ROBO ROBO Global Robotics and Automation Index

RoboGroup Announces First-Quarter 2005 Financial Results ROSH HA'AYIN, Israel, May 19 /PRNewswire-FirstCall/ -- RoboGroup T.E.K. Ltd. (NASDAQ:ROBO) today reported first-quarter 2005 financial results. Revenues for the first quarter totaled NIS 10.8 million (US$2.5 million) compared with NIS 14.4 million (US$3.3 million) for the comparable quarter in 2004. Gross profit for the first quarter reached NIS 4.2 million (US$1.0 million) compared with NIS 6.1 million (US$1.4 million) in the first quarter of 2004. Operating expenses for the first quarter decreased to NIS 6.6 million (US$1.5 million) from NIS 8.6 million (US$2.0 million) in the first quarter of 2004. RoboGroups' first quarter net loss was reduced to NIS 2.6 million (US$0.6 million) from a net loss of NIS 2.9 million (US$0.7 million) in the first quarter of 2004. Rafael Aravot, Chief Executive Officer of RoboGroup, commented: "Although our sales figures in the first quarter were somewhat disappointing we did our best to minimize our loss mainly by controlling our expenses. As is evident, our operating expenses this quarter are substantially lower than the comparable quarter due to the cost-cutting plan we implemented in the educational sector in mid-2004. Looking forward, we plan to continue with our efforts to increase sales, while focusing our attention on operating efficiency to ensure that we maximize output while controlling our costs ". A complete Directors' Report for the first quarter of 2005 is available on the Company's Website at http://www.robo-group.com/ RoboGroup and its subsidiaries are engaged in two major fields of activity. The first is the field of education devoted to RoboGroup's training products and e-learning systems. RoboGroup is a world leader in engineering and manufacturing technology training systems. The Company is market driven, deriving its growth from technological leadership, strong partnerships and management expertise. The other field of activity is the development, manufacturing and marketing of motion control products for the industrial market, which is performed through the Company's subsidiary, Yaskawa Eshed Technologies (YET). For more information, visit http://www.robo-group.com/ To the extent that this press release discusses expectations about market conditions or about market acceptance and future sales of the Company's products, or otherwise makes statements about the future, such statements are forward-looking and are subject to a number of risks and uncertainties that could cause results to differ materially from the statements made. These factors include the rapidly changing technology and evolving standards in the industries in which the Company and its subsidiaries operate, risks associated with the acceptance of new products by individual customers and by the market place and other factors discussed in the business description and management discussion and analysis sections of the Company's Annual Report on Form 20-F. Company Contact: Michal Afuta RoboGroup +972-3-900-4112 Agency Contact: Ayelet Shiloni Integrated IR +1-866-447-8633 RoboGroup T.E.K. Ltd. Balance Sheets NIS in Thousands December, March, 31 31 2005 2005 2004 2004 US$ (K) NIS (K) NIS (K) NIS (K) Unaudited Unaudited Unaudited Audited Convenience translation to US Reported dollars amounts Reported amounts ASSETS Current assets Cash and cash equivalents 1,386 6,044 12,091 6,957 Short-term investments 6 28 - 99 Trade receivables 2,637 11,499 10,480 15,282 Other receivables and debit balances 475 2,073 3,622 2,093 Inventories 2,510 10,946 13,301 9,372 7,014 30,590 39,494 33,803 Long-term investments Investments in investee and other companies - - 15 - Funds in respect of employee rights upon retirement, net 162 706 236 563 162 706 251 563 Fixed assets 8,277 36,094 38,115 36,548 Other assets and deferred expenses 231 1,009 1,451 1,036 15,684 68,399 79,311 71,950 RoboGroup T.E.K. Ltd. Balance Sheets NIS in Thousands December, March, 31 31 2005 2005 2004 2004 US$ (K) NIS (K) NIS (K) NIS (K) Unaudited Unaudited Unaudited Audited Convenience translation to US Reported dollars amounts Reported amounts LIABILITIES Current liabilities Credit from banks 3,654 15,936 15,302 15,228 Trade payables 1,210 5,276 6,298 5,853 Other payables and credit balances 2,295 10,008 11,074 10,333 7,159 31,220 32,674 31,414 Long-term liabilities Loans from banks 3,746 16,335 18,727 17,100 Provision for deferred taxes 24 106 - 163 Liability for termination of employee/employer relationship, net 37 163 204 139 3,807 16,604 18,931 17,402 Shareholders' equity Share capital 2,614 11,400 11,399 11,400 Capital reserves and premium on shares 10,140 44,219 44,207 44,179 Accumulated deficit (7,855) (34,255) (26,897) (31,656) Treasury stock (181) (789) (1,003) (789) 4,718 20,575 27,706 23,134 15,684 68,399 79,311 71,950 RoboGroup T.E.K. Ltd. Statement of Operations NIS in Thousands Year For the three months ended ended December, March 31 31 2005 2005 2004 2004 US$ (K) NIS (K) NIS (K) NIS (K) Unaudited Unaudited Unaudited Audited Convenience translation to US Reported dollars amounts Reported amounts Revenues 2,480 10,815 14,365 61,734 Cost of revenues 1,524 6,648 8,231 35,843 Gross profit 956 4,167 6,134 25,891 Operating expenses Research and development expenses, net 388 1,690 2,302 7,619 Marketing and selling expenses 674 2,941 3,485 13,204 Administrative and general expenses 444 1,938 2,792 10,042 1,506 6,569 8,579 30,865 Operating loss (550) (2,402) (2,445) (4,974) Financial expenses, net (27) (116) (765) (2,111) Other income, net 7 31 282 809 Loss before taxes on income (570) (2,487) (2,928) (6,276) Income tax expenses 26 112 - 1,411 Net loss (596) (2,599) (2,928) (7,687) Loss per share ("EPS") (0.05) (0.24) (0.27) (0.71) Weighted average number of Shares used in computation of EPS (in thousands) 10,851 10,851 10,744 10,757 DATASOURCE: RoboGroup t.e.k. Ltd CONTACT: Company Contact: Michal Afuta, RoboGroup, , +972-3-900-4112; Agency Contact: Ayelet Shiloni, Integrated IR, , +1-866-447-8633

Copyright