B.O.S. Announces Financial Results for Third Quarter of 2014
Growth of 8% in revenues. NON GAAP net profit of $104,000
RISHON LEZION, Israel, November 18, 2014 (GLOBE NEWSWIRE) - B.O.S. Better Online Solutions Ltd. (the "Company", "BOS") (Nasdaq: BOSC), a leading Israeli provider of RFID and supply chain solutions to global enterprises, today reported its financial results for the three months ended September 30, 2014.
• Revenues for the third quarter of 2014 grew by 8% as compared to the comparable quarter last year. Revenues for the first nine months of 2014 grew by 11%, as compared to the comparable period last year.
• Net profit for the third quarter of 2014 amounted to $7,000, as compared to a net profit of $219,000 in the comparable period last year. The decrease in net profit is attributed to bad debt expenses which amounted to $45,000 in the third quarter of 2014 as compared to an income associated with the reversal of bad debt expenses of $187,000 in the comparable quarter last year. Net loss for the first nine months of 2014 amounted to $61,000 as compared to a net loss of $43,000 in the comparable period last year.
• Net profit on a NON GAAP basis for the third quarter of 2014 amounted to $104,000, as compared to a net profit of $302,000 in the comparable period last year. Net profit for the first nine months of 2014 amounted to $235,000, as compared to a net profit of $241,000 in the comparable period last year.
Edouard Cukierman, Chairman of the Board, stated, "These results reflect a continuing improvement in the Company’s performance and financial position. We expect these positive trends to continue in the future."
Yuval Viner, BOS CEO, added "We are continuing our efforts to streamline our operations, improve our products and strengthen our financial position. We are confident that we will meet our challenges and expect to end 2014 with a net profit on a non-GAAP basis."
BOS will host a conference call on Thursday, November 20, 2014 at 10a.m. EST - 5:00 p.m., Israel Time. A question-and-answer session will follow management's presentation. Interested parties may participate in the conference call by dialing + 972-3-9180644, approximately five to ten minutes before the call start time
For those unable to listen to the live call, a replay of the call will be available from the day after the call on BOS's website, at: http://www.boscorporate.com
B.O.S. Better Online Solutions Ltd.
Mr. Eyal Cohen, CFO
B.O.S. Better Online Solutions Ltd. (BOSC) is a leading Israeli provider of RFID and Supply Chain solutions to enterprises. BOS' RFID and mobile division offers both turnkey integration services as well as stand-alone products, including best-of-breed RFID and AIDC hardware and communications equipment, BOS middleware and industry-specific software applications. The Company's supply chain division provides electronic components consolidation services to the aerospace, defense, medical and telecommunications industries as well as to enterprise customers worldwide. For more information, please visit: www.boscom.com
Use of Non-GAAP Financial Information
BOS reports financial results in accordance with U.S. GAAP and herein provides some non-GAAP measures. These non-GAAP measures are not in accordance with, nor are they a substitute for, GAAP measures. These non-GAAP measures are intended to supplement the Company’s presentation of its financial results that are prepared in accordance with GAAP. The Company uses the non-GAAP measures presented to evaluate and manage the Company’s operations internally. The Company is also providing this information to assist investors in performing additional financial analysis that is consistent with financial models developed by research analysts who follow the Company. The reconciliation set forth below is provided in accordance with Regulation G and reconciles the non-GAAP financial measures with the most directly comparable GAAP financial measures.
Safe Harbor Regarding Forward-Looking Statements
The forward-looking statements contained herein reflect management's current views with respect to future events and financial performance. These forward-looking statements are subject to certain risks and uncertainties that could cause the actual results to differ materially from those in the forward-looking statements, all of which are difficult to predict and many of which are beyond the control of BOS. These risk factors and uncertainties include, amongst others, the dependency of sales being generated from one or few major customers, the uncertainty of BOS being able to maintain current gross profit margins, inability to keep up or ahead of technology and to succeed in a highly competitive industry, inability to maintain marketing and distribution arrangements and to expand our overseas markets, uncertainty with respect to the prospects of legal claims against BOS, the effect of exchange rate fluctuations, general worldwide economic conditions and continued availability of financing for working capital purposes and to refinance outstanding indebtedness; and additional risks and uncertainties detailed in BOS's periodic reports and registration statements filed with the U.S. Securities Exchange Commission. BOS undertakes no obligation to publicly update or revise any such forward-looking statements to reflect any change in its expectations or in events, conditions or circumstances on which any such statements may be based, or that may affect the likelihood that actual results will differ from those set forth in the forward-looking statements.
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