Message #27 From:
Stock News Bot Date: November 13, 2006 10:42:00 AM
USAT News USA Technologies Announces Record Fiscal Year 2007 First Quarter Revenue
MALVERN, Pa.--(BUSINESS WIRE)--USA Technologies (OTC Bulletin Board:USAT) announced today record
revenue for its fiscal year 2007 first quarter ended on September 30,
2006. USA Technologies reported revenue totaling $2,008,897, an increase
of 47% over revenue of $1,363,886 for the corresponding period of the
prior fiscal year. Gross profit was $615,536, an increase of 95% over
gross profit of $314,927 for the three months ended September 30, 2005.
Gross margin improved to 31% in the quarter ended September 30, 2006,
compared to 23% in the corresponding period of the prior fiscal year.
The Company expects to drive continued increased sales growth, and
expects to announce further customer news in the near term.
The 47% increase in revenue was largely due to accelerating sales of the
Company's e-Port® cashless payment product and
strong sales of its EnergyMiser® energy
management solutions. Total e-Port revenue for the quarter totaled
approximately $909,000, an increase of 159% over total e-Port revenue of
approximately $351,000 for the corresponding period of the prior fiscal
year.
“Our record growth in sales was influenced by
the recent launch of our e-Port® Generation
Six (G6), the world's first cashless and contactless payment solution
for vending machines,” said George R. Jensen,
Jr., Chairman and Chief Executive Officer, USA Technologies. “The
e-Port G6 integrates new radio frequency contactless card capability
with traditional mag-swipe card technology. The first 1,000 vending
machines equipped with the G6 were jointly deployed in Philadelphia by
MasterCard, the Coca-Cola Bottling Company of Philadelphia, and USA
Technologies,” said Mr. Jensen. "During the
quarter we also further reduced the cost of manufacturing the e-Port G6
helping improve our cost competitiveness. More recently, Bank of America
confirmed that it was evaluating the e-Port as the technology platform
for radio frequency cashless payment devices in vending machines.”
Some highlights of the first fiscal quarter include:
Growing sales of EnergyMiser energy management technology, led by the
installation of 600 VendingMisers at Fort Hood Army Garrison, Texas,
the largest military base in America. The U.S. Coast Guard also began
installing EnergyMisers on bases in San Francisco and Oakland.
Growing interest in the EnergyMiser product line by the utility
market, Federal, State and City Governments. Wisconsin Focus on Energy
was the latest energy utility to offer rebates to customers who
purchased the technology. The State of Arizona was the latest State
Government to install EnergyMisers, while the States of California,
New York, and Pennsylvania are considering and/or planning to
implement the technology. Fifteen cities in the South Bay Cities
Council of Governments, in California, also embarked on an EnergyMiser
installation program.
Growing portfolio of patents. The Company added three more patents,
two for cashless vending and one for energy management for a total of
65 patents issued.
Opening up new markets, driven by e-Port technology. e-Port credit
card payment devices are operating new intelligent vending machines in
the hospitality industry, security industry and photo kiosk markets.
Business Express sales milestone: In the quarter, USA Technologies
marked the sale of the one-hundredth PC Express®
wall mounted business center services, less than nine months after it
was first launched, exceeding sales expectations.
“USA Technologies has entered a period of
strong growth supported by growing operating margins,”
said Mr. Jensen. “The Company has aggressive
plans in place to capture a significant share of the $44 billion vending
market, and further drive its leadership in energy management, online
laundry services, and unattended business center services.”
About USA Technologies:
USA Technologies is a leader in the networking of wireless non-cash
transactions, associated financial/network services and energy
management. USA Technologies provides networked credit card and other
non-cash systems in the vending, commercial laundry, hospitality and
digital imaging industries. USA Technologies is an IBM Business Partner.
The Company has marketing agreements with Cingular Wireless, Honeywell,
Blackboard, and ZiLOG Corporation. For further information on USA
Technologies, please visit www.usatech.com
Statement under the Private Securities
Litigation Reform Act:
With the exception of the historical information contained in this
release, the matters described herein contain forward-looking statements
that involve risk and uncertainties that may individually or mutually
impact the matters herein described, including but not limited to, the
ability of the Company to increase revenues in the future due to the
developing and unpredictable markets for its products, the ability to
achieve a positive cash flow, the ability to obtain orders for its
products, the ability to obtain new customers and the ability to
commercialize its products, which could cause actual results or revenues
to differ materially from those contemplated by these statements.
