Solutions | Partners | Corporate | Contact Us

! ATTENTION !
This site will look much better in a browser that supports web standards, but it is accessible to any browser or Internet device.
Location :: c_corporate/news
Navigate

About Vocalis
Latest News
News Archives
Investor Relations
Careers
Key Personnel
Privacy Policy

20 November 1997

VOCALIS GROUP PLC ("Vocalis" or the "Group") INTERIM RESULTS

FOR THE SIX MONTHS TO 30 SEPTEMBER 1997

Vocalis, the speech technology and call processing company, announces today its interim results for the six months to 30 September 1997.

Highlights of the results include:

  • Increase in turnover up 60% to £1m (1996: £629,000)
  • Gross profit up to £509,000 (1996: £308,000)
  • Loss before tax of £1.5m (1996: £853,000)
  • Loss per share of 4.64p (1996: 2.91p)
  • Order book of £5.7m (1996: £0.8m)

Commenting on the results and future prospects:

"The directors are pleased with the progress made by the Group so far, particularly the strong order book which reflects the acceptance of our speech recognition technology in the marketplace."

Roy Cotterill, Chairman

For further information:

Roy Cotterill, Chairman
Jane Crathern, Finance Director
Vocalis Group plc
Tel: 01223 846177
Tom Moriarty
Tavistock Communications Limited
Tel: 0171 600 2288

Chairman’s Statement

Interim report for the six months to 30 September 1997

Progress in the period

In the half year to 30 September 1997 sales rose to £1,005,000, a 60 per cent increase on the 1996 comparable figure of £629,000. The operating loss was £1,560,000 (1996 loss £914,000) and the loss before tax was £1,490,000 (1996 loss £853,000). The loss per share was 4.64p. Cash balances at the end of the period were £1.6 million.

As indicated in the Annual Report for the year ending 31 March 1997 a concentrated recruitment drive was completed last year. As a result, we now have in place a talented and enthusiastic workforce with the necessary skills to win increasing sales, deliver the sales to our customers and maintain our leading position in the speech recognition industry. The cost of this increase in headcount is evident in the half-year figures and is as intended and budgeted.

Our confidence in this policy is borne out by the fact that orders at the end of the period were £5,663,000, including three major orders for SPEECHtel™ for national telephone operating companies. Work has started on these and the majority of our order book is scheduled for delivery and conversion to revenue in the second half of this year.

As a result of our OEM agreement with Ericsson Telecom AB, enquiries for SPEECHtel from all continents have accelerated. We now have a healthy list of prospects.

Product review

The SPEECHtel product is an "Intelligent Peripheral" for telecommunications systems comprising a hardware platform upon which a diverse family of Vocalis’ software applications can be provided. This enables telephone operating companies to offer their subscribers a range of innovative applications including such facilities as automatic collect call, universal personal telephone number service, enhanced directory enquiries and call intercept. New applications are being developed including network based voice messaging and call centre services.

The attractions to the telephone network operator of being able to offer customers these enhanced services are evident.In addition the technology enables network operators to reduce costs at the same time as offering this improved range of facilities.

So far SPEECHtel sales have been to operators of terrestrial telephone networks. However, in July we announced certification of our SPEECHtel voice dialling product by Ericsson Mobile Radio Systems. This new relationship has now been cemented by signing an OEM agreement to supply the product to their world-wide mobile network operators market.

We see many opportunities for our SPEECHtel products as telecommunications companies seek to provide new services which differentiate their offer while reducing costs in order to improve profitability.

Operetta™, the operator’s assistant for the business user, continues to be marketed both directly in the UK and indirectly in the US and South East Asia. Operetta product trials are being held with voicemail system vendors in the US, co-ordinated from our Boston office, to combine Operetta’s call routing capability with established voicemail systems.

During the first half we delivered new orders from existing customers for the Business Application Platform, which offers customised solutions to automate routine call centre activities. Abbey National has extended its telephone banking service and CSC Computer Sciences added to their call handling system that is in operation for a utility company.

We have improved the design of the speech recogniser used in all our systems to offer faster and larger processing capability to our customers whilst reducing the cost to Vocalis. Further, we have improved the interfacing capability of our products, making them easier to connect to telephone networks globally. Such product enhancement maintains our technology at the forefront of the market.

Prospects

To summarise, SPEECHtel is expected to generate significant and increasing revenues as fixed line and mobile network operators respond to the challenges posed by deregulation and increasing competition. Operetta is beginning to gain market acceptance and the concept is expected in time to become a mass market technology. The directors are pleased with the progress made by the Group so far, particularly the strong order book which reflects the acceptance of our speech recognition technology in the marketplace.

As I said at the AGM, our next stage of growth will be led by a new Chief Executive. I hope to be able to make a further announcement soon.

