SAN DIEGO, Jan. 8, 2004 (PRIMEZONE) -- Axesstel, Inc. (OTCBB:AXES), a leader in developing, manufacturing and marketing high-quality, CDMA-based fixed wireless local loop (WLL) terminals, hybrid phones, and engineering solutions to operators worldwide, today announced preliminary results for its fourth quarter and fiscal year ended December 31, 2003.
Based on current revenue projections, Axesstel management estimates that the Company will record approximately $2 million in revenues for the fourth quarter of fiscal 2003, with a quarterly net loss.
For the full fiscal year 2003, management expects to report revenues of approximately $11 million, an increase of 38% compared to $8 million in fiscal 2002, with a projected full-year net loss.
"We are pleased to achieve significant year-over-year revenue growth. However, we're disappointed with the bottom-line loss for the year, which primarily results from unforeseen delays and cancellation of product sales and development projects while maintaining our investment in engineering capabilities," commented Mike Kwon, Chairman of Axesstel, Inc.
Management reported that the Company is making investments to secure its future growth path by strengthening its management team and organizational structure. Strategic alliances and efforts to close additional equity funding are nearing completion and will be announced shortly.
The Company plans to announce fourth-quarter and fiscal year 2003 results in March in conjunction with its first investor conference call.
About Axesstel, Inc.
Axesstel, Inc. (OTCBB:AXES) is powering the next generation of wireless, fixed and hybrid mobile devices based on CDMA, CDMA2000, 802.11, and emerging 3G and 4G broadband IP technologies. The company is pursuing technology and applications that will enable the development and delivery of carrier-class subscriber based solutions, including fixed terminals, handsets and wireless payphones. To date, Axesstel's Qualcomm-licensed products can be found in more than 15 countries worldwide. The company is headquartered in San Diego, Calif. with a research and development center in Seoul, Korea. For more information, visit the company's Web site at www.axesstel.com.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: With the exception of historical information, the statements set forth above include forward-looking statements that involve risk and uncertainties. The Company wishes to caution readers that a number of important factors could cause actual results to differ materially from those in the forward-looking statements. Those factors include but are not limited to the risk factors noted in the Company's filings with the Securities & Exchange Commission, such as the rapidly changing nature of technology, evolving industry standards and frequent introductions of new products and enhancements by competitors; the competitive nature of the markets for Axesstel's products; Axesstel's ability to gain market acceptance for its products; the Company's ability to attract and retain skilled personnel; and the Company's reliance on third-party suppliers.