TORONTO, April 26 /CNW/ - Route1 Inc.(TM) (TSX-V:ROI), the trusted
provider of security and identity management network solutions, today
announced its 2006 Fiscal Year and Fourth Quarter financial results for the
period ended December 31, 2006.
Revenue for fiscal 2006 was $0.535 million, an increase of
$0.465 million, from the preceding fiscal year. Deferred revenues, which
reflect the sales of future MobiNET services increased to $0.18 million, from
$0.016 million in the preceding fiscal year.
The Company's losses from continuing operations were $9.4 million, or
$0.05 per share, up from $6.3 million for the same period last year. Operating
expenses totalled $8.54 million, which consisted primarily of G&A (35%),
Selling and Marketing (35%) and R&D (26%). Net loss for fiscal 2006 amounted
to $8.9 million or $0.05 per share, up from a loss of $6.4 million in the
preceding fiscal year.
Total Assets grew 33% to $3.6 million from $2.7 million a year earlier.
This includes cash and cash equivalents of $1.49 million. As at April 19,
2007, the share capital consisted of 279,545,709 common shares outstanding.
"2006 was a very exciting year for Route1. We continued to make
significant strides from an operational standpoint, and began to develop
relationships that will position Route1 to recognize significant results in
2007 and beyond," said Andrew White, President and CEO of Route1. "In addition
to seeding MobiKEYs into the market, we have enhanced our go-to-market
strategy to better serve customer requirements. We unbundled the hardware and
software components of MobiKEY, introduced the TruOFFICE service, and continue
to market the MobiNET platform."
Selected Financial Information Year ended December 31
($000s, except per share amounts) 2006 2005
Revenues 535 71
Loss from continuing operations 9,331 6,250
Net loss 8,874 6,406
Cash used by operating activities 8,686 5,601
Net loss per common share 0.05 0.05
Selected Financial Information Three months ended December 31
($000s, except per share amounts) 2006 2005
Revenues 83 19
Loss from continuing operations 2,802 2,063
Net loss 2,802 2,211
Cash used by operating activities 2,410 873
Net loss per common share 0.01 0.01
Conference Call and Webcast
The Company will host an investor conference call and webcast today at
10:00 am EST. Andrew White, CEO; Anthony Rzepka, CFO; and Mike Larkin, SVP
Worldwide Sales will lead a presentation and answer questions about the
Company's progress. Investors and analysts are invited to call 416-644-3420 at
least 5 minutes prior to the start of the call, or visit our investor page for
a link to the webcast. The audio webcast will be archived and available for
replay for 90 days at www.route1.com.
About Route1 Inc.
Route1 is the trusted provider of security and identity management
network solutions that are redefining today's workplace. At the heart of
Route1's solutions is MobiNET, a communications and service delivery platform
focused on identity management and entitlement-based access to resources.
Leveraging the power of MobiNET is the award-winning MobiKEY, an
ultra-portable computing device that securely connects users to the myriad of
MobiNET services from any Internet-enabled Windows-based PC. This
patent-pending computing solution is embedded on a smart-card enabled,
cryptographic USB device, making it one of the most powerful and easy-to-use
secure computing solutions available today. Combined with TruOFFICE, Route1's
secure, remote access service, MobiKEY enables users to connect to their
desktop data, applications and network resources. Route1's patent-pending
solutions, based on FIPS-140-2 cryptographic modules, meet the stringent
security needs and high standards mandated by all levels of government. They
have been evaluated by ICSA Labs and certified by the CSE. As a Company with
high regard for intellectual property, Route1 continues to encourage and
nurture innovation across its talented team. Headquartered in Toronto, Route1
is listed on the TSX Venture Exchange (symbol: ROI) and has offices and agents
in New York, California, Florida, the UK, Germany, and Latin America. The
issued and outstanding share capital of the Company as at March 26, 2007 is
271,702,684 common shares. For more information, visit www.route1.com.
This news release does not constitute an offer to sell or a solicitation
of an offer to buy any of the securities in the United States. The securities
have not been and will not be registered under the United States Securities
Act of 1933, as amended (the "U.S. Securities Act") or any state securities
laws and may not be offered or sold within the United States or to U.S.
Persons unless registered under the U.S. Securities Act and applicable state
securities laws or an exemption from such registration is available.
The TSX Venture Exchange has not reviewed or approved the contents of
this press release and does not accept responsibility for its adequacy or
(C) Route1 Inc. All rights reserved. Route1, the Route1 Logo, Mobi,
MobiSecure, Route1 MobiKEY, and Route1 MobiNET are either registered
Trademarks or Trademarks of Route1 Inc. in the United States and or
Canada. All other trademarks and trade names are the property of
their respective owners.
For further information:
For further information: Investor Relations, Amir Nayeri, Genoa
Management (for Route1), Tel: (416) 962-3300, Email: email@example.com