TORONTO, May 15, 2006 (PRIMEZONE) -- Wireless Age Communications, Inc. (OTCBB:WLSA), a leading supplier of solutions to the Canadian wireless communications industry, today reported its financial performance for the first quarter, ended March 31, 2006.
Consolidated revenues for the first quarter of fiscal 2006 were an all time record as a public company at $7,140,818 up from $7,041,390 during the fourth quarter of fiscal 2005 and $3,991,559 in first quarter of fiscal 2005. Retail business segment revenues were $2,740,269 down from $3,502,778 in the fourth quarter of fiscal 2005 and up from $2,018,586 during the first quarter of fiscal 2005. Commercial business segment revenues were $4,400,550 up from $3,538,612 during the previous quarter and from $1,972,973 during the first quarter of fiscal 2005. Net loss for the first quarter of fiscal 2006 was $106,838 compared to earnings of $107,344 a year ago.
Company CFO Gary Hokkanen stated, "As stated during our 2005 year end conference call, we expect to achieve overall profitability during 2006 but cannot assure shareholders that the Company will be profitable on a quarter over quarter basis. The first quarter is a case in point; our operating results were affected by various factors including significantly higher interest costs, which we are continuously attempting to improve upon and the fact that the first quarter is traditionally the slowest within our retail segment."
The company's President and CEO, Brad Poulos commented, "During the first quarter the Company focused on business development in the commercial segment, which we expect will lead to several contracts in the future. The Company in its continuing drive to reduce overheads has eliminated a number of staff positions resulting in a 15% decrease in payroll costs within the commercial segment. Future staff positions will be created primarily to respond to the demands of new projects."
Three Months Ended
March 31,
Summary financial information (unaudited): 2006 2005
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Sales including commissions and residuals $7,140,818 $3,991,559
Total gross profit 2,067,446 1,458,703
Selling and administrative expenses 1,993,472 1,242,158
Earnings from operations 73,974 206,545
Net income (loss) $(106,838) $107,344
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Basic earnings (loss) per share $(0.004) $0.004
Diluted earnings per share -- $0.004
Shareholders are urged to review the complete financial statements which are available on the website of the SEC at www.sec.gov.
For all Wireless Age investor relations needs, investors are asked to visit the Wireless Age IR Hub at http://www.agoracom.com/IR/WirelessAge where they can post questions and receive answers within the same day, or simply review questions and answers posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to WLSA@agoracom.com where they can also request addition to the investor e-mail list to receive all future press releases and updates in real time.
About Wireless Age Communications Inc.
Wireless Age's operations are segregated into two distinct segments, Retail and Commercial.
Retail:
Wireless Age retail outlets sell next generation wireless products and services to business and individual end users in Saskatchewan and Manitoba.
Commercial:
Within the Commercial segment, mmwave does specialty distribution and network engineering and integration, for carriers and manufacturers of communications equipment in Canada. Wireless Source distributes prepaid phone cards, wireless accessories, land mobile radios, batteries and ancillary electronics products to dealers throughout North America. Wireless Works operates broadband public access and private networks in Southern Ontario, and develops and deploys consumer and commercial products for those networks.
The company is a recognized leader in the wireless industry in Canada and is a member of the WiMax forum, as well as a very active member of the Canadian Wireless Telecommunications Association.
This press release contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on currently available competitive, financial and economic data and management's views and assumptions regarding future events. Such forward-looking statements are inherently uncertain. Wireless Age Communications, Inc. cannot provide assurances that the matters described in this press release will be successfully completed or that the company will realize the anticipated benefits of any transaction. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to: global economic and market conditions; the war on terrorism and the potential for war or other hostilities in other parts of the world; the availability of financing and lines of credit; successful integration of acquired or merged businesses; changes in interest rates; management's ability to forecast revenues and control expenses, especially on a quarterly basis; unexpected decline in revenues without a corresponding and timely slowdown in expense growth; the company's ability to retain key management and employees; intense competition and the company's ability to meet demand at competitive prices and to continue to introduce new products and new versions of existing products that keep pace with technological developments, satisfy increasingly sophisticated customer requirements and achieve market acceptance; relationships with significant suppliers and customers; as well as other risks and uncertainties, including but not limited to those detailed from time to time in Wireless Age Communications, Inc. SEC filings. Wireless Age Communications, Inc. undertakes no obligation to update information contained in this release. For further information regarding risks and uncertainties associated with Wireless Age Communications, Inc.'s business, please refer to the risks and uncertainties detailed from time to time in Wireless Age Communications, Inc.'s SEC filings.