Roy Cotterill

Chairman

20 November 1997

Consolidated Profit and Loss Account

For the six months to 30 September 1997

 

Note

Unaudited
6 months to
30.09.97
£000

 

Unaudited
6 months to 30.09.96
£000

 

Audited
12 months to
31.03.97
£000

 
Turnover  

1,005

 

629

 

2,007

   
Cost of sales  

(496)

 

(321)

 

(968)

   
   

======

 

======

 

======

   
Gross Profit  

509

 

308

 

1,039

   
Other operating expenses (net)  

(2,069)

 

(1,222)

 

(3,091)

   
   

----------

 

----------

 

----------

   
Operating loss  

(1,560)

 

(914)

 

(2,052)

   
Investment income (bank interest)  

70

 

61

 

174

   
   

----------

 

----------

 

----------

   
Loss on ordinary activities before and after taxation and retained loss for the period  

(1,490)

 

(853)

 

(1,878)

   
   

======

 

======

 

======

   
Loss per share

2

(4.64p)

 

(2.91p)

 

(6.10p)

   
   

======

 

======

 

======

   


There are no recognised gains or losses other than the loss for each period.

The accompanying notes form an integral part of this consolidated financial information.

 

Consolidated Balance Sheet

as at 30 September 1997

 

Unaudited
as at
30.09.97
£’000

Unaudited
as at
30.09.96
£’000

Audited
as at
31.03.97
£’000

       
Fixed tangible assets

419

234

415

 

----------

----------

----------

Current assets      
Stock

438

426

479

Debtors

1,236

340

598

Short term cash deposits

1,300

4,050

2,700

Cash at bank and in hand

297

83

201

 

----------

----------

----------

 

3,271

4,899

3,978

 

----------

----------

----------

Creditors: amounts falling due within one year

(1,806)

(708)

(1,019)

 

----------

----------

----------

Net current assets

1,465

4,191

2,959

 

----------

----------

----------

Net assets

1,884

4,425

3,374

 

======

======

======

Capital and reserves      
Called up share capital

1,605

1,605

1,605

Share premium account

4,150

5,246

4,150

Other reserves

1,070

-

1,070

Profit and loss account

(4,941)

(2,426)

(3,451)

 

----------

----------

----------

Total capital employed

1,884

4,425

3,374

 

======

======

======

The accompanying notes form an integral part of this consolidated financial information.

Consolidated Cash Flow Statement

for the six months to 30 September 1997

 

Unaudited
6 months to
30.09.97
£’000

Unaudited
6 months to
30.09.96
£’000

Audited
12 months to
31.03.97
£’000

       
Operating loss

(1,560)

(914)

(2,052)

Depreciation charge

87

40

95

Amortisation charge

-

4

4

Decrease/(Increase) in stock

41

(317)

(370)

Decrease/(Increase) in debtors

(638)

(279)

(538)

Increase in creditors

787

355

666

 

----------

----------

----------

Net cash outflow from operating activities

(1,283)

(1,111)

(2,195)

Returns on investments

- interest received

70

61

174

Capital expenditure

- purchase of tangible fixed assets

(91)

(116)

(352)

 

----------

----------

----------

Cash outflow before management of

liquid resources and financing

(1,304)

(1,166)

(2,373)

Management of liquid resources      
Decrease/(Increase) in cash on deposit

1,400

(2,850)

(1,500)

Financing      
Issues of ordinary shares

-

4,441

4,415

Redemption of preference shares

-

(420)

(420)

 

----------

----------

----------

Net cash inflow from financing

-

4,021

3,995

 

======

======

======

Increase/(Decrease) in cash and cash equivalents

96

5

122

 

======

======

======

 

There are no recognised gains or losses other than the loss for each period.

The accompanying notes form an integral part of this consolidated financial information.


Notes to the Interim results

1. Basis of preparation

The financial information for the six months ended 30 September 1997 is unaudited and has been prepared in accordance with the accounting policies set out in the Annual Report for the year ended 31 March 1997. The financial information for the six months ended 30 September 1996 is also unaudited. The financial information for the full preceding year is based on the statutory accounts for the financial year ended 31 March 1997. Those accounts, upon which the auditors issued an unqualified opinion, have been delivered to the Registrar of Companies.

2. Basic loss per share

Basic loss per share is based on the loss for the period after tax divided by the number of equity shares ranking for dividend in the period.

3. Circulation to shareholders

A copy of this report will be circulated to shareholders and copies will be available on application to the company’s registered office up to 30 June 1998.




© 2003 Vocalis Group plc. This site is built to work with Web Standard browsers.
For further info click here.

Thursday, November 27, 2003
Location :: c_corporate/news