April 24, 2009
For Further Information contact: Dean Danner, President
Boni Danner, VP Eng. & Treasurer
(262) 542-5600 * http://www.etcia.com
ETC ANNOUNCES FIRST QUARTER 2009 RESULTS
WAUKESHA, WISCONSIN, April 24, 2009 OTC – Pink Sheets
ELECTRONIC TELE-COMMUNICATIONS, INC. Symbol – ETCIA
Electronic Tele-Communications, Inc. (ETC) today reported its first quarter 2009 results. Sales for the quarter were $383,473 compared to $424,564 for the 2008 first quarter. The net loss was $126,045 or $0.05 per Class A common share, compared to a net loss of $66,515 or $0.03 per Class A common share for the first quarter of 2008.
Commenting on the results, ETC President Dean Danner said, “The national economic problems are having an effect on many market segments, including ETC’s market segment. As our customers have had to cope with revenue and budget issues, they have reduced services and delayed infrastructure projects. ETC’s first quarter is generally slow anyway, but this quarter we experienced a 10% decline in sales from last year as a result of the national recession. We continue to work with our existing customers and have made some progress in cultivating new customers which we hope will improve sales and earnings as the year progresses.”
Electronic Tele-Communications supplies voice announcers and Voice Application Platforms to domestic and foreign telephone utilities under the Audichron® and Digicept® brand names. ETC also supports a network of Time Weather and Temperature systems installed throughout the United States. ETC's equipment provides a wide range of audio information and call handling services via telephone networks, computer networks, and the Internet.
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 length and severity of the current worldwide recession and the timing and strength of a subsequent recovery, 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.
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Electronic Tele-Communications, Inc.
Statements of Operations:
(unaudited)
Three Months Ended
March 31
2009 2008
Net sales 383,473 424,564
Cost of products sold 251,317 280,006
Gross profit 132,156 144,558
Operating expenses:
General and administrative 82,167 15,668
Marketing and selling 94,829 102,406
Research and development 77,260 87,473
254,256 205,547
Earnings (loss) from operations (122,100) (60,989)
Other income (expense) (3,945) (5,526)
Earnings (loss) before
income taxes (126,045) (66,515)
Income taxes 0 0
Net earnings (loss) (126,045) (66,515)
Basic and diluted earnings (loss) per share:
Class A common (0.05) (0.03)
Class B common (0.05) (0.03)
Weighted average shares outstanding
for basic and diluted 2,509,147 2,509,147
Selected Balance Sheet Data:
Mar 31 Dec 31
2009 2008
Current assets 553,832 568,878
Total assets 606,341 759,167
Current liabilities 988,928 968,570
Total liabilities 1,058,588 1,044,563
Stockholders' equity (452,247) (285,396)
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