BURNABY, BC, Aug. 9 /CNW/ - Icron Technologies Corporation (TSX Venture:
IT), the developers of ExtremeUSB, today released financial results for the
second quarter ending June 30, 2007.
- Posted record Q2 2007 revenues of $2,179,357, representing a 45.8%
increase over Q2 2006;
- 2007 year-to-date revenues at record $4,218,233, representing a 45.5%
increase over the same six-month period in 2006;
- Recorded our third consecutive profit of $6,340 in Q2 2007 as
compared to a loss of $39,747 in the same period of 2006;
- Started shipments of WiRanger Cable Free USB 2.0 Hub;
- Gefen announces version of Cable Free USB based on Icron design;
- Showcased the world's first USB 2.0 over Power Line solution using
HD-PLC Technology from Panasonic at the Panasonic booth at Computex
- Appointed Julian Elliott to the Board of Directors;
- The Corporation was named on to the PROFIT 100 list, which ranks
Canada's Fastest-Growing Companies by five-year revenue growth.
"We are very pleased with the second quarter results, as even with the
6.5% devaluation of the US dollar during the quarter, which negatively
impacted our top line revenue, we experienced excellent revenue and volume
growth while maintaining profitability," commented Robert Eisses, President &
CEO. "The continued strong growth of wired solutions in our core markets of
industrial, medical and enterprise solutions accounted for bulk of this
growth. Additionally while initial shipments of the WiRanger's toward the end
of the quarter made up a small amount of the growth, we expect more
substantial volumes for wireless coming in Q3 and growing through Q4 as more
partners like Gefen continue to pick up the product."
Other activities of note in the quarter involved the demonstration of a
PC to TV Home connectivity solution with a Chinese partner at the Hong Kong
Electronics Fair in April, which is our first real entry into the home
connectivity space and is potentially a very large market for Icron's
technology. Icron was also invited by Panasonic to participate at Computex to
show a prototyped USB over power line solution using Panasonic's HD-PLC, which
is also an exciting market opportunity as this technology matures to higher
data rates and lower costs of implementation. Both these initiatives are
focused on our USB beyond the desktop concept for simplified home connectivity
solutions for the consumer markets.
As outlined in the previous quarter, the company has increased R&D
expenditures as it continues its focus on its cost reduction program by
evolving the ExtremeUSB platform to a more extensible IP Core for its own ASIC
and for other implementations. The company expects to maintain this level of
R&D spending for the remainder of the year and anticipates seeing the real
benefit from this investment starting in 2008.
Revenue amounted to $2,179,357 for the three months ended June 30, 2007,
compared to $1,494,896 in the same period of 2006, an increase of 45.8%. It
should be highlighted that the increase in the value of the Canadian dollar
had a significant impact in the Company's revenue. Using the average exchange
rates from the first quarter of 2007 revenue for the quarter would have been
in excess of $2,300,000. USB 1.1 sales were strong during the quarter as they
increased 43.4%, to $1,453,298 from the $1,013,724 recorded in the second
quarter of 2006. This increase can be attributed to strong sales of the
Company's Rover and Core product lines, which increased 103.5% and 64.7%
respectively. Sales of USB 2.0 products increased by 83.7% to $557,615 from
the $303,548 reported in the same period of the prior year, due to the strong
growth of four port and Fiber based USB 2.0 extenders, which increased by
391.4% and 98.8% respectively.
Sales of the Company's new wireless WiRanger product totaled $70,297.
Initial production delays at our overseas manufactures postponed shipments
until the later part of the quarter. While the shipped volume was lower than
expected for Q2, we see good order flow and demand for such a new product and
have subsequently increased shipments already in Q3.
Gross margin amounted to $992,211 in the second quarter of 2007, compared
to $707,779 in the same period of 2006. Our gross margin percentage decreased
to 45.5% for the three months ended June 30, 2007, compared to 47.3% of
revenue in the same period of 2006. The decrease in overall margins is mainly
attributable to an increase in sales of Rover based products, which are also
currently being cost-reduced to provide better margins. The benefits of these
Rover cost reductions will start to be seen in the third quarter.
Our net earnings amounted to $6,340 or $0.00 per share, in the three
months ended June 30, 2007, compared to a net loss of $39,747, or $0.00, in
the same period of 2006.
For complete financials please visit www.sedar.com. or www.icron.com.
Conference Call / Web-cast: Thursday August 9th, 2007, 4:30 PM ET, 1:30
Icron Technologies will host a conference call to discuss the Company's
year-end financial results on Thursday August 9th, 2007 at 4:30PM EST, 1:30PM
PST. Participants are asked to call either 1-800-591-7539 or 416-646-3096
The conference will also be broadcast live over the Internet and archived
through the following link:
Click on this link or copy to your web browser to listen online.
About Icron Technologies Corporation
Icron Technologies Corporation's patented ExtremeUSB(R) technology
extends the range of USB in wired environments and enables wireless USB over
any RF technology. ExtremeUSB is the only USB-IF compliant extension solution
and is deployed globally in a wide range of applications including: industrial
automation, medical device, aerospace, KVM and computer networking. ExtremeUSB
technology is available in a variety of formats including technology licenses,
OEM modules, developer kits, as well as branded and private-label products.
Icron is a publicly traded corporation and trades under the symbol "IT"
on the TSX Venture Exchange. For more information on the company and its
products, please visit www.icron.com.
FORWARD-LOOKING STATEMENTS: Except for statements of historical fact, all
statements in this news release -- including, without limitation, statements
regarding financial estimates and future plans and objectives of Icron -- are
forward-looking statements that involve various risks and uncertainties. There
can be no assurance that such statements will prove to be accurate; actual
results and future events could differ materially from those anticipated in
For further information:
For further information: Icron Investor Contact, Robert Eisses,
President & CEO, email@example.com, Phone: (604) 638-3924; Icron Media
Contact, Brigitta Shore, Phone: (604) 729-9479, firstname.lastname@example.org