Net loss and net loss per share applicable to common stock (basic and
diluted) for the three months ended
Cost of revenues for the three months ended
Research and development expense for the three months ended
General and administrative expenses for the three months ended
Interest expense for the three months ended
Liquidity and Capital Resources
As of
The Company's operations currently do not generate positive cash flow.
The Company has taken a number of steps to improve cash flow by securing
minimum monthly cash receipts from existing customers and new licensees and by
reducing operating costs in the areas of payroll, rent, professional fees and
consultants. On
Management's immediate priority is to address the Company's short and
long-term liquidity issues. The Company anticipates that, based on its
current level of revenues and costs and without any proceeds from an equity
financing or strategic transaction, its existing resources will be adequate to
fund its capital and operating requirements only through
Sales, Marketing and Development:
The Company continues to market the SportXction(R) Sports Wagering System in those jurisdictions where sports wagering is legal. The Company is in discussions with several domestic and foreign companies in the gaming industry and it is hopeful that it will be able to add additional software licensees and bookmaking partners to the UK service it provides through its wholly owned subsidiary, Global Interactive Gaming Ltd. (GIG).
During the three months ended
About Interactive Systems Worldwide, Inc.
Interactive Systems Worldwide, Inc. (OTC Bulletin Board: ISWI.OB) has designed, developed and patented a proprietary software system, the SportXction System, which enables play-by-play wagering during the course of live sporting events. ISWI, through its wholly owned subsidiary Global Interactive Gaming Ltd. (GIG), operates the SportXction(R) System in the U.K., in conjunction with established media and traditional wagering partners. The system can accept wagers from the Internet, handheld wireless devices, interactive televisions, and standalone kiosks. The system can be used for any live broadcast event.
Contacts: Interactive Systems Worldwide, Inc. Bernard Albanese Chief Executive Officer Phone: 973-256-8181
FORWARD-LOOKING STATEMENTS: The forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those reflected in the forward-looking statements, including, but not limited to, whether the growth in wagering volume will continue, whether the Company will be able to sign additional license or partner agreements, whether the purchase order received from OLG will result in the signing of additional agreements, how long the Company's cash resources will be sufficient to satisfy the Company's needs, whether the Company will be successful in solving its liquidity issues, and whether the Company will have to cease operations. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's analysis only as of the date hereof. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date thereof. Readers should carefully review the risks described in other documents the Company files from time to time with the Securities and Exchange Commission, including Annual Reports, Quarterly Reports and Current Reports on Form 8-K.
-TABLES FOLLOW- Interactive Systems Worldwide, Inc. and Subsidiaries Consolidated Statements of Operations Unaudited (Amounts in thousands except share and per share data) Three Months Ended March 31, 2008 2007 Revenues $259 $69 Costs and expenses: Cost of revenues 205 141 Research and development expense 6 133 General and administrative expense 360 608 571 882 Operating loss (312) (813) Interest expense (income), net 8 (28) Net loss (320) (695) Preferred stock dividend (62) (58) Net loss applicable to common shareholders $(382) $(753) Net loss per share applicable to common shareholders - basic and diluted $(0.03) $(0.06) Weighted average basic and diluted common shares outstanding 12,265,715 12,201,605 Interactive Systems Worldwide, Inc. Summary Consolidated Balance Sheet Data (All amounts in thousands) March 31, September 30, 2008 2007 Cash and short term investments (including marketable securities) $124 $284 Total current assets $336 $473 Total assets $701 $901 Current liabilities $1,263 $835 Total liabilities $982 $835 Stockholders' (deficit) equity $(562) $66
SOURCE Interactive Systems Worldwide, Inc.