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

24 November 1998

VOCALIS GROUP PLC INTERIM RESULTS

FOR THE SIX MONTHS TO 30 SEPTEMBER 1998

Vocalis, the speech recognition telephony company, announces today its interim results for the six months to 30 September 1998.

Key Points:

  • Increase in turnover up 33% to £1.3m (1997: £1m)
  • Loss before tax of £1m (1997: £1.5m)
  • Loss per share of 3.22p (1997: loss of 4.64p)
  • Cash £2.5m
  • New letter of intent for £2.5m order this year

The order book is currently £748k, with a letter of intent received for a further £2.5m

Commenting on the results and future prospects:

"Vocalis continues to be a leading name in the global speech recognition industry and our products are delivering service to customers across all continents. The directors continue to have confidence in the fundamental worth and growth potential of your company."

Roy Cotterill, Chairman

For further information:

Charles Halle, CEO, Vocalis Group plc
Tel: 0171 600 2288 (on 24 November 1998
01223 846177
Tom Moriarty
Tavistock Communications Limited
Tel: 0171 600 2288
Mike Styles
Credit Lyonnais Securities
Tel: 0171 214 5786
 

Chairman’s Statement

Interim report for the six months to 30 September 1998

Progress in the period

In the half year to 30 September 1998, sales were £1,342,000, a 33% increase on the same period last year (1997 £1,005,000). The operating loss was £1,139,000 (1997 loss £1,560,000) and the loss before tax was £1,050,000 (1997 loss £1,490,000). The loss per share was 3.22 pence (1997 4.64 pence).

Operating costs have been carefully controlled during the period, ensuring that the resources of your company have been wisely deployed. Cash balances at the end of the period were £2,540,000.

Since the end of the reporting period, business has increased and our order book currently stands at £748,000. Additionally, Ericsson Telecom AB has provided a letter of intent to Vocalis for a further major order, valued in excess of £2.5m, to be delivered in the current financial year.

Most importantly, Vocalis has continued to develop expertise, skills and professionalism; this was acknowledged recently by the award of ISO 9001 accreditation.

Sales of "SPEECHtel", our core product over the past year, have been slower than we had hoped although, in the main, prospective orders have been delayed rather than lost. As an "Intelligent Peripheral", SPEECHtel is dependent on the existence of global sales of Intelligent Networks which have been less than forecast, disappointing many of the world’s leading telecommunications infrastructure vendors. However, we know that a number of leading network providers are pursuing business cases for Intelligent Network development, and there is good reason to expect this market to advance again. We will continue to focus strongly on these prospects.

Product review

In our Annual Report for 1998, we emphasised that there were many enticing opportunities before us and that we would select those which best fit our skills and technology, while offering the potential for the highest return on investment. In pursuing this strategy, we have launched three new products that are attracting keen interest in the marketplace.

"Vocalis SpeechWare" is our brand for licensing Vocalis's core speech recognition technology to other component providers or systems integrators. Two market dominant component players, Dialogic and Natural Microsystems, have both signed partnership agreements with Vocalis.

"ENtelAgent" is our new branding for enterprise, or corporate, solutions. Underpinned by successful development work in a range of European Union projects, several prospects are in active discussion. These will build on our existing core of corporate call centre customers, such as Abbey National, Anglian Water and Yorkshire Electricity.

"SpeecHTML" is a novel product concept that has caught the imagination of the press and a range of potential partners. In summary, the product enables telephone conversations – rather than keyboard interactions – with web sites. SpeecHTML offers tremendous opportunities and will be trialled with one of the largest Internet Service Providers during the next few months.

Prospects

As I indicated in a statement issued in October, revenue continues to be contingent on a small number of high value orders, demonstrated by the recent letter of intent from Ericsson. However, our product and distribution strategies address the need to widen our business base.

Vocalis continues to be a leading name in the global speech recognition industry and our products are delivering service to customers across all continents. The directors continue to have confidence in the fundamental worth and growth potential of your company. As our society demands improved technology at an ever increasing pace, the potential for speech driven solutions, replacing the relentless button pressing needed to scroll through tone based system menus, is truly unlimited.

Roy Cotterill
Chairman
24 November 1998

Consolidated Profit and Loss Account

For the six months to 30 September 1998

 

Note

Unaudited
6 months to
30.09.98
£000

 

Unaudited
6 months to 30.09.97
£000

 

Audited
12 months to
31.03.98
£000

 
Turnover  

1,342

 

1,005

 

6,232

   
Cost of sales  

(661)

 

(496)

 

(2,226)

   
   

======

 

======

 

======

   
Gross Profit  

681

 

509

 

4,006

   
Other operating expenses  

(1,820)

 

(2,069)

 

(4,063)

   
   

----------

 

----------

 

----------

   
Operating loss  

(1,139)

 

(1,560)

 

(57)

   
Investment income (bank interest)  

89

 

70

 

129

   
   

----------

 

----------

 

