HUNTINGDON VALLEY, Pa., Nov. 10, 2008 (GLOBE NEWSWIRE) -- The Wireless Xcessories Group, Inc. (PinkSheets:WIRX), a nationwide manufacturer and distributor of electronic and cellular accessories and creator of private labeled websites for affiliates, announced third quarter 2008 results for the period ended September 30, 2008. The Company reported third quarter revenue of $6,718,000, compared to $5,021,000 for the same period in fiscal 2007 or a net increase of 33.8%.
Third Quarter Income from Operations:
The Company had 2008 third quarter net income from operations of $285,000 or $.07 per share, compared to operating income of $58,000 or $.01 per share in the same period in 2007.
Non Recurring Investment Losses:
The Company's net income was reduced to $50,000 or $.01 per share, compared to net income of $7,000 or $.00 per share in the same period of 2007. The comparative 2008 net income was principally affected by approximately $260,000 of additional unrealized losses on marketable securities.
For the nine months ended September 30, 2008, revenues were $19,189,000, compared to $17,174,000 in 2007, or a net increase of 11.7%.
9 Month Income from operations and net income:
The Company had 2008 nine months income from operations of $559,000 or $.13 per share, compared to $764,000 or $.17 per share in the same period in 2007.
Total net income was $119,000 or $.03 per share for the nine months ended September 30, 2008 compared to $469,000 or $.10 per share in the same period in 2007. In 2008, net income was affected by $512,000 of unrealized losses in marketable securities.
The Company had working capital of $7.0 million, at both December 31, 2007 and September 30, 2008 but improved its current ratio from 9 to 1 to 12 to 1 for the respective periods. The Company has no debt, and total equity was $7,516,000 as of September 30, 2008.
Year to date, the Company has made open market purchases of 179,773 shares of its stock at an average price of $.84 per share from a total of 400,000 shares authorized under stock re-purchase programs approved by the Board of Directors in December, 2007 and August, 2008.
Steve Rade, CEO, stated, "Our sales were up in the third quarter by 33.8% while our net income from operations increased by $227,000 from the same period in 2007. We are pleased with the continued progress in building our sales base as a result of an aggressive marketing campaign, and due to our expanded sales of lower margin Bluetooth and OEM products."