Ocean Harvest T Regulatory News (OHT)

15 May 2007 07:01

Orad Hi-Tec Systems15 May 2007 Orad Hi-Tec Systems Ltd. ('Orad' or the 'Company') Results for the first quarter of 2007 Orad Hi-Tec Systems Ltd. (Frankfurt - Prime Standard; London - AIM. Symbol:OHT), a leading developer, marketer and distributor of state-of-the-art, 3Dgraphical solutions for the broadcasting, advertising and visual simulationmarkets, today announces its results for the first quarter of 2007. • Continued profitability and positive cash flow • Revenues increased by 11% to US$4.7 million compared to US$4.3 million in Q1/06. • Cash, cash equivalents and restricted cash increased by US$1 million to US$10.6 million • Gross margin improved to 68% compared to 58% in Q1/06 • Net profit remained at US$0.1 million. • Significant improvement in the on-air graphics segment with another order worth over $1 million from a Belgian broadcaster, RTBF. "We are proud to present the results for the first quarter of 2007. The resultsfor this quarter continue to improve from 2006. Revenue and cash continues toincrease each quarter. During NAB we presented several new products, some ofthem are already installed and operational with customers. The adoption of thenew products will assist us to secure our growth strategy for 2007. Sales of ouron-air graphics products continue to increase, which translates immediately tohigher gross margins due to the higher share of software based revenue in eachcontract". For further information: Orad (www.orad.tv)Ehud Ben-Yair, CFO + 972 976 768 62 Shore Capital (London)Graham Shore + 44 20 7408 4090 Edicto Investor Relations + 49 608494859-1Dr. Sonke Knop, Frankfurt Germany Orad Hi-Tec Systems Ltd ('Orad' or the 'Company') Results for the first quarter of 2007 Financial and Operational highlights for the first quarter of 2007 compared tothe first quarter of 2006: Revenues, net profit and cash status: Traditionally Q1 revenues are lower than Q4. However, Revenues in Q1/07increased by 11% to US$4.7 million compared to US$4.3 million on Q1/2006 andcompared to US$4.6 million in Q4/06. Net profit remained the same at the level of US$0.1 million In the first quarter of 2007 cash, cash equivalents and restricted cashincreased to US$10.6 million. The table below reflects the trend in the last five quarters US$'000's Q1/06 Q2/06 Q3/06 Q4/06 Q1/07Revenue 4,276 4,640 4,196 4,607 4,743Net Profit 132 264 54 185 117Cash Status 8,279 9,487 8,940 9,662 10,629 Gross Margin Gross margin for the first quarter of 2007 improved significantly to 68%,compared to 58% in the first quarter of 2006, mainly as a result of differentsales mix and the increases in sales volume. Operational expenses: Operational expenses in Q1/07 increased to US$3.1 million compared to US$2.5million. This is mainly due to the increase in the sales and marketing effortsresulting from increasing territory coverage and the continued R&D effortdeployed to release new applications to the market. Q1/06 Q4/06 Q1/07Research and Development 650 660 776Sales and Marketing 1,510 1,840 1,904General and Administrative 325 362 491Total Operating expenses: 2,485 2,862 3,171 CONSOLIDATED BALANCE SHEETS U.S. dollars in thousands, except share and per share data December 31, March 31, 2006 2007 UnauditedASSETS CURRENT ASSETS: Cash and cash equivalents $ 9,091 $ 9,547 Restricted cash 571 1,082Trade receivables, net 2,422 1,987Other accounts receivable and prepaid expenses 837 959Inventories 2,696 2,717Work in process, net of advances from customers 444 154 Total current assets 16,061 16,446 SEVERANCE PAY FUND 1,017 1,057 PROPERTY AND EQUIPMENT, NET 1,530 1,456 Total assets $ 18,608 $ 18,959 LIABILITIES AND SHAREHOLDERS' EQUITY CURRENT LIABILITIES:Trade payables $ 1,354 $ 1,020Deferred revenues 1,841 1,922Other accounts payable and accrued expenses 4,691 5,086 Total current liabilities 7,886 8,028 ACCRUED SEVERANCE PAY 1,503 1,572 SHAREHOLDERS' EQUITY:Share Capital 28 28Additional paid-in capital 75,357 75,380Foreign currency translation adjustments (547) (547)Accumulated deficit (65,619) (65,502) Total