1,098 | 688 | |
| Other comprehensive loss, net of tax: | |||
| Foreign currency translation adjustments, net of tax | -676 | 455 | |
| Comprehensive income | 422 | 1,143 | |
| Earnings per share | |||
| Weighted average number of shares outstanding | 5,154,454 | 4,967,713 | |
| Diluted weighted average number of shares outstanding | 5,204,981 | 5,300,353 | |
| Earnings per common share ( in U.S. Dollars) | 0.21 | 0.14 | |
| Earnings per common share ( in U.S. Dollars) - assuming dilution | 0.21 | 0.13 | |