EXHIBIT 99.1
NEWS RELEASE
CONTACT: | Investor Relations | |
Irvine Sensors Corporation | ||
714-444-8718 | ||
investorrelations@irvine-sensors.com |
FOR IMMEDIATE RELEASE
IRVINE SENSORS RELEASES 3rd QUARTER RESULTS
COSTA MESA, CALIFORNIA — August 9, 2004 — Irvine Sensors Corporation (NASDAQ: IRSN, Boston Stock Exchange: ISC) today reported operating results for its third fiscal quarter and 39 weeks ended June 27, 2004.
Total revenues for the third quarter of fiscal 2004 were $3,542,600, up $1,145,900, or 48%, from $2,396,700 in the third quarter of fiscal 2003, largely reflecting an increase in the Company’s contract research and development revenue in the current fiscal year period. Total revenues for the 39-week period ended June 27, 2004 were $9,408,700, a decrease of $672,500, or 7%, from $10,081,200 in total revenues realized in last year’s 39-week period ended June 29, 2003. Net losses for both the 13-week and 39-week periods in the current fiscal year were reduced from net losses in the comparable fiscal 2003 periods. Net loss for the 13-week period ended June 27, 2004 was $720,000, down $940,000, or 57%, from the $1,660,000 net loss for the 13-week period ended June 29, 2003. The net loss through the first 39 weeks of the current fiscal year was $3,229,400, a $1,152,000, or 26%, decrease from the $4,381,400 net loss in the first 39 weeks of fiscal 2003.
Irvine Sensors Corporation, headquartered in Costa Mesa, California, is primarily engaged in the sale of stacked chip assemblies and research and development related to high density electronics, miniaturized sensors and cameras, optical interconnection technology, high speed routers, image processing and low-power analog and mixed-signal integrated circuits for diverse systems applications.
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IRVINE SENSORS CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS
(Unaudited)
13 Weeks Ended | 39 Weeks Ended | |||||||||||||||
June 27, 2004 | June 29, 2003 | June 27, 2004 | June 29, 2003 | |||||||||||||
Revenues: | ||||||||||||||||
Contract research and development revenue | $ | 3,257,000 | $ | 2,054,300 | $ | 8,027,000 | $ | 8,255,200 | ||||||||
Product sales | 281,300 | 341,500 | 1,336,100 | 1,789,000 | ||||||||||||
Other revenue | 4,300 | 900 | 45,600 | 37,000 | ||||||||||||
Total revenues | 3,542,600 | 2,396,700 | 9,408,700 | 10,081,200 | ||||||||||||
Costs and expenses: | ||||||||||||||||
Cost of contract research and development revenue | 2,048,200 | 1,262,800 | 5,208,800 | 6,390,800 | ||||||||||||
Cost of product sales | 280,900 | 448,000 | 1,561,700 | 1,808,400 | ||||||||||||
General and administrative expense | 1,496,000 | 1,311,300 | 4,274,400 | 4,358,400 | ||||||||||||
Research and development expense | 397,200 | 783,000 | 1,494,500 | 1,522,200 | ||||||||||||
Total costs and expenses | 4,222,300 | 3,805,100 | 12,539,400 | 14,079,800 | ||||||||||||
Loss from operations | (679,700 | ) | (1,408,400 | ) | (3,130,700 | ) | (3,998,600 | ) | ||||||||
Interest expense | (30,700 | ) | (20,400 | ) | (75,700 | ) | (138,300 | ) | ||||||||
Loss on disposal of assets | (9,600 | ) | (233,000 | ) | (16,400 | ) | (238,800 | ) | ||||||||
Interest and other income | 800 | 100 | 1,200 | 4,800 | ||||||||||||
Loss before minority interest and provision for income taxes | (719,200 | ) | (1,661,700 | ) | (3,221,600 | ) | (4,370,900 | ) | ||||||||
Minority interest in loss of subsidiaries | 1,400 | 3,000 | 7,200 | 4,900 | ||||||||||||
Provision for income taxes | (2,200 | ) | (1,300 | ) | (15,000 | ) | (15,400 | ) | ||||||||
Net loss | (720,000 | ) | (1,660,000 | ) | (3,229,400 | ) | (4,381,400 | ) | ||||||||
Imputed dividend on Series E stock issued | — | (92,800 | ) | — | (1,013,100 | ) | ||||||||||
Net loss applicable to common stockholders | $ | (720,000 | ) | $ | (1,752,800 | ) | $ | (3,229,400 | ) | $ | (5,394,500 | ) | ||||
Basic and diluted net loss per common share (Note 5) | $ | (0.05 | ) | $ | (0.20 | ) | $ | (0.21 | ) | $ | (0.67 | ) | ||||
Weighted average number of shares outstanding | 15,945,800 | 8,827,900 | 15,085,300 | 8,104,000 | ||||||||||||
IRVINE SENSORS CORPORATION
CONSOLIDATED BALANCE SHEETS
June 27, 2004 | September 28, 2003 | |||||||
(Unaudited) | ||||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 3,271,800 | $ | 1,166,800 | ||||
Restricted cash | 35,200 | 54,200 | ||||||
Accounts receivable, net of allowance for doubtful accounts of $10,000 and $57,700, respectively | 685,600 | 443,500 | ||||||
Unbilled revenues on uncompleted contracts | 1,345,300 | 598,100 | ||||||
Inventory, net | 1,178,800 | 932,100 | ||||||
Other current assets | 69,900 | 48,500 | ||||||
Total current assets | 6,586,600 | 3,243,200 | ||||||
Equipment, furniture and fixtures, net | 4,499,900 | 4,417,600 | ||||||
Patents and trademarks, net | 729,300 | 707,400 | ||||||
Deposits | 87,600 | 87,400 | ||||||
Total assets | $ | 11,903,400 | $ | 8,455,600 | ||||
Liabilities and Stockholders’ Equity | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 1,401,300 | $ | 1,620,600 | ||||
Accrued expenses | 886,600 | 806,100 | ||||||
Accrued loss on contracts | 40,600 | 358,500 | ||||||
Advance billings on uncompleted contracts | 40,700 | 437,000 | ||||||
Deferred revenue | 28,100 | 251,700 | ||||||
Capital lease obligations – current portion | 93,700 | 30,700 | ||||||
Total current liabilities | 2,491,000 | 3,504,600 | ||||||
Capital lease obligations, less current portion | 165,200 | 34,700 | ||||||
Minority interest in consolidated subsidiaries | 424,300 | 431,500 | ||||||
Total liabilities | 3,080,500 | 3,970,800 | ||||||
Commitments and contingencies | — | — | ||||||
Stockholders’ Equity: | ||||||||
Preferred stock, $0.01 par value, 500,000 shares authorized; Series E convertible preferred stock, 0 and 2,083 shares outstanding | — | — | ||||||
Common stock, $0.01 par value, 80,000,000 shares authorized; 17,644,500 and 12,947,700 shares issued and outstanding | 176,400 | 129,500 | ||||||
Common stock warrants; 1,508,100 and 2,065,600 warrants outstanding | — | — | ||||||
Unamortized employee stock bonus plan contribution | (109,400 | ) | — | |||||
Common stock held by Rabbi Trust | (250,000 | ) | (250,000 | ) | ||||
Deferred compensation liability | 250,000 | 250,000 | ||||||
Paid-in capital | 117,945,500 | 110,315,500 | ||||||
Accumulated deficit | (109,189,600 | ) | (105,960,200 | ) | ||||
Total stockholders’ equity | 8,822,900 | 4,484,800 | ||||||
$ | 11,903,400 | $ | 8,455,600 | |||||