DataWave announces results for the quarter ended June 30, 2001.
Revenues improved slightly to US$2,581,368. Earnings before interest, taxes, depreciation and amortization (EBITDA) was $33,122, and net cash provided by operating activities was $US277,781. The Company had a loss of US$(80,704),” reports Josh Emanuel, President and CEO.
Revenues generated from the resale of prepaid long distance time in the U.S. for the three months ended June 30, 2001 were up 1.5 percent from the same quarter last year. Revenues from the sale of prepaid long distance phone cards through the DataWave Merchandisers (“DTMs”) increased 16% for the quarter compared to the same period last year. The number of DTMs installed and operated by the Company increased to more than 1,000 in June 2001 from 962 in June 2000. The Company now sells in more than 3,000 locations in the U.S. (inclusive of DTM locations).
“The Company continues to spend on research and development to move aggressively towards expansion into new markets and to develop new prepaid card products. A five-store test of the Company’s new prepaid payment card in conjunction with Coinstar and Michigan National Bank began in June. The Company also laid the groundwork to enter the Canadian prepaid phone market during the quarter by entering into an agreement to purchase AT&T Prepaid Card Company. This acquisition was closed on July 13, 2001 and should increase revenues considerably and favorably impact net income,” reports Josh Emanuel.
About DataWave ()
DataWave Systems designs, develops, produces, owns and manages a proprietary, intelligent, automated direct-merchandising network, comprised of free-standing intelligent machines (DTMs) and over the counter “swipe” units (OTCs) connected to the gateway and database software through a wireless and/or landline wide area network. This unique leading-edge technology provides for point-of-sale activation, cash/credit card acceptance, detailed reporting and 24/7 remote self-diagnostic troubleshooting, making it virtually maintenance-free. The Company has proven enabling technologies that have allowed it to enter new markets and generate additional revenue streams with innovative prepaid and financial services products. In addition to its successful prepaid calling card business, the company is testing the distribution of the Michigan National Bank Prepaid MasterCard together with Coinstar.
DataWave is now poised to capitalize on the flexibility of its System by augmenting its product range to meet the diversified and changing needs of the prepaid market and in further developing strategic partnerships.Details