TEL AVIV, Israel, October 29 /PRNewswire-FirstCall/ -- RiT
Technologies (NASDAQ:RITT), today announced its financial results
for the third quarter and nine month period ended September 30,
2009. Revenues for the third quarter of 2009 were $2.5 million, up
4% compared sequentially to $2.4 million in the second quarter of
2009 and 56% compared with the first quarter of 2009. Revenues for
the third quarter of 2008 were $7.3 million. Net loss for the
quarter was $(1.5) million, or $(0.59) per share (basic and
diluted), compared with $(1.4) million for the second quarter of
2009 and $(2.0) million for the first quarter of 2009. Net income
for the third quarter of 2008 was $1.1 million. Revenues for the
nine month period ended September 30, 2009 were $6.4 million
compared with $18.0 million for the first nine months of 2008. Net
loss for the period was $(4.9) million or $(1.87) per share (basic
and diluted) compared with $(0.5) million or $(0.26) per share
(basic and diluted) for the first nine months of 2008. Comments of
Management "We have reported a 4% increase in revenues compared to
the second quarter, giving us top line growth of 56% compared to
the first quarter of this year," commented Mr. Avi Kovarsky, RiT's
President & CEO. "However, this was well below our
expectations, reflecting delays that we experienced in the closing
of several sizeable Enterprise and Carrier orders. We are fully
focused on closing these orders by the end of the year, and
continue to work aggressively to close all of the deals in our
sales pipeline. In parallel, we continue to pursue efficiency
throughout the organization with the goal of preserving our cash."
Mr. Kovarsky continued, "From a products perspective, during the
third quarter we rolled out two products: PatchView Version 6,
whose features offer enhanced support for the datacenter
environment; and the EPV, a standalone infrastructure management
solution. To round out our positioning, we also continued to build
out our local representation in key growth markets, as demonstrated
by the strategic representative agreement that we signed during the
quarter with a company based in Singapore. "We believe the
combination of sales activities focused on high-potential markets
and the right products will enable us to report improved results in
the future." Conference Call Details The Company will host a
conference call to discuss these results today, Thursday, October
29th, at: 10:15 a.m. Eastern Daylight Time 9:15 a.m. Central
Daylight Time 8:15 a.m. Mountain Daylight Time 7:15 a.m. Pacific
Daylight Time 16:15 Israel Time To participate, please call one of
the following teleconferencing numbers approximately 5-10 minutes
prior to the scheduled start of the call: +1-800-994-4498 (U.S.)
+972-3-918-0664 (International) To participate in the webcast of
the call, please log-in about 5-10 minutes prior to the start of
the call as follows:
http://www.videonewswire.com/event.asp?id=63347 For those unable to
participate, the teleconference will be archived for replay for 14
days at the same url address, beginning 12 o'clock noon (EDT) the
day of the call. Note: Participants in the webcast may submit
questions to be addressed in the conference call in advance by
email to: , by phone: +972-3-766-4249 or fax: +972-3-647-4115.
