USA Technologies Inc. announced Tuesday that revenues for the three months ended September 30, 1998 were $792,459, compared with revenues of $359,413 for the same period last year. The company also reported a net loss of $(670,481), or a net loss of ($0.03) per share, for the three months ended September 30, 1998, compared with a net loss of $(660,524), or a net loss of $(0.06) per share, for the same period last year.
“We are quite pleased to report another quarter with triple-digit revenue growth, as it is another indication that USA is on-track toward profitability,” said George R. Jensen, Jr., chairman and chief executive officer of USA Technologies. “In addition we are confident that the results of the current quarter will far surpass the numbers for our first quarter. We are currently expecting second-quarter revenues of approximately $1.8 million, which would equal the entire revenue intake for our 1998 fiscal year.”
Incorporating its patented TransAct technology, USA Technologies markets a variety of credit card-activated products to the hospitality industry. These products include MBE Business Express, a 24-hour, full service business center; Laptop Dataport Express, a functional workstation featuring 24-hour, laptop connectivity to a dataport, printer and public telephone; and, Public PC, a state-of-the-art IBM computer and printer. All products are serviced and maintained by IBM Global Services.
“Our substantial growth is driven by a strategic execution agreement with IBM Global Services to install and support our patented technology,” continued Jensen. “IBM Global Services provides a variety of critical services for our product line, including installation, financing of inventory, procurement, configuration of computer systems, equipment service and maintenance and operation of a customer support call center. This agreement has allowed USA to execute rapidly on a national level.”
USA Technologies is the developer and owner of TransAct, a proprietary technology that allows consumers to purchase items costing as little as one dollar, using their credit cards. These transactions were once cost- prohibitive, but USA’s TransAct technology is quickly making the “cashless revolution” a reality. TransAct’s patented technology is already in use nationwide in the form of MBE Business Express, a joint venture product with Mail Boxes Etc. Activated with a credit card utilizing TransAct, Business Express is a self-serve, automated business center, allowing the use of a computer, the internet, a photocopier, printer and fax machine 24- hours per day. In addition to Business Express, USA also markets the Public PC and Laptop Dataport Express.
USA Technologies is a leading owner and licensor of networked credit card- activated control systems for the personal computer, photocopier, facsimile and laptop printing capabilities. The company’s proprietary technologies make available unattended, point-of-sale control systems for credit card payments. Visit the USA Technologies message board at and USA’s web site at .
Condensed Statement of Operations
Three Months Ended
Total revenues $712,294 $310,311
Net loss (670,481) (660,524)
Loss per common share (0.03) (0.06)
Weighted avg. number of
common shares outstanding 40,229,122 27,287,669