Exhibit 99.1
PPT VISION REPORTS SECOND QUARTER FISCAL 2005 FINANCIAL RESULTS
MINNEAPOLIS, May 24 /PRNewswire-FirstCall/ -- PPT VISION, Inc. (Nasdaq:
PPTV) today announced financial results for the second quarter ended April 30,
2005. Revenues for the second quarter were $1,567,000 compared to revenues of
$2,084,000 for the same period in fiscal 2004. Net loss for the second quarter
was $870,000 or $0.29 per share compared to our net loss in the second quarter
of fiscal 2004 of $223,000 or $0.08 per share.
For the six-month period ended April 30, 2005, the Company had revenues of
$3,092,000 as compared with revenues of $4,060,000 for the first six-months of
last fiscal year. The net loss for the six month period was $1,480,000 or $0.49
per share in fiscal 2005 compared to a net loss of $569,000 or $0.19 per share
in fiscal 2004.
As previously announced, PPT completed a corporate restructuring plan in the
second quarter of fiscal 2005 which resulted in a non-recurring expense of
$390,000. These costs relate to the closure of our Michigan office, severance
costs and lease termination and related costs associated with restructuring our
headquarter lease. In addition, PPT completed a 1-for-4 reverse stock split
effective at the close of the market on March 31, 2005. Accordingly, all per
share amounts have been adjusted to give retroactive effect to this change in
the number of outstanding shares.
"This quarter was significant in that we were able to implement a number of
actions that will better position us to return to profitability," stated Mr.
Joseph Christenson, President. "Our recently completed restructuring plan will
result in cost savings of approximately $1.2 million annually and establishes a
cost structure that is much better aligned with our anticipated revenue levels.
In addition, the reverse stock split enabled us to regain compliance with the
rules of the NASDAQ Stock Market. With these actions behind us, we can now focus
totally on the actions necessary to improve our revenues," continued Mr.
Christenson. "Our revenue levels are down from last year amounts for both the
quarter and six month periods due to the loss of one large OEM customer that
accounted for $1,280,000 of our revenue in the first two quarters last year. As
we announced in November 2004, this customer is no longer purchasing our older
Analog Scout systems from us. Excluding these sales, our 2D machine vision
revenue in the second quarter increased 7% over the second quarter of last year
and by 11% over the first six months of last year."
"The PPT business plan is dedicated to the growth of our IMPACT (TM) machine
vision product line, which continues to gain traction in the market place. Our
three part strategy to drive our revenue growth is to focus on customer-driven
product development activities, grow our network of distribution and system
integration partners and develop and market application specific solutions
within our Inspection Builder (TM) software environment. As part of our focus on
growing our sales channel partners, we have focused a large amount of effort on
establishing and supporting sales channel partners in China and are beginning to
realize positive results," concluded Mr. Christenson.
About PPT VISION
PPT VISION, Inc. ("the Company") designs, manufactures, and markets
camera-based intelligent systems for automated inspection in manufacturing
applications. The Company's products, commercially known as machine vision
systems, enable manufacturers to realize significant economic paybacks by
increasing the quality of manufactured parts and improving the productivity of
manufacturing processes. The Company's machine vision product line is sold on a
global basis to end-users, system integrators, distributors and original
equipment manufacturers (OEM's) primarily in the electronic and semiconductor
component, automotive, medical device, and packaged goods industries. The
Company's Common Stock trades on the Nasdaq Small Cap Market tier of The Nasdaq
Stock Market under the symbol PPTV. For more information, please see the PPT
VISION, Inc. web site at http://www.pptvision.com .
Conference Call
The Company has scheduled a conference call for 10:00 a.m. CST on Tuesday,
May 24th, 2005. In the conference call, the Company will discuss the results for
the recent quarter and expectations with respect to future performance. The
dial-in number to participate in the call is: 877-407-8031. It will also be
broadcast live over the Internet by World Investor Link's Vcall. To listen live,
go to http://www.vcall.com .
A digitized replay of the second quarter conference call will be available
beginning the afternoon of May 24th, 2005 and until 11:59 p.m. (Eastern) on May
31st, 2005. To access the replay please use the following numbers:
U.S. = 877-660-6853 or International = 201-612-7415. The replay passcodes are:
Account # 286 and Conference ID # 154206. The full conference call will also be
available for replay at http://www.vcall.com .
