Science & Technology
Science and Technology
Science and Technology
Wed, May 19, 2010
Tue, May 18, 2010 
RONKONKOMA, NY--(Marketwire - May 18, 2010) - Sentry Technology Corporation (
Revenues for the first quarter of 2010 were $2,226,000 compared to revenues of $2,513,000 reported in the first quarter of the prior year. The operating loss net of foreign exchange was $144,000, or $(0.00) per share, in the first quarter of 2010 as compared to a net operating loss of $232,000 or $(0.00) per share, in the first quarter of 2009.
"We have been successful in implementing expense reductions while continuing to develop new products," said Peter L. Murdoch, President and CEO of Sentry Technology Corporation. "During the first quarter we designed an unlocking device for DVDs as an add-on feature to our QuickCheck™ library self-service system. The first units were installed in one of America's largest municipal libraries. Our SmartTrack™ traveling camera systems are beginning to be shipped under an OEM agreement with one of the world's largest video systems integrators. Orders are anticipated to increase in the coming quarters as technical and sales training is completed at the customer's many European offices. Recently, two shareholders loaned the company a total of $450,000 dollars and management negotiated to postpone all non-supplier debt until June 30, 2011."
Sentry Technology Corporation designs, manufactures, sells and installs a complete line of Closed Circuit Television (CCTV) solutions, Electro-Magnetic (EM) and RFID based Library Management systems as well as Radio Frequency (RF) and Electro-Magnetic (EM) EAS systems. Our CCTV product line features SentryVision®, SmartTrack™, a proprietary, patented traveling Surveillance System. Products are used by libraries to secure inventory and improve operating efficiency, by retailers to deter shoplifting and internal theft and by industrial and institutional customers to protect assets and people. More information can be found at [ www.sentrytechnology.com ].
This press release may include information that could constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. Any such forward-looking statements may involve risk and uncertainties that could cause actual results to differ materially from any future results encompassed within the forward-looking statements. Factors that could cause or contribute to such differences include those matters disclosed in the Company's Securities and Exchange Commission filings.
SENTRY TECHNOLOGY CORPORATION CONSOLIDATED BALANCE SHEETS (In thousands) March 31, December 31, 2010 2009 ------------- ------------ ASSETS CURRENT ASSETS Cash and cash equivalents $ 92 $ 315 Short-term investments 200 193 Accounts receivable, less allowance for doubtful accounts of $161 in 2010 and $178 in 2009 1,204 1,109 Inventory, net 2,111 2,062 Prepaid expenses and other current assets 585 723 ------------- ------------ Total current assets 4,192 4,402 PROPERTY AND EQUIPMENT, net 498 487 OTHER ASSETS 207 213 ------------- ------------ TOTAL ASSETS $ 4,897 $ 5,102 ============= ============ LIABILITIES AND STOCKHOLDERS' DEFICIT CURRENT LIABILITIES Demand loan and revolving line of credit $ 3,974 $ 3,831 Accounts payable 1,177 902 Accrued liabilities 887 1,038 Deferred income 149 197 Convertible debenture 2,197 2,153 ------------- ------------ Total current liabilities 8,384 8,121 Deferred tax liabilities 79 76 ------------- ------------ Total liabilities 8,463 8,197 STOCKHOLDERS' DEFICIT Common stock 121 121 Additional paid-in capital 50,747 50,742 Accumulated deficit (55,838) (55,378) Accumulated other comprehensive loss (152) (86) ------------- ------------ Total Sentry Technology Corporation stockholders' deficit (5,122) (4,601) Noncontrolling interest in subsidiary 1,556 1,506 ------------- ------------ Total deficit (3,566) (3,095) ------------- ------------ TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT $ 4,897 $ 5,102 ============= ============ SENTRY TECHNOLOGY CORPORATION CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except per share data) Three Months Ended March 31, ----------------------- 2010 2009 ----------- ---------- (Unaudited) REVENUES: Sales $ 1,970 $ 2,184 Service, installation and maintenance revenues 256 329 ----------- ---------- 2,226 2,513 COST OF SALES AND EXPENSES: Cost of sales 1,101 1,206 Customer service expenses 258 426 Selling, general and administrative expenses 868 993 Research and development 143 120 Foreign exchange (loss) gain 50 (19) ----------- ---------- 2,420 2,726 ----------- ---------- LOSS FROM OPERATIONS (194) (213) INTEREST EXPENSE, net 126 120 NON-CASH AMORTIZATION COSTS RELATED TO FINANCING 132 125 ----------- ---------- LOSS BEFORE INCOME TAXES AND NONCONTROLLING INTEREST (452) (458) INCOME TAX EXPENSE 4 15 ----------- ---------- NET LOSS (456) (473) LESS: NET INCOME ATTRIBUTABLE TO THE NONCONTROLLING INTEREST 4 13 ----------- ---------- NET LOSS ATTRIBUTABLE TO SENTRY TECHNOLOGY CORPORATION $ (460) $ (486) =========== ========== LOSS PER SHARE Basic and diluted $ (0.00) $ (0.00) =========== ========== WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING Basic and diluted 120,744 120,744 =========== ==========
