XFONE REPORTS
RECORD YEAR-END FINANCIAL RESULTS FOR
FISCAL YEAR 2003
April 1, 2004
CARSON CITY, Nev. & LONDON--(BUSINESS WIRE)--April
1, 2004 -
- Revenues Grew 95% To $12.9M
- Income Before Taxes Up 103%
- Net Profit Up 75% To $750,173
Operations Provided $1.2M in Cash
xfone, Inc. (OTCBB:XFNE; BER:XFO) an international telecommunication services provider, today announced its consolidated financial results for the fiscal year ended December 31, 2003. Revenues for FY 2003 increased 95% to a record $12.9 million from $6.66 million in FY 2002. Gross profit for FY 2003 rose 105% to $5.08 million from $2.75 million in the same period last year.
Net profit for the period rose by 75% or $.32 million from the same period last year to $.75 million in FY 2003, and net profit per share for the period was up to $0.15 from $0.09 in fiscal year 2002. Cash and cash equivalents at year ended December 31, 2003 increased by 107% to $1.74 million compared to $.84 million at December 31, 2002.
The increase in revenues, gross and net profits reflect the success of xfone’s ongoing business strategy - sales partnerships with resellers, increased recognition of xfone’s brands and synergies between them, in addition to improved operational efficiencies through automation.
Guy Nissenson, President and CEO of xfone stated, “The Company has a track record of rapid growth and a positive cash flow. We are encouraged by the continued success of our various brands and have positioned ourselves as a significant player in the British telecommunications market. The Company’s increased growth and revenues is a direct result of xfone’s commitment to customer service and shareholder value.”
Recently, xfone announced the completion of a major round of financing transactions, which started earlier this year for $2.8 million in new equity capital for the company. The financing included the purchase of 936,667 shares of common stock in addition to ‘A’ and ‘B’ warrants for each share of stock purchased.
“The Company has had a very successful year as a result of the hard work of our employees and partners,” Mr. Nissenson continued. “We look forward to expanding on our solid business platform both here in the UK and other countries.”
The Company will host a conference call to discuss results of operations and future outlook on Friday, April 2 at 12:00 noon EST. To participate, please call 1-877-375-2162 (U.S. toll free), 1-973-582-2734 (International), ID Code: “4652139”. The conference call also will be available for replay for 48 hours starting 1pm EST on the day of the call, by calling 877-519-4471 (U.S.) / 973-341-3080 (International) and enter conference ID 4652139.
About XFONE, Inc.
A U.S.-domiciled corporation, XFONE, Inc. is an international voice, video and data communications services provider with operations in the United Kingdom, the United States and Israel that offers a wide range of services, which include: local, long distance and international telephony services; prepaid and postpaid calling cards; cellular services; Internet services; messaging services (Email/Fax Broadcast, Email2Fax and Cyber-Number); and reselling opportunities. The Company serves customers across Europe, Asia, North, Central and South America, Australia and Africa.
This press release contains forward-looking statements.
The words or phrases "should," "would
be," "will allow," "intends to,"
"will likely result," "are expected to,"
"will continue," "is anticipated,"
"estimate," "project," or similar
expressions are intended to identify "forward-looking
statements." The Company's financial results reflected
above should not be construed by any means as representative
of the current or future value of its common stock.
All information set forth in this press release, except
historical and factual information, represents forward-looking
statements. This includes all statements about the company's
plans, beliefs, estimates and expectations. These statements
are based on current estimates and projections, which
involve certain risks and uncertainties that could cause
actual results to differ materially from those in the
forward-looking statements. These risks and uncertainties
include issues related to rapidly changing technology
and evolving standards in the industries in which the
Company and its subsidiaries operate; the ability to
obtain sufficient funding to continue operations, maintain
adequate cash flow, profitably exploit new business,
and license and sign new agreements; the unpredictable
nature of consumer preferences; and other factors set
forth in the Company's most recently filed annual report
and registration statement. Readers are cautioned not
to place undue reliance on these forward-looking statements,
which reflect management's analysis only as of the date
hereof. The Company undertakes no obligation to publicly
revise these forward-looking statements to reflect events
or circumstances that arise after the date hereof. Readers
should carefully review the risks and uncertainties
described in other documents that the Company files
from time to time with the Securities and Exchange Commission.
| For More Information, Please Contact: |
 |
| U.S.
IR Contact |
John Nesbett/Jennifer Beloeau
Institutional Marketing Services (IMS)
Phone: 1.203.972.9200.
E-mail: jnesbett@institutionalms.com |
|
| Xfone Contact |
|
Niv Krikov
Chief Financial Officer
Phone: + 972.39254446 (Israel)
E-mail: E-mail: niv@xfone.com |
|
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