C-COM Satellite Systems Inc.
TSX VENTURE : CMI

C-COM Satellite Systems Inc.

July 26, 2011 09:45 ET

C-COM Posts Record Sales and Profits in Second Quarter

- Revenues increase by 181.2% to $6,418,874 for the quarter; Year to date revenues for 6 month increases by 135.5%% to $9,333,208

- Operating Profit increases 112.5% to $1,671,241 for the quarter; Year to date Operating Profit for 6 month increases 119.9% to $1,831,359

- Net Profit increases 99.3% to $1,273,395 or 3.7 cents per share; Year to date Net Profit for 6 month increases 77.3% to $1,197,282 or 3.5 cents per share

OTTAWA, ONTARIO--(Marketwire - July 26, 2011) - C-COM Satellite Systems Inc., (TSX VENTURE:CMI) a leading global provider of mobile auto-deploying satellite antenna systems, today announced financial results for its second quarter ending May 31, 2011.

Revenues increased by 181.2% to $6,418,874 compared with results from the same period last year, when total revenues were $2,282,502. The company is reporting a net profit of $1,273,395, or 3.7 cent per share, compared with results for the same period last year when there was a net profit of $638,960, or 1.9 cent per share.

The operating profit increased to $1,671,241, compared with the same period last year when the operating profit was $786,363.

The working capital of the company increased by 49.2% to $10,377,662 at May 31, 2011 compared to $6,958,023 at May 31, 2010.

"The revenues and the corresponding operating profit generated this quarter are the largest ever reported in the company's history" said Leslie Klein, President and CEO of C-COM Satellite Systems Inc. "To a large extent this is as a result of the multiple hundreds of iNetVu® mobile system sales into Japan to deliver life saving satellite backhaul for cellular communications to the tsunami effected region of the country. In general we have seen an upsurge of orders in the first half of this year, both from existing as well as new customers from around the world, indicating world wide acceptance and continuous demand for our iNetVu® mobile products."

The continued strengthening of the Canadian Dollar relative to the United States Dollar is negatively impacting the company's profitability, with a year to date loss on foreign exchange of $387,399 compared to a loss of $34,632 in the same period last year. The company continues to be free of long term debt and has significantly improved its cash position.

The C-COM iNetVu® mobile proprietary antennas, and services associated with these products, are used in mobile applications by corporations, government agencies, the military, law enforcement agencies, homeland security, utility vehicles, oil and gas platforms, police, fire, medical and other security and emergency services with a need for affordable mobile 2-way high-speed Internet over Satellite connectivity.

About C-COM Satellite Systems Inc.

C-COM Satellite Systems Inc. is a leader in the development and deployment of commercial grade mobile satellite-based technology for the delivery of two-way high-speed Internet, VoIP and Video services into vehicles. C-COM has developed a unique proprietary Mobile auto-deploying (iNetVu®) antenna that allows the delivery of high-speed satellite based Internet services into vehicles while stationary virtually anywhere where one can drive. The iNetVu® Mobile antennas have also been adapted to be airline checkable and easily transportable. The company's satellite-based products and services deliver high-quality, cost-effective solutions for both fixed and mobile applications throughout the world. More information is available at: www.c-comsat.com

iNetVu® is a registered trademark of C-COM Satellite Systems Inc.

Forward Looking Statements

This news release contains forward-looking information. These statements relate to future events or future performance and reflect management's current expectations and assumptions. A number of factors could cause actual events, performance or results to differ materially from the events, performance and results discussed in the forward-looking statements. New orders anticipated by C-COM Satellite Systems Inc. may not be received and current orders may be cancelled. New products and services released may not gain market acceptance. Any of those events could have an effect on future performance and C-COM Satellite Systems Inc.'s ability to achieve the results mentioned above. These forward-looking statements are made as of the date hereof and C-COM Satellite Systems Inc. does not assume any obligation to update or revise them to reflect new events or circumstances.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Investor Relations
    C-COM Satellite Systems Inc.
    (613) 745-4110 ext. 4950
    (613) 745-1172 (FAX)
    lklein@c-comsat.com