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ETC Announces Third Quarter 2005 ResultsWaukesha, WI -- November 4, 2005 For Further Information contact: Dean Danner, President
Jeff Nigl, Chief Financial Officer
(262) 542-5600 * http://www.etcia.com
WAUKESHA, WISCONSIN, November 4, 2005 OTC – Pink Sheets ELECTRONIC TELE-COMMUNICATIONS, INC. Symbol - ETCIA Electronic Tele-Communications, Inc.
(ETC) today reported its third quarter 2005 results. Sales for the quarter
were $618,772 compared to $937,016 for the 2004 third quarter. The net
loss was $168,888 or $0.07 per Class A common share, compared to net
earnings of $28,518 or $0.01 per Class A common share for the third
quarter of 2004. From time to time, information provided by ETC, statements made by its employees, and information included in its press releases and other public statements which are not historical facts are forward-looking in nature and relate to trends and events that may affect our future financial position and operating results. Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties including, but not limited to: business conditions in the telecommunications industry, the Company’s ability to achieve adequate sales levels or sufficient cash flow or cash reserves to support operations, technology changes, backlog, status of the economy, government regulations, sources of supply, expense structure, product mix, major customers, competition, litigation, and other risk factors. Investors are encouraged to consider these risks and uncertainties. - MORE -
Electronic Tele-Communications, Inc.
Statements of Operations:
(unaudited) (unaudited)
Three Months Ended Nine Months Ended
September 30 September 30
2005 2004 2005 2004
Net sales 618,772 937,016 2,015,543 2,776,671
Cost of products sold 388,095 513,072 1,275,492 1,513,924
Gross profit 230,677 423,944 740,051 1,262,747
Operating expenses:
General and administrative 155,416 140,572 481,574 455,287
Marketing and selling 161,639 197,019 557,582 574,916
Research and development 81,611 56,483 236,538 271,387
398,666 394,074 1,275,694 1,301,590
Earnings (loss) from operations (167,989) 29,870 (535,643) (38,843)
Other income (expense) (899) (352) (899) (2,536)
Earnings (loss) before
income taxes (168,888) 29,518 (536,542) (41,379)
Income taxes 0 1,000 0 3,000
Net earnings (loss) (168,888) 28,518 (536,542) (44,379)
Basic and diluted earnings (loss) per share:
Class A common (0.07) 0.01 (0.21) (0.02)
Class B common (0.07) 0.01 (0.21) (0.02)
Weighted average shares outstanding
for basic and diluted 2,509,147 2,509,147 2,509,147 2,509,147
Selected Balance Sheet Data:
(unaudited)
Sep 30 Dec 31
2005 2004
Current assets 925,980 1,446,212
Total assets 1,986,011 2,567,991
Current liabilities 753,178 732,111
Total liabilities 864,020 909,458
Stockholders' equity 1,121,991 1,658,533
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