SOURCE: Northstar Electronics

May 16, 2008 09:00 ET

Northstar Electronics, Inc. (NEIK) Announces Its 2008 First Quarter Results

VANCOUVER, BC--(Marketwire - May 16, 2008) - Northstar Electronics, Inc. (OTCBB: NEIK), specializing in advanced sonar for Defense and Homeland Security, announces its 2008 first quarter results.

For the quarter ended March 31, 2008, the Company reported total revenues of USD$423,545 compared with USD$187,532 in 2007. This represents a 225.9% increase over the previous year. However, the Company incurred a net loss of USD$347,089 compared with a net loss of USD$207,454 for the same period in 2007. The net loss remained the same at $0.01 per share.

During the quarter, the Company commenced work on console contract for Lockheed Martin Canada, continued to expand work on parts manufacturing for refurbishment of the outer Wing Box on the P3 marine surveillance aircraft for Lockheed Martin Aeronautics and, completed the first phase design for a wide-band sonar projector for Lockheed Martin Canada. Expansions to the P3 and sonar projects are anticipated following important reviews in the next operating quarter.

In the first quarter, comparative expenses increased mainly due to intensive marketing which continued with participation at trade shows in Canada, USA and Europe. This effort resulted in higher marketing expenditures, USD$48,165 compared with USD$13,051 in 2007, during what is a normally low revenue period. Additionally, expenditures were higher for wages relating to the major contract projects as additional personnel were brought on board in preparation for increased production activities, USD$307,040 compared to USD$209,814 in 2007. Revenues are expected to rise commensurate with the increased production work.

Dr. Wilson Russell, Northstar's CEO, added, "We are gearing up for an intensive period as the Company firmly establishes itself in these contract manufacturing fields."

For further information, contact NEIK, www.northstarelectronics.com, #604-685-0364 and/or Rich Kaiser Investor Relations, yes@yesinternational.com, #800-631-8127 and/or Ms. Beverly Jedynak, Media Relations, b.jedynak-janispr@att.net, (312) 943-1000 Ext. 12.

Safe Harbor: Included in this release are forward-looking statements within the meaning of Section 27A of Securities Act 1993, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and is subject to the safe harbor. Although the Company believes such expectations reflected in such forward-looking statements are reasonable, it can give no assurance that expectations reflected in forward-looking statements will prove correct. The Company's actual results could differ from those anticipated in forward-looking statements as a result of certain internal and external factors.

Contact Information

  • Contact:
    Yes International
    #800-631-8127