About RiT Technologies RiT is a leading provider of intelligent
solutions for infrastructure management, asset management,
environment and security, and network utilization. RiT Enterprise
solutions address datacenters, communication rooms and workspace
environments, ensuring maximum utilization, reliability, decreased
downtime, physical security, automated deployment, asset tracking,
and troubleshooting. RiT Environment and Security solutions enable
companies to effectively control their datacenters, communications
rooms and remote physical sites and facilities in real-time,
comprehensively and accurately. RiT Carrier solutions provide
carriers with the full array of network mapping, testing and
bandwidth qualification capabilities needed for access network
installation and service provisioning. RiT's field-tested solutions
are delivering value in thousands of installations for top-tier
enterprises and operators throughout the world. For more
information, please visit our website: http://www.rittech.com/ Safe
Harbor Statement In this press release, all statements that are not
purely about historical facts, including, but not limited to, those
in which we use the words "believe," "anticipate," "expect,"
"plan," "intend," "estimate", "forecast", "target", "could" and
similar expressions, are forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
For example, when we discuss a field trial which could lead to a
multi-million dollar Carrier deal, we are using a forward looking
statement. While these forward-looking statements represent our
current judgment of what may happen in the future, actual results
may differ materially from the results expressed or implied by
these statements due to numerous important factors, including, but
not limited to, those described under the heading "Risk Factors" in
our most recent Annual Report filed with the Securities and
Exchange Commission (SEC) on Form 20-F, which may be revised or
supplemented in subsequent reports filed with the SEC. These
factors include, but are not limited to, the following: our ability
to raise additional financing, if required; the continued
development of market trends in directions that benefit our sales;
our ability to maintain and grow our revenues; our dependence upon
independent distributors, representatives and strategic partners;
our ability to develop new products and enhance our existing
products; the availability of third-party components used in our
products; the economic condition of our customers; the impact of
government regulation; and the economic and political situation in
Israel. We are under no obligation, and expressly disclaim any
obligation, to update the forward-looking statements in this press
release, whether as a result of new information, future events or
otherwise. RiT TECHNOLOGIES LTD. CONSOLIDATED BALANCE SHEETS (U.S
GAAP) (U.S dollars in thousands) September 30,2009 December 31,2008
(Unaudited) (Audited) Assets Current Assets Cash and cash
equivalents 1,776 6,111 Trade receivables, net 2,099 3,737 Other
current assets 320 536 Inventories 3,585 3,978 Total Current Assets
7,780 14,362 Long term Assets Trade receivables, net 184 351 Long
term Investment 1,916 1,579 2,100 1,930 Property and Equipment Cost
3,570 3,502 Less - accumulated depreciation 3,151 2,958 419 544
Total Assets 10,299 16,836 Liabilities and Shareholders' Equity
Current Liabilities Trade payables 1,704 3,101 Other payables and
accrued expenses 1,712 2,286 Total Current Liabilities 3,416 5,387
Long-term Liability Liability in respect of employees' severance
benefits 2,248 2,076 Total Liabilities 5,664 7,463 Shareholders'
Equity Share capital 559 559 Treasury stock (27) (27) Additional
paid-in capital 36,801 36,681 Accumulated deficit (32,698) (27,840)
Total Shareholders' Equity 4,635 9,373 Total Liabilities and
Shareholders' Equity 10,299 16,836 RiT TECHNOLOGIES LTD. STATEMENTS
OF OPERATIONS (U.S GAAP) (U.S dollars in thousands, except per
share data) For the three For the nine months ended months ended
September 30, September 30, (Unaudited) (Unaudited) 2009 2008 2009
2008 U.S. $ U.S. $ U.S. $ U.S. $ Sales 2,490 7,283 6,441 18,018
Cost of sales 1,444 2,794 3,403 8,736 Gross profit 1,046 4,489
3,038 9,282 Operating costs and expenses: Research and development:
Research and development, gross 851 918 2,398 2,856 Less -
royalty-bearing participation - - - 104 Research and development,
net 851 918 2,398 2,752 Sales and marketing 1,186 1,776 3,851 4,951
General and administrative 565 706 1,544 2,162 Total operating
expenses 2,602 3,400 7,793 9,865 Operating income (loss) (1,556)
1,089 (4,755) (583) Financial income (loss), net 12 11 (103) 91 Net
Income (Loss) (1,544) 1,100 (4,858) (492) Basic net Income (Loss)
per ordinary share (0.59) 0.56 (1.87) (0.26) Diluted net Income
(Loss) per ordinary share (0.59) 0.56 (1.87) (0.26) Weighted
average number of ordinary shares, used to compute Basic net Income
(Loss) per ordinary share 2,604,428 1,960,615 2,604,428 1,877,932
Weighted average number of ordinary shares, used to compute Diluted
net Income (Loss) per ordinary share 2,604,428 1,961,231 2,604,428
1,877,932 COMPANY CONTACT: Simona Green VP Finance +972-3-766-4249
DATASOURCE: RiT Technologies Ltd CONTACT: COMPANY CONTACT: Simona
Green, VP Finance, +972-3-766-4249,
Copyright