RA'ANANA, Israel and
POWDER SPRINGS, Georgia,
Aug. 20, 2020 /PRNewswire/
-- Mer Telemanagement Solutions Ltd.
(MTS) (Nasdaq Capital Market: MTSL), a global
provider of telecommunications expense management (TEM), call
accounting and contact center software, today released its
financial results for the three months ended March 31, 2020.
The Company recorded revenues of $1.15
million for the three months ended March 31, 2020, compared with $1.3 million for the three months ended
March 31, 2019. The Company incurred
a net loss of $20,000, or
$0.01 per diluted share, for the
three months ended March 31, 2020
compared with a net loss of $128,000, or $0.03 per diluted share, for the comparable
period in 2019. In the three months ended March 31, 2020, the Company had net loss from
continuing operations of $32,000
compared to net loss from continuing operations of
$130,000 in the comparable period in 2019.
On June 23, 2020, the Company's
institutional investor exercised its greenshoe option in part and
purchased 622,807 convertible preferred shares in consideration of
$710,000, providing the Company with
additional working capital.
Commenting on the results, Mr. Roy
Hess, Chief Executive Officer of MTS, said, "Our results in
2020 reflect the efficiency plan we implemented during 2019 in
order to adjust our operating expenses attributable to the
declining sales and to improve our operating margins. We
recently entered the field of omnichannel contact center software.
In June 2019, we introduced Omnis -
Contact Center Software with "Out-Of-The-Box" capabilities and open
channel architecture. At the end of 2019 and during 2020, we
started to see initial revenues from this new product. As
previously reported, we are also continuing our efforts to find a
suitable M&A candidate for our company which will enhance
shareholder value."
About MTS
Mer Telemanagement Solutions Ltd. (MTS) is focused on innovative
products and services for enterprises in the area of telecom
expense management (TEM), call accounting and contact center
software. Headquartered in Israel,
MTS markets its solutions through wholly-owned subsidiaries in
Israel, the U.S. and Hong Kong, as well as through distribution
channels. For more information please visit the MTS web site:
www.mtsint.com
Forward Looking Statements
Certain matters discussed in this news release are
forward-looking statements that involve a number of risks and
uncertainties including, but not limited to, the Company's ability
to achieve profitable operations, its ability to
continue to operate as a going concern, its ability to continue to
meet NASDAQ continued listing requirements, customer acceptance of
new products, the effects of the spread of
Coronavirus (COVID-19) and future measures taken by authorities in
the countries in which we operate on our operations, the demand for
our products and our customers' economic condition, the impact of
competitive products and pricing, market acceptance, the lengthy
sales cycle, proprietary rights of the Company and its competitors,
risk of operations in Israel,
general economic conditions and other risk factors detailed
in the Company's annual report and other filings with the United
States Securities and Exchange Commission.
