REDMOND, WA -- 08/20/08 --
CoroWare, Inc. (OTCBB: CROE) today announced
its financial results for the second fiscal quarter ended June 30, 2008.
For the fiscal quarter ended June 30, 2008, CoroWare reported revenues of
$654,147, a decrease of 40.9% from revenues of $1,106,014 in the same
fiscal quarter in 2007, and a gross profit of $94,158, a decrease of 50.5%
from $190,279 in the same fiscal quarter of 2007.
Operating expenses were $696,841 during the fiscal quarter, which was a
decrease of 51.3% from $1,432,244 during the same fiscal quarter in 2007.
General and Administrative operating expenses were lower in the second
fiscal quarter of 2008 due to the substantial reduction in costs related to
officers' salaries, rent and related expenses, travel and entertainment.
Net Income applicable to common shareholders was $470,733 during the second
fiscal quarter of 2008 compared to a Net Loss of $1,183,303 for the same
period in 2007, in part due to reduced Loss on Extinguishment of Debt and
greater Derivative Income.
Service Revenues were lower in April and May because the company's largest
service customers were reducing expenditures during the second fiscal
quarter in response to changing economic conditions worldwide. In
contrast, CoroWare's CoroBot and ClassPack product sales increased in May
and June as university customers began preparations for the start of the
fall semester.
"CoroWare's quarterly revenues and gross profit did not meet our
expectations as key customers reduced their professional services
expenditures in response to changing economic conditions worldwide.
Nonetheless, we made considerable progress on bringing general and
administrative expenses in line with revenues," said Lloyd Spencer, Interim
CEO of CoroWare, Inc. "In order to increase revenues, gross profit and net
income, we will focus our sales efforts on CoroWare's core business --
professional services, software development and mobile robotic solutions --
and will further reduce general and administrative expenses related to
rent, executive salaries and services that are not essential to driving
revenues."
The full 10-Q report can be accessed by going to www.coroware.com, visiting
the Investors page and clicking "Latest 10-Q filing."
About CoroWare
CoroWare Technologies, a subsidiary of CoroWare, Inc. (OTCBB: CROE), is a
systems and mobile robotics integrator that delivers high value services
and innovative solutions to maximize technology investments and achieve
customers' goals. CoroWare has a depth of knowledge and breadth of
experience in developing software and solutions for mobile service robotics
and business automation through products that include the CoroBot product
line. For more information, please visit www.coroware.com.
The names of actual companies and products mentioned herein may be the
trademarks of their respective owners. This press release is written using
forward-looking statements pursuant to the Private Securities Litigation
Reform Act of 1995: http://www.sec.gov/about/laws/sea34.pdf (Sec. 21E p.
223).
Press Contact:
Kami Noland
CoroWare
knoland@coroware.com
(800) 641-2676 x728
