EXHIBIT 99.1
FOR IMMEDIATE RELEASE
Contact: Francis V. Dane
Phone: 650-802-7737
Email: fdane@cic.com
COMMUNICATION INTELLIGENCE CORPORATION
REPORTS SECOND QUARTER 2004 FINANCIAL RESULTS
Redwood Shores, CA, August 11, 2004- (OTC BB: CICI) Communication Intelligence
Corporation ("CIC" or the "Company"), the leader in biometric signature
verification & natural input software and a leading supplier of electronic
signature solutions announced today its financial results for the three and
six-month periods ended June 30, 2004.
Total revenue of $630,000 for the quarter ended June 30, 2004 increased 10%
compared to revenues of $572,000 in the corresponding quarter of the prior year.
The Company's net loss applicable to common stockholders remained relatively
flat at $678,000 compared to a net loss of $690,000 for the corresponding
quarter of the prior year. The basic and diluted loss per share was $0.01 on
approximately 100.8 million weighted average common shares outstanding for the
three months ended June 30, 2004 as compared to a basic and diluted loss of
$0.01 per share on approximately 97.5 million weighted average common shares
outstanding for the corresponding quarter of the prior year.
The first six months of 2004 was the most profitable in the history of the
Company. Total revenue of $3.1 million for the six months ended June 30, 2004,
increased 82% compared to revenues of $1.7 million in the corresponding six
months of the prior year. The net income applicable to common stockholders for
the six months ended June 30, 2004 was $.5 million as compared to a net loss of
$1.0 million for the corresponding six months of the prior year. The basic and
diluted income per share was $0.01 on approximately 101 million weighted average
common shares outstanding for the six months ended June 30, 2004 as compared to
a basic and diluted loss of $0.01 per share on approximately 94.7 million
weighted average common shares outstanding for the corresponding period of the
prior year.
This revenue and income growth reflects increasing adoption of CIC's eSignature
solutions in target markets and is primarily attributable to Wells Fargo, which
chose CIC eSignature technology for use in all of its full-service bank
locations. It also includes revenues from Charles Schwab, Duncan Management, IA
Systems, Misys Healthcare, PalmSource, Prudential, Shanghai InfoPro Digital Tech
and TVA.
"Total eSignature revenue of $2.4 million for the first half of this year more
than doubled compared to the $1.1 million for the corresponding six months of
last year, increasing 118%. This revenue growth reflects increasing adoption of
our eSignature solutions in target markets. The increasing focus on corporate
accountability, including a growing demand for auditable business approval
processes, is driving many enterprises to add eTransactions to their priority
deployments in 2004," stated CIC's Chairman & CEO, Guido DiGregorio. He further
commented, "I am delighted that we've achieved the most profitable first half in
CIC's history and based on the current level of customer activity, we remain
optimistic about our outlook for the second half of the year."
Selected financial information follows. Detailed corporate and financial
information is available on CIC's website at www.cic.com.
About CIC
Communication Intelligence Corporation ("CIC") is the leading supplier of
biometric signature verification and natural input software and a leading
supplier of electronic signature solutions focused on emerging, high potential
applications including paperless workflow, handheld computers, smartphones and
eCommerce, enabling the world with "The Power to Sign Online(R)". CIC's products
are designed to increase the ease of use, functionality, and security of
electronic devices and eBusiness processes. CIC sells directly to OEMs and
Enterprises and has products available through major retail outlets such as,
CompUSA, Staples, OfficeMax, and key integration/channel partners or direct via
our website. Industry leaders such as Charles Schwab, Fujitsu, IBM, Oracle,
PalmSource, Prudential, Siebel Systems, Siemens Medical Systems, Sony Ericsson,
Symbol and TVA have licensed the company's technology. CIC is headquartered in
Redwood Shores, California and has a joint venture, CICC, in Nanjing, China. For
more information, please visit our website at http://www.cic.com
CIC and its logo are registered trademarks of Communications Intelligence
Corporation. All other trademarks and registered trademarks are the property of
their respective holders.
Forward Looking Statement
Certain statements contained in this press release, including without
limitation, statements containing the words "believes", "anticipates", "hopes",
"intends", 'expects', and other words of similar import, constitute "forward
looking" statements within the meaning of the Private Litigation Reform Act of
1995. Such statements involve known and unknown risks, uncertainties and other
factors, which may cause actual events to differ materially from expectations.
Such factors include the following (1) technological, engineering, quality
control or other circumstances which could delay the sale or shipment of
products; (2) economic, business, market and competitive conditions in the
software industry and technological innovations which could affect the Company's
business; (3) the Company's inability to protect its trade secrets or other
proprietary rights, operate without infringing upon the proprietary rights of
others or prevent others from infringing on the proprietary rights of the
Company; and (4) general economic and business conditions. These forward-looking
statements speak only as of the date hereof and the Company disclaims any intent
or obligation to update these forward-looking statements.
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COMMUNICATION INTELLIGENCE CORPORATION
Selected Consolidated Statement of Operations Information
(Dollars in thousands, except per share amounts)
Three Months Ended Six Months Ended
(unaudited) (unaudited)
06/30/04 06/30/03 06/30/04 06/30/03
---------- ---------- -------- --------
Revenues $ 630 $ 572 $ 3,059 $ 1,680
Net income (loss) applicable
to common stockholders $ (678) $ (690) $ 489 $ (1,000)
Basic and diluted income (loss)
per common share $ (0.01) $ (0.01) $ 0.01 $ (0.01)
Weighted average common shares
outstanding 100,776 97,514 100,439 94,726
Selected Consolidated Balance Sheet Information
(Dollars in thousands)
06/30/04 12/31/03
(unaudited)
--------------- ---------------
Cash & cash equivalents $ 1,969 $ 1,039
Total current assets $ 2,618 $ 2,005
Total assets $ 7,648 $ 7,215
Short-term debt $ 3,045 $ 3,758
Deferred revenue (1) $ 342 $ 165
Total current liabilities (2) $ 4,154 $ 4,900
Long-term debt $ 8 $ 13
Total stockholder's equity $ 3,379 $ 2,187
NOTES:
(1) Deferred revenues consist principally of deferred maintenance
contract revenue.
(2) Includes deferred revenues of $342 and $165 for
period ended June 30, 2004 and December 31, 2003, respectively.
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