ETC Announces Fourth Quarter and Year End 2012 Results

Business Wirevia The Motley Fool
Updated

ETC Announces Fourth Quarter and Year End 2012 Results

WAUKESHA, Wis.--(BUSINESS WIRE)-- Electronic Tele-Communications, Inc. (ETC) (Pink Sheets: ETCIA) today reported its fourth quarter 2012 results. Sales for the quarter were $615,667 compared to $486,844 for the 2011 fourth quarter. The net earnings for the quarter were $88,595 or $0.04 per Class A common share, compared to net earnings of $66,223 or $0.03 per Class A common share for the fourth quarter of 2011.

Sales for the 2012 year were $1,994,943 compared to 2011 sales of $1,657,407. The net earnings for 2012 were $189,201 or $0.08 per Class A common share, compared to earnings of $90,002 or $0.04 per Class A common share for 2011.


Commenting on the results, ETC President Dean Danner said, "We are proud to announce that 2012 was ETC's best year of operating results in many years. Sales were the highest they have been since 2007, and net earnings the highest in over 10 years. Our market segments are improving, and we are generating positive cash flow. These positive results will provide ETC more flexibility in both marketing and engineering. We still have debt to repay and the market remains somewhat erratic and therefore unpredictable, but 2012 was a good year and early indications are that 2013 will be good as well."

Electronic Tele-Communications supplies voice announcers and Voice Application Platforms to domestic and foreign telephone utilities under the Audichron® and Digicept® brand names. ETC also supports a network of Time Weather and Temperature systems installed throughout the United States. ETC's equipment provides a wide range of audio information and call handling services via telephone networks, computer networks, and the Internet.

From time to time, information provided by ETC, statements made by its employees, and information included in its press releases and other public statements which are not historical facts are forward-looking in nature and relate to trends and events that may affect our future financial position and operating results. Forward-looking statements are not guarantees of future performance and involve a number of risks and uncertainties including, but not limited to: business conditions in the telecommunications industry, the adverse effects of the recent worldwide recession and the timing and strength of a subsequent recovery, the Company's ability to achieve adequate sales levels or sufficient cash flow or cash reserves to support operations, technology changes, backlog, status of the economy, government regulations, sources of supply, expense structure, product mix, major customers, competition, litigation, and other risk factors. Investors are encouraged to consider these risks and uncertainties, which may cause the Company's actual future results to be materially different than those expected in its forward-looking statements. ETC does not undertake to update its forward-looking statements.

Electronic Tele-Communications, Inc.

Statements of Operations and Comprehensive Income (Loss):

(unreviewed)

(unreviewed)

Three Months Ended

Twelve Months Ended

December 31

December 31

2012

2011

2012

2011

Net sales

615,667

486,844

1,994,943

1,657,407

Cost of products sold

277,308

234,254

960,867

840,789

Gross profit

338,359

252,590

1,034,076

816,618

Operating expenses:

General and administrative

92,203

75,831

320,282

267,703

Marketing and selling

69,796

53,559

235,808

210,111

Research and development

81,937

50,718

260,567

220,330

243,936

180,108

816,657

698,144

Earnings from operations

94,423

72,482

217,419

118,474

Other income (expense)

(5,828

)

(6,259

)

(28,218

)

(28,472

)

Earnings before

income taxes

88,595

66,223

189,201

90,002

Income taxes

0

0

0

0

Net earnings

88,595

66,223

189,201

90,002

Other comprehensive income (loss),

net of tax

(3,114

)

6,495

3,606

(27,784

)

Total comprehensive income (loss)

85,481

72,718

192,807

62,218

Basic and diluted earnings per share:

Class A common

0.04

0.03

0.08

0.04

Class B common

0.04

0.03

0.08

0.04

Weighted average shares outstanding

for basic and diluted

2,509,147

2,509,147

2,509,147

2,509,147

Selected Balance Sheet Data:

(unreviewed)

(unreviewed)

Dec 31

Dec 31

2012

2011

Current assets

695,876

529,731

Total assets

704,447

534,751

Current liabilities

1,061,235

1,040,062

Total liabilities

1,149,802

1,172,913

Stockholders' equity (deficit)

(445,355

)

(638,162

)



Electronic Tele-Communications, Inc.
Dean Danner, President
Boni Danner, Vice President
(262) 542-5600
http://www.etcia.com

KEYWORDS: United States North America Wisconsin

INDUSTRY KEYWORDS:

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