shareholders' equity 9,219 9,359 Total liabilities and shareholders' equity $ 18,608 $ 18,959 CONSOLIDATED STATEMENTS OF OPERATIONSU.S. $'000's, except share and per share data Year ended Three months ended December 31, March 31, 2006 2006 2007 UnauditedRevenues:Sales $ 17,719 $ 4,276 $ 4,743 Cost of sales 6,901 1,783 1,522 Gross profit 10,818 2,493 3,221 Operating expenses:Research and development, net 2,507 650 776Sales and marketing 6,631 1,510 1,904General and administrative 1,506 325 491 Total operating expenses 10,644 2,485 3,171 Operating income 174 8 50Financial income, net 467 131 70Other expenses, net 5 7 3 Net income $ 636 $ 132 $ 117 Basic net earnings per share $ 0.06 $ 0.01 $ 0.01 Weighted average number of shares used in computing basic net earnings per share (in thousands) 10,791 10,791 10,802 Diluted net earnings per share $ 0.06 $ 0.01 $ 0.01 Weighted average number of shares used in computing diluted net earnings per share (in thousands) 10,823 10,813 10,971 STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY U.S. $'000's, except share data Number of Share Additional Foreign Accumulated Total outstanding paid-in currency deficit ordinary capital capital translation shares adjustments Balance as of January 1, 2006 10,790,621 $ 28 $ 75,281 $ (547) $ (66,255) $ 8,507 Comprehensive income:Net income - - - - 636 636Issuance of shares upon exercise of 10,000 *) - 9 - - 9 employee share optionsShare based compensation - - 67 - - 67 Balance as of December 31, 2006 10,800,621 28 75,357 (547) (65,619) 9,219 Comprehensive income:Net income - - - - 117 117Issuance of shares upon exercise of 1,500 *) - 3 - - 3employee share optionsShare-based compensation - - 20 - - 20 Balance as of March 31, 2007 10,802,121 28 75,380 (547) (65,502) 9,359(unaudited) Balance as of January 1, 2006 10,790,621 $ 28 $ 75,281 $ (547) $ (66,255) $ 8,507 Comprehensive income:Net income - - - - 132 132Share-based compensation - - 7 - - 7 Balance as of March 31, 2006 10,790,621 $ 28 $ 75,288 $ (547) $ (66,123) $ 8,646(unaudited) *) Represents an amount lower than US$1. CONSOLIDATED STATEMENTS OF CASH FLOWSU.S. $'000's Year ended Three months ended December 31, March 31, 2006 2006 2007 UnauditedCash flows from operating activities: Net income $ 636 $ 132 $ 117Adjustments to reconcile net income to net cash provided by operating activities:Depreciation 569 140 142Share-based compensation 67 7 20Decrease in trade receivables, net and other accounts 1,214 1,095 313receivable and prepaid expensesDecrease (increase) in inventories 29 45 (21)Decrease (increase) in work in process, net of advances from 22 (8) 290customersIncrease (decrease) in trade payables, other accounts payable 731 (671) 90and accrued expenses and accrued severance pay, netIncrease in deferred revenues 640 1,679 81Other 5 7 3 Net cash provided by in operating activities 3,913 2,426 1,035 Cash flows from investing activities: Purchase of property and equipment (146) (16) (80)Proceeds from sale of property and equipment 48 31 9Decrease (increase) in restricted cash (71) 250 (511) Net cash provided by (used) investing activities (169) 265 (582) Cash flows from financing activities: Issuance of shares upon exercise of employees share options 9 - 3 Net cash provided by financing activities 9 - 3 Increase in cash and cash equivalents 3,753 2,691 456Cash and cash equivalents at the beginning of the period 5,338 5,338 9,091 Cash and cash equivalents at the end of the period $ 9,091 $ 8,029 $ 9,547 a. The Company's shares and options held by members of the Board of Directors and officers of the Company: Number of Number of Ordinary share shares options *) Avi Sharir 2,143,238 184,932 Moshe Nissim - 35,000 Ehud Ben-Yair - 45,000 Orna Nehustan - 30,000 Dan Falk - 20,000 Shimon Ravid - 10,000 Uzi Peled - 10,000 Daniel Furman 753,300 10,000 Anat Segal - 20,000 *) Each share option is convertible into one Ordinary share. b. As of March 31, 2007, the Company employs 131 employees. - - - - - - - - - - - - - - - - - This information is provided by RNS The company news service from the London Stock Exchange