Forward-Looking Statements
The discussion above contains forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995, including statements
regarding the Company's expectations, beliefs, intentions and strategies
regarding the future. Forward-looking statements include, without limitation,
statements regarding the extent and timing of future revenues and expenses and
customer demand. All forward-looking statements included in this document are
based on information available to the Company as of the date hereof, and the
Company assumes no obligation to update any such forward- looking statements.
The Company's actual results are subject to risks and uncertainties and
could differ materially from those discussed in the forward-looking statements.
These statements are based upon the Company's expectations regarding a number of
factors, including the Company's ability to obtain additional working capital if
necessary to support its operations, the success of the Company's new IMPACT
machine vision micro-system, changes in worldwide general economic conditions,
cyclicality of capital spending by customers, the Company's ability to keep pace
with technological developments and evolving industry standards, worldwide
competition, and the Company's ability to protect its existing intellectual
property from challenges from fourth parties. A detailed description of the
factors that could cause future results to materially differ from the Company's
recent results or those projected in the forward-looking statements are
contained in the section entitled "Description of Business" under the caption
"Important Factors Regarding Forward-Looking Statements" contained in its filing
with the Securities and Exchange Commission on Form 10-KSB for the year ended
October 31, 2004 and other reports filed with the Securities and Exchange
Commission.
PPT VISION, Inc.
Condensed Statements of Operations (Unaudited)
(In thousands, except share and per share data)
Three Months Ended Six Months Ended
April 30, April 30,
------------------------------ ------------------------------
2005 2004 2005 2004
------------- ------------- ------------- -------------
Revenue $ 1,567 $ 2,084 $ 3,092 $ 4,060
Cost of sales 803 970 1,533 2,043
------------- ------------- ------------- -------------
Gross profit 764 1,114 1,559 2,017
Operating expenses:
Sales and marketing 659 706 1,345 1,340
General and administrative 269 300 560 582
Research and development 336 414 709 824
Non-recurring charges 390 - 390 -
------------- ------------- ------------- -------------
Total operating expenses 1,654 1,420 3,004 2,746
Loss from operations
Loss from continuing
operations (870) (304) (1,425) (727)
Income (loss) from
discontinued operations - 81 (55) 158
------------- ------------- ------------- -------------
Net loss $ (870) $ (223) $ (1,480) $ (569)
============= ============= ============= =============
Basic and diluted loss per share:
Loss from continuing
operations $ (0.29) $ (0.10) $ (0.47) $ (0.25)
Income (loss) from
discontinued operations $ - $ 0.02 $ (0.02) $ 0.06
------------- ------------- ------------- -------------
Net loss $ (0.29) $ (0.08) $ (0.49) $ (0.19)
============= ============= ============= =============
Shares used to compute
basic and diluted loss
per share 2,996,662 2,950,910 2,996,220 2,950,804
PPT VISION, Inc.
Condensed Balance Sheets
(In thousands)
April 30, October 31,
2005 2004
------------- -------------
(Unaudited)
ASSETS
- --------------------------------
Current assets
Cash and cash equivalents $ 1,357 $ 2,617
Accounts receivable, net 1,311 1,912
Inventories 989 977
Other current assets 162 243
Net assets of discontinued
operations - 200
------------- -------------
Total current assets 3,819 5,949
Fixed assets, net 256 323
Intangible assets, net 280 162
------------- -------------
Total assets $ 4,355 $ 6,434
============= =============
LIABILITIES AND SHAREHOLDERS'
EQUITY
- --------------------------------
Current liabilities
Accounts payable and
accrued expenses $ 897 $ 1,457
Deferred revenue 12 54
------------- -------------
Total current liabilities 909 1,511
Total shareholders' equity 3,446 4,923
------------- -------------
Total liabilities and
shareholders' equity $ 4,355 $ 6,434
============= =============
SOURCE PPT VISION, Inc.
-0- 05/24/2005
/CONTACT: Timothy C. Clayton, Chief Financial Officer of PPT VISION,
Inc., +1-952-996-9500, fax, +1-952-996-9501, or ir@pptvision.com /
/Web site: http://www.pptvision.com /