Goremote Internet Communications (NASDAQ:GRIC)
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GoRemote Announces Preliminary Financial Results for Second
Quarter of Fiscal 2005
Company Expects to Report Narrowing of Loss to $0.01 Per Share and Sequential
Quarterly Broadband Revenue Growth of More Than Ten Percent
MILPITAS, Calif., May 4 /PRNewswire-FirstCall/ -- GoRemote Internet
Communications, Inc. (NASDAQ:GRIC), a leading provider of secure managed remote
access solutions, announced that it expects to report a narrowing of its net
loss to $0.01 per share for the second quarter of fiscal 2005, flat to modest
quarterly revenue growth, and deferred revenue growth of more than $1 million.
GoRemote had $19.7 million in cash and cash equivalents on April 30, 2005,
representing an increase of approximately $400,000 over the prior quarter.
GoRemote also indicated that it expects to report that revenue derived from its
broadband solutions in the second quarter of fiscal 2005 was approximately $5.2
million, representing more than 10 percent growth over the prior quarter, and
more than 50 percent growth over the second quarter of 2004. Broadband revenue
during the past five fiscal quarters was as follows: $2.2 million (Q1 2004,
ending January 31); $3.4 million (Q2 2004, ending April 30); $4.1 million (Q3
2004, ending July 31); $4.3 million (Q4 2004, ending October 31); and $4.7
million (Q1 2005, ending January 31).
During the second quarter, no single customer accounted for 10 percent or more
of GoRemote's revenue. Dialup traffic from Fiberlink, both a GoRemote customer
and competitor, accounted for 12 percent of GoRemote's revenue during the first
quarter of fiscal 2005. Fiberlink recently established direct access in a
small number of countries that had earlier represented a majority of its dialup
traffic on the GoRemote network. Traffic from this group of countries
represented approximately 58 percent of GoRemote's revenue from Fiberlink in
the first fiscal quarter.
"Heading into the second half of fiscal year 2005, we believe that we are
making progress in our quest to reshape ourselves as the leading provider of
secure managed broadband network solutions," said Tom Thimot, president and CEO
of GoRemote. "Our sequential growth in broadband revenue over five quarters,
combined with the fact that broadband in the second quarter represented
approximately 43 to 44 percent of our revenue, is evidence that we are
successfully transitioning away from dependence on a base of declining legacy
dialup revenue."
GoRemote indicated that it intends to announce its final financial results for
the second quarter on June 7, 2005.
About GoRemote
GoRemote Internet Communications, Inc. is a leading provider of secure managed
remote access solutions, enabling customers to achieve best-of-breed network
security, while reducing capital and operating expenses associated with their
mobile and remote workforces. GoRemote provides a comprehensive portfolio of
secure managed broadband network solutions for mobile office, teleworker/home
offices, and branch office/retail environments. The GoRemote Global Network(TM)
includes more than 45,000 wired and wireless access points in more than 150
countries. More information about GoRemote is available at
http://www.goremote.com/ or by calling +1.408.955.1920.
GoRemote, GoRemote Branch Office, GoRemote Express, GoRemote Global Network,
GoRemote Internet Communications, GoRemote Mobile Office, GoRemote Revolution,
GoRemote Teleworker, GoRemote Total Security Protection, GoRemote Universal
Remote Control and "For the everywhere enterprise" are trademarks of GoRemote
Internet Communications, Inc. All other trademarks mentioned in this document
are the property of their respective owners.
This news release, including the statement by Tom Thimot, may include
"forward-looking" statements, including projections about the business of
GoRemote Internet Communications, Inc., within the meaning of Section 27A of
the Securities Act of 1933 and Section 21E of the Securities Exchange Act of
1934. These forward-looking statements are based on information available to us
at the time of the release and we assume no obligation to update any such
forward-looking statements. The forward-looking statements in this release are
not guarantees of future performance and actual results could differ materially
from our current expectations as a result of numerous factors, including the
risks and uncertainties associated with our business that are detailed in our
most recent reports on Form 10-K and Form 10-Q on file with the SEC and
available through http://www.sec.gov/.
DATASOURCE: GoRemote Internet Communications, Inc.
CONTACT: Financial: John Riley, +1-408-965-1377 or
, or Media: Bethany Sebra, +1-408-965-1127 or
, both of GoRemote Internet Communications
Web site: http://www.goremote.com/