Contact:
Ofira
Bar, CFO
Tel: +972-9-7777-540
CONSOLIDATED
BALANCE SHEETS
|
U.S. dollars in
thousands
|
|
|
|
March
31,
|
|
December
31,
|
|
|
2020
|
|
2019
|
|
|
Unaudited
|
|
Audited
|
ASSETS
|
|
|
|
|
|
|
|
|
|
CURRENT
ASSETS:
|
|
|
|
|
Cash and cash
equivalents
|
|
$
1,642
|
|
$
1,732
|
Restricted
cash
|
|
635
|
|
1,464
|
Trade receivables,
net
|
|
483
|
|
499
|
Other accounts
receivable and prepaid expenses
|
|
240
|
|
236
|
Assets of discontinued
operations
|
|
170
|
|
172
|
Total current
assets
|
|
3,170
|
|
4,103
|
|
|
|
|
|
SEVERANCE PAY
FUND
|
|
330
|
|
653
|
|
|
|
|
|
PROPERTY AND EQUIPMENT,
NET
|
|
55
|
|
62
|
|
|
|
|
|
GOODWILL
|
|
3,225
|
|
3,225
|
|
|
|
|
|
Total assets
|
|
$
6,780
|
|
$
8,043
|
|
|
|
|
|
CONSOLIDATED
BALANCE SHEETS
|
U.S. dollars in
thousands (except share and per share
data)
|
|
|
|
March
31,
|
|
December
31,
|
|
|
2020
|
|
2019
|
|
|
Unaudited
|
|
Audited
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
CURRENT
LIABILITIES:
|
|
|
|
|
Trade
payables
|
|
$
118
|
|
$
149
|
Deferred
revenues
|
|
1,075
|
|
962
|
Accrued expenses and
other liabilities
|
|
1,443
|
|
2,317
|
Liabilities of
discontinued operations
|
|
485
|
|
516
|
|
|
|
|
|
Total current
liabilities
|
|
3,121
|
|
3,944
|
|
|
|
|
|
LONG-TERM
LIABILITIES
|
|
|
|
|
Accrued severance
pay
|
|
403
|
|
831
|
Deferred tax
liability
|
|
163
|
|
163
|
Total long-term
liabilities
|
|
566
|
|
994
|
|
|
|
|
|
SHAREHOLDERS'
EQUITY:
|
|
|
|
|
Share capital
-
|
|
|
|
|
Ordinary
Shares
|
|
27
|
|
30
|
Preferred
Shares
|
|
19
|
|
16
|
Additional paid-in
capital
|
|
30,643
|
|
30,635
|
Treasury
shares
|
|
(29)
|
|
(29)
|
Accumulated
deficit
|
|
(27,567)
|
|
(27,547)
|
|
|
|
|
|
Total shareholders' equity
|
|
3,093
|
|
3,105
|
|
|
|
|
|
Total liabilities
and shareholders' equity
|
|
$
6,780
|
|
$
8,043
|
|
|
|
|
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
U.S. dollars in
thousands (except share and per share data)
|
|
|
Three months
ended March
31,
|
|
2020
|
|
2019
|
|
Unaudited
|
Revenues:
|
|
|
|
Services
|
$
924
|
|
$
1,059
|
Product
sales
|
231
|
|
224
|
|
|
|
|
Total revenues
|
1,155
|
|
1,283
|
|
|
|
|
Cost of
revenues:
|
|
|
|
Services
|
372
|
|
392
|
Product
sales
|
93
|
|
98
|
|
|
|
|
Total cost of
revenues
|
465
|
|
490
|
|
|
|
|
Gross profit
|
690
|
|
793
|
|
|
|
|
Operating
expenses:
|
|
|
|
Research and
development
|
-
|
|
133
|
Selling and
marketing
|
265
|
|
286
|
General and
administrative
|
455
|
|
494
|
|
|
|
|
Total operating
expenses
|
720
|
|
913
|
|
|
|
|
Operating
loss
|
(30)
|
|
(120)
|
|
|
|
|
Financial income
(expense), net
|
(2)
|
|
(10)
|
|
|
|
|
Loss before taxes on
income
|
(32)
|
|
(130)
|
|
|
|
|
Income from
discontinued operations
|
12
|
|
2
|
|
|
|
|
Net loss
|
$
(20)
|
|
$
(128)
|
|
|
|
|
Net loss per
share:
|
|
|
|
Basic and diluted net
loss per share from continuing operations
|
$
(0.01)
|
|
$
(0.03)
|
Basic and diluted net
profit per share from discontinued operations
|
0.00
|
|
0.00
|
|
|
|
|
Basic and diluted net
loss per share
|
$
(0.01)
|
|
$
(0.03)
|
|
|
|
|
Weighted average number
of shares used in computing
basic and diluted net loss per share
|
5,621,180
|
|
4,719,761
|
|
|
|
|
|
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content:http://www.prnewswire.com/news-releases/mts-announces-first-quarter-2020-financial-results-301116060.html
SOURCE Mer Telemanagement Solutions Ltd. (MTS)