-- Revenues of $4.6 million, compared with $4.0 million in the third
quarter of 2007.
-- Non-cash impairment of intangible assets, mainly goodwill, in the
amount of $1.5 million.
-- Non-GAAP operating income was $481 thousand, or 10.4% of revenue,
excluding impairment of $1.5 million, amortization of intangible assets of
$130 thousand and equity-based compensation expense of $45 thousand.
-- GAAP operating loss was $1.2 million.
-- Impairment of Auction Rate Security in the amount of $1.1 million.
-- GAAP net loss of $2.4 million or $0.11 per share, compared with GAAP
net income of $955 thousand or $0.04 per share in the third quarter of
2007.
-- Cash flow from operating activities of $1.2 million.
-- Strong cash position of approximately $10.9 million on September 30,
2008.
Stock Repurchase
On September 8, 2008 we announced that the Board of Directors authorized a
plan for the repurchase of up to 2.1 million of the Company's ordinary
shares in the open market, in an amount in cash of up to $2.8 million.
Under the repurchase program, share purchases may be made from time to time
depending on market conditions, share price, trading volume and other
factors. The repurchase may be suspended from time to time or discontinued.
Since the repurchase program required prior court approval, we expect to
activate the program towards the end of November 2008, as originally
estimated.
Auction Rate Securities
As previously announced, we continue to receive interest payments every
month on the held security, which is now rated CC by S&P and Caa3 with
CreditWatch with negative implications by Moody's. The arbitration process
with Credit Suisse is still ongoing.
Conference Call Information
MIND will host a conference call on November 11, 2008 at 10:30 a.m.,
Eastern Time, to discuss the Company's third quarter 2008 results and other
financial and business information. The call will be carried live on the
Internet via www.fulldisclosure.com and the MIND website, www.mindcti.com.
For those unable to listen to the live web cast, a replay will be
available.
About MIND
MIND CTI Ltd. is a leading provider of convergent end-to-end billing and
customer care product based solutions for service providers as well as
telecom expense management (call management) solutions. MIND provides a
complete range of billing applications for any business model (license,
managed service or complete outsourced billing service) for Wireless,
Wireline, VoIP and Quad-play carriers in more than 40 countries around the
world.
A global company, with over ten years of experience in providing solutions
to carriers and enterprises, MIND operates from offices in the United
States, UK, Romania and Israel.
For more information, visit MIND at: www.mindcti.com.
Cautionary Statement for Purposes of the "Safe Harbor" Provisions of the
Private Securities Litigation Reform Act of 1995: All statements other than
historical facts included in the foregoing press release regarding the
Company's business strategy are "forward-looking statements." These
statements are based on management's beliefs and assumptions and on
information currently available to management. Forward-looking statements
are not guarantees of future performance, and actual results may materially
differ. The forward-looking statements involve risks, uncertainties, and
assumptions, including the risks discussed in the Company's filings with
the United States Securities Exchange Commission. The Company does not
undertake to update any forward-looking information.
Contact Information: For more information please contact: Andrea Dray MIND CTI Ltd. Tel: +972-4-993-6666