----------

   
(Loss) profit on ordinary activities before tax for the period  

(1,050)

 

(1,490)

 

72)

   
Taxation  


-

 

 


-

 

 


(40)

 

 

 

 
 

 

 

----------

 

 

----------

 

 

----------

   
(Loss) profit on ordinary activities after tax and retained (loss) profit for the period

 

 

(1,050)

 

 

(1,490)

 

 

32

   
                 
   

======

 

======

 

======

   
(Loss) earnings per share - pence


2


(3.22)

 


(4.64)

 


(0.10)

   
   

======

 

======

 

======

   

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

Consolidated Balance Sheet

as at 30 September 1998

 

Unaudited
as at
30.09.98
£’000

Unaudited
as at
30.09.97
£’000

Audited
as at
31.03.98
£’000

       
Fixed tangible assets      
Intangible assets


117


-


126

Tangible assets


617


419


562

  ---------- ---------- ----------
  734 419 688
  ---------- ---------- ----------
Current assets      
Stock

299

438

408

Debtors

522

1,236

1,597

Short term cash deposits

2,250

1,300

2,300

Cash at bank and in hand

290

297

520

  ---------- ---------- ----------
  3,271 3,271 4,825
  ---------- ---------- ----------
Creditors: amounts falling due within one year

(1,458)

(1,806)

(1,983)

  ---------- ---------- ----------
Net current assets

1,903

1,465

2,842

  ---------- ---------- ----------
Total assets less current liabilities

2,637

1,884

3,530

  ---------- ---------- ----------
Creditors: amounts falling due after one year (152) - (55)
Net assets 2,485 1,884 3,475
  ====== ====== ======
       
Capital and reserves      
Called up share capital

1,638

1,605

1,622

Share premium account

4,224

4,150

4,187

Other reserves

1,070

1,070

1,070

Profit and loss account

(4,447)

(4,941)

(3,404)

  ---------- ---------- ----------
Shareholders' funds - equity interests 2,485 1,884 3,475
 

======

======

======

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

Consolidated Cash Flow Statement

for the six months to 30 September 1998

 

Unaudited
6 months to
30.09.98
£’000

Unaudited
6 months to
30.09.97
£’000

Audited
12 months to
31.03.98
£’000

       
Operating loss

(1,139)

(1,560)

(57)

Depreciation charge

114

87

202

Amortisation charge

25

-

12

Decrease in stock

137

41

61

Decrease (increase) in debtors

1075

(638)

(1000)

(Decrease) increase in creditors

(575)

787

946

 

----------

----------

----------

Net cash (outflow) inflow from operating activities

(363)

(1,283)

164

Returns on investments and servicing of finance
- interest received
- interest paid

89
(3)

70
-

129
-
Capital expenditure and financial investment
- purchase of tangible fixed assets
- purchase of intangible fixed assets


(200)
-


(91)
-


(346)
(138)
Cash outflow before management of liquid resorces and financing (477) (1,304) (191)
       
Management of liquid resources      
Decrease in short term deposit

50

(1,400)

400)

Financing      
New finance lease 144 - 55
Issues of ordinary shares 53 - 54
  ---------- ---------- ----------
Net cash inflow from financing 197 - 109
  ====== ====== ======
(Decrease) increase in cash in the period (230) 96 318

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


Notes to the Interim results

1. Basis of preparation
The foregoing financial information does not constitute statutory accounts within the meaning of section 240 of the Companies Act 1985.The financial information for the six months ended 30 September 1998 is unaudited and has been prepared in accordance with the accounting policies set out in the Annual Report for the year ended 31 March 1998. The financial information for the six months ended 30 September 1997 is also unaudited.

The financial information for the full preceding year is based on the statutory accounts for the financial year ended 31 March 1998. Those accounts, upon which the auditors issued an unqualified opinion, have been delivered to the Registrar of Companies.

2. Loss/earnings per share
Loss/earnings per share is based on the loss/profit for the period after tax divided by the weighted average 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 1999.




About Vocalis

Vocalis works with organisations to create contact centre solutions that build the organisations business and brands. These solutions can turn your contact centre from a cost to a profit centre by ensuring it builds your brand, helps your business be more competitive, and increases customer loyalty through more effective and efficient service. Vocalis was formed in 1993, is publicly traded on FTSE Stock Market and has been listed since July 1996. Vocalis brings back the reassurance of the most personal human touch in business - putting voice to work.

The Vocalis Website is at

Email: [email protected]


For further Vocalis Group information, contact:

Rebecca Knight Philippa Buttle
QBO Vocalis Group plc
22 Endell Street
Covent Garden
London
WC2H 9AD
Chaston House
Mill Court
Gt Shelford
Cambridge
CB2 5LD
Tel: 020 7379 0304 Tel: 01223-846177
Fax: 020 7497 2533 Fax: 01223-846178
Email:[email protected] Email:[email protected]


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

Wednesday, July 02, 2003
Location :: c_corporate/news