EXHIBIT 99.1
FOR IMMEDIATE RELEASE
Contact(s): CIC
Marjorie Bailey
(650) 802-7779
mbailey@cic.com
COMMUNICATION INTELLIGENCE CORPORATION
FIRST QUARTER 2001 FINANCIAL RESULTS
REDWOOD SHORES, CA, APRIL 26, 2001 - (Nasdaq: CICI) Communication Intelligence
Corporation ("CIC" or the "Company"), bringing you "The Power to Sign
Online(TM)", announced today its financial results for the first quarter ended
March 31, 2001.
Total revenue for the three months ended March 31, 2001 increased by $0.241
million, or 18%, to $1.618 million as compared to revenues of $1.377 million for
the corresponding quarter of the prior year. This increase is primarily
attributed to Corporate sales, which includes PenOp related maintenance
revenues, Enterprise and OEM revenues, and also Online revenue, which is the
Company's software sold over the internet, via CIC's website.
The net loss for the first quarter ended March 31, 2001 was $0.741 million, or
$0.01, on 90 million weighted average common shares as compared to a net loss
for the quarter ended March 31, 2000 of $0.888 million, or $0.01, on 83 million
weighted average common shares. The net loss for the first quarter of 2001
decreased 17% over the first quarter of the prior year. This decrease in net
loss for the first quarter 2001 was primarily attributable to a decrease in cost
of goods sold related to the Company's Online revenue and Corporate sales,
offset by an increase in non-cash amortization expense for intangibles from
CIC's acquisition of PenOp in October 2000.
CIC's president and CEO, Guido DiGregorio stated, "Despite the current economic
slowdown, CIC continues to demonstrate the focus and market acceptance necessary
to increase revenue. Both our Corporate sales and Online revenue efforts
continue to focus on leveraging CIC's biometric electronic signature solutions
and natural input technologies in high potential applications such as
e-Commerce, mobile voice/internet devices, and corporate security. This strategy
is achieving results necessary to move towards accelerated sales. Based on the
backlog and current sales activity, and subject to any further deterioration in
our market, we are projecting a return to profitability next quarter."
SELECTED FINANCIAL INFORMATION FOLLOWS. Detailed corporate and financial
information is available on CIC's website at WWW.CIC.COM
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ABOUT CIC
Communication Intelligence Corporation (CIC) is a leading supplier of natural
input and electronic signature solutions for wireless Internet and e-Commerce
applications enabling the world with "The Power to Sign Online(TM)". The
Company's core software technologies include multilingual handwriting
recognition systems, biometric signature verification, natural messaging, and
operating system extensions that enable pen input. CIC's products are designed
to increase the ease of use, functionality, and security of wireless electronic
devices ranging from handheld companions to cellular phones. Ericsson, Fujitsu,
Hitachi, Microsoft, Mitsubishi, National Semiconductor, Symbian and IBM among
others 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 WWW.CIC.COM.
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 the
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 and the availability
of sufficient financing.
CIC and its logo are registered trademarks, and The Power to Sign Online is a
trademark of Communication Intelligence Corporation. All other trademarks and
registered trademarks are the property of their respective holders.
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COMMUNICATION INTELLIGENCE CORPORATION
Selected Consolidated Statement of Operations Information
(In thousands, except per share amounts)
THREE MONTHS ENDED
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(UNAUDITED)
03/31/01 03/31/00
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Revenues(1) $ 1,618 $ 1,377
Net loss applicable to common stockholders $ (741) $ (888)
Basic and diluted net loss per common share $ (0.01) $ (0.01)
Weighted average common shares outstanding 90,222 83,005
Selected Consolidated Balance Sheet Information
(In thousands)
03/31/01 12/31/00
-------- --------
(UNAUDITED)
Cash & cash equivalents $ 2,057 $ 2,349
Total current assets 4,278 4,550
Total assets 10,954 11,302
Deferred revenue (2) 55 61
Total current liabilities (3) 2,692 1,441
Total stockholders' equity 8,135 8,307
NOTES:
(1) Revenues include nonrecurring maintenance revenues from M10 (formerly PenOp)
of $352,000, net.
(2) Deferred revenues consist principally of deferred maintenance contract
revenue.
(3) Includes deferred revenues of $55 and $61 for the period ended March 31,
2001 and December 31, 2000, respectively.
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