Press Release For Immediate Release
Company Contact:
William Swain, GraphOn Corporation
1.800.GRAPHON
Bill.Swain@GraphOn.com
GraphOn Corp. Announces Second Quarter Financial Results
SANTA CRUZ, CA, USA - August 4, 2008 - GraphOn(R) Corporation (OTCBB: GOJO)
(www.graphon.com), a leading developer of business software for remote
computing, today announced financial results for the second quarter of 2008.
Financial Highlights
Revenue was approximately $1.4 million for the three months ended June 30, 2008,
as compared to approximately $1.3 million for the same period of 2007. Revenue
was approximately $2.7 million for the six-month period ended June 30, 2008, as
compared to approximately $2.4 million for the same period of 2007. The net loss
for the three months ended June 30, 2008 was approximately $0.7 million, as
compared to the approximately $1.0 million net loss for the same period of 2007.
The net loss for the six-month period ended June 30, 2008 was approximately $1.4
million, as compared to the approximately $2.0 million net loss for the same
period of 2007. The loss per common share for each of the three months ended
June 30, 2008 and 2007 was $0.02 per share. The loss per common share for the
six-month period ended June 30, 2008 was $0.03 per share as compared with a loss
of $0.04 per share for the same period in 2007.
"We are pleased with the increased revenue that we have been able to achieve in
both the current quarter and six-month period as compared to the same periods in
2007," Robert Dilworth, Chairman and CEO, said. "We are optimistic about the
future growth of our GO-Global revenue during this year of financial turmoil in
other business markets. Along with the cash we received last year in the
settlement of our litigation with Autotrader.com, our improved performance in
2008 provides us the opportunity to invest in new capabilities for our GO-Global
products and in the development of new products that will expand the markets
that GraphOn serves."
About GraphOn Corporation
For over a decade, GraphOn Corporation has been an innovator of cost-effective,
advanced solutions that help customers access applications from anywhere.
GraphOn's high-performance software provides fast remote access, cross-platform
connectivity, and a centralized architecture that delivers a dramatically lower
cost of ownership. The company's solutions run under Microsoft (MSFT) Windows,
Linux, and UNIX, including Sun (SUNW) Solaris, IBM AIX, Hewlett-Packard (HPQ)
HP-UX, and more. GraphOn is located in Santa Cruz, CA and is traded on the Over
the Counter Bulletin Board under the ticker GOJO (OTCBB:GOJO). For more
information, please visit the company's Web site at http://www.graphon.com.
This press release contains statements that are forward looking as that term is
defined by the United States Private Securities Litigation Reform Act of 1995.
These statements are based on current expectations that are subject to risks and
uncertainties. Actual results will differ due to factors such as shifts in
customer demand, product shipment schedules, product mix, competitive products
and pricing, technological shifts and other variables. Readers are referred to
GraphOn's most recent periodic and other reports filed with the Securities and
Exchange Commission.
GraphOn and GO-Global are a registered trademarks of GraphOn Corp. All other
trademarks belong to their respective owners.
# # #
GRAPHON CORPORATION
Condensed Consolidated Balance Sheets
(Unaudited)
June 30, 2008 December 31, 2007
--------------- -----------------
Assets
Cash and cash equivalents $ 4,489,100 $ 5,260,800
Accounts receivable, net 749,200 886,600
Prepaid expenses 77,900 42,600
--------------- -----------------
Total current assets 5,316,200 6,190,000
--------------- -----------------
Patents, net 2,296,700 2,741,300
Other assets, net 207,200 143,100
--------------- -----------------
Total assets $ 7,820,100 $ 9,074,400
=============== =================
Liabilities and stockholders' equity
Accounts payable and accrued liabilities $ 780,200 $ 867,200
Deferred revenue - short term 1,479,000 1,475,000
Deferred revenue - long term 1,816,000 1,833,100
Other long term liability 28,400 -
Stockholders' equity 3,716,500 4,899,100
--------------- ------------------
Total liabilities and stockholders' equity $ 7,820,100 $ 9,074,400
=============== ==================
GRAPHON CORPORATION
Condensed Consolidated Statements of Operations
Three months ended June 30, Six months ended June 30,
------------------------------------------- ----------------------------------------
2008 2007 2008 2007
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
------------------ --------------------- ------------------ ------------------
Revenue $ 1,373,100 $ 1,307,800 $ 2,685,400 $ 2,445,400
Cost of revenue 146,700 123,300 305,300 242,200
------------------ --------------------- ------------------ ------------------
Gross profit 1,226,400 1,184,500 2,380,100 2,203,200
------------------ --------------------- ------------------ ------------------
Selling and marketing 427,200 420,900 835,700 853,400
General and administrative 945,100 1,137,400 1,910,500 2,111,400
Research and development 599,400 639,200 1,085,800 1,310,700
------------------ --------------------- ------------------ ------------------
Total operating expenses 1,971,700 2,197,500 3,832,000 4,275,500
------------------ --------------------- ------------------ ------------------
Loss from operations (745,300) (1,013,000) (1,451,900) (2,072,300)
Other income, net 17,100 14,400 52,600 34,000
------------------ --------------------- ------------------ ------------------
Loss before income taxes (728,200) (998,600) (1,399,300) (2,038,300)
Income taxes 800 2,200 1,600 3,900
------------------ --------------------- ------------------ ------------------
Net loss $ (729,000) $ (1,000,800) $ (1,400,900) $ (2,042,200)
================== ===================== ================== ==================
Loss per common share - basic and
diluted $ (0.02) $ (0.02) $ (0.03) $ (0.04)
================== ===================== ================== ==================
Weighted average shares outstanding -
basic and diluted 47,096,401 46,247,401 47,093,104 46,242,822
================== ===================== ================== ==================