Business
Route1 Reports 3rd Quarter 2006 Financial Results
Route1 Reports 3rd Quarter 2006 Financial Results.
About this update from Route1 Inc.
[{"type":"text","content":"\n\n\n\n\nTORONTO, Nov. 23 /CNW/ - Route1, Inc.(TM) (TSX-V:ROI), a market leader in\nproviding secure, identity-managed remote computing solutions, today announced\nits third quarter financial results for the period ended September 30, 2006.\nThe Company has placed a total of 4,229 MobiKEYs with end-user customers,\nprospects and the sales channel this calendar year-to-date. Sales for the\nThird Quarter were 1,462 MobiKEYs, 142% of unit sales in the previous quarter,\nresulting in a total number of subscribers of 2,723. The Company also had, at\nquarter end, 1,506 additional MobiKEYs placed on consignment or with potential\ncustomers on a trial basis; of which, and important for the long term success\nof the Company, 1,192 new trial or consignment MobiKEYs were placed this\nquarter with customers and the sales channel.\nThe Company had revenues of $248,470 for the quarter ended September 30,\n2006. Deferred revenues which reflect the sales of future MobiNET services\nincreased to $292,781. The Company's losses from operations were $2,201,467 or\n$0.01 per share for the same period. Current assets were $5,069,622 which\nincluded $3,394,722 in cash, cash equivalents and short term investments.\nCurrent liabilities were $1,267,785. The Company had 241,707,616 common shares\noutstanding as at September 30, 2006. For the complete financial statements\nplease visit www.sedar.com.\nLate in the third quarter, the Company implemented an aggressive sales\nand marketing initiative to place more trial MobiKEYs with key potential\ncustomers, providing the opportunity to try the device for a limited period of\ntime prior to purchasing it. \"Our past experience has shown that once a\ncustomer uses MobiKEY very few want to give it back,\" said Mike Larkin, Senior\nVice President of Worldwide Sales. \"In fact, the trials have typically led to\na much larger sale. This program supports the early signs that this trend is\ncontinuing and a number of sales in the fourth quarter are a direct result of\nthese trials.\"\n\"During the third quarter, which included the typically slow summer\nmonths, we experienced continued growth and market acceptance of MobiKEY,\"\nsaid Andrew White, CEO of Route1. \"Along with our recently completed private\nplacement and the anticipation of 'MAP', the MobiNET Administrative and\nProvisioning portal, we are well posit...