Metalink Reports First Quarter 2011 Results

GEALYA, Israel, September 15, 2011 /PRNewswire/ --

Metalink Ltd. (NASDAQ: MTLK), today announced its unaudited financial results for the first quarter of 2011 ended March 31, 2011.

FINANCIAL RESULTS

Financial Highlights for the First Quarter of 2011: Revenues for the first quarter of 2011 were $99 thousands compared to $50 thousands for the first quarter of 2010; the revenues are only from Metalink's continuing operation, the legacy DSL sales. Net profit for the period from continuing operation was $28 thousands, or $0.01 per share, compared to net loss of $(484) thousands, or $(0.18) per share, for the first quarter of 2010.

Cash Status: Metalink's cash, cash equivalents, as of March 31, 2011 were $4.58 million.

ABOUT METALINK

Metalink shares trade on Nasdaq under the symbol "MTLK". For more information, please visit our website at http://www.MTLK.com.

###

SAFE HARBOR STATEMENT

This press release contains "forward looking statements" within the meaning of the United States securities laws. Words such as "aim," "expect," "estimate," "project," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believe," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. Because such statements deal with future events, they are subject to various risks and uncertainties that could cause actual results to differ materially from those in the forward looking statements. Factors that could cause or contribute to such differences include, but are not limited to: absence of significant operations following the Lantiq transaction; uncertainty as to our future business model and our ability to identify and evaluate suitable business opportunities; and our U.S. shareholders may suffer adverse tax consequences if we will be classified as a passive foreign investment company. Additional factors that could cause actual results to differ materially from these forward-looking statements are set forth from time to time in Metalink's filings with the Securities and Exchange Commission, including Metalink's Annual Report in Form F-20. Readers are cautioned not to place undue reliance on forward-looking statements. Except as required by applicable law, the Company undertakes no obligation to republish or revise forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrences of unanticipated events. The Company cannot guarantee future results, events, and levels of activity, performance, or achievements.

   
                                  METALINK LTD.
                             CONSOLIDATED BALANCE SHEETS                                                      March 31,    December 31,
                                                 2011          2010
                                               (Unaudited)
                                           (in thousands except share data)
    ASSETS
    Current assets
    Cash and cash equivalents                $ 4,584          $ 4,357
    Trade accounts receivable                      -               92
    Other receivables                              -              266
    Government institutions                       64               66
    Prepaid expenses                              71                8
    Advance to supplier                          175              175
    Inventories                                  140               37
    Total current assets                       5,035            5,001
 
    Property and equipment, net                   74               79
 
    Total assets                             $ 5,109          $ 5,080
 
    LIABILITIES AND SHAREHOLDERS' EQUITY
    Current liabilities
    Trade accounts payable                     $ 236            $ 102
    Other payables and current liabilities       439              576
    Total current liabilities                    675              678
 
    Accrued severance pay                        279              275
 
    Shareholders' equity
    Ordinary shares of NIS 1.0 par value
    (Authorized - 5,000,000 shares, issued
    and outstanding - 2,780,707 shares as of
    March 31, 2011 and December 31, 2010)
                                                 790              790
    Additional paid-in capital               158,111          158,111
    Accumulated deficit                     (144,861)        (144,889)
                                              14,040           14,012
 
    Treasury stock, at cost; 89,850 as of
    March 31, 2011 and December 31, 2010      (9,885)          (9,885)
    Total shareholders' equity                 4,155            4,127
 
    Total liabilities and shareholders'
    equity                                   $ 5,109          $ 5,080

 

   
                                METALINK LTD.
                    CONSOLIDATED STATEMENTS OF OPERATIONS
                                               Three months ended March 31,
                                               2011             2010
                                           (Unaudited)      (Unaudited)
                                                  (in thousands,
                                          except share and per share data)

    
    Revenues                                     $ 99           $ 50

    Cost of revenues                                5              -
 
    Gross profit                                   94             50
 
    General and administrative                     76            434
 
    Operating profit (loss)                        18           (384)
 
    Financial income (expenses), net               10           (100)
 
    Net profit (loss) from continuing operation  $ 28         $ (484)
    Discontinued operation
    Operating loss from discontinued operation      -           (218)
    Capital gain from sale of discontinued
    operation                                       -          6,907
    Net profit (loss) from Discontinued
    operation
                                                 $  -        $ 6,689
    Net profit (loss)                            $ 28        $ 6,205
 
    Per share data-
 
    Basic and Diluted earnings (loss) from
    continuing operations                      $ 0.01        $ (0.18)
    Basic and Diluted earnings from discontinued
    operations
                                                 $ -          $ 2.49
 
    Basic and Diluted earnings per share       $ 0.01         $ 2.31
    Shares used in computing earnings (loss) per
    ordinary share:
    Basic and Diluted                       2,780,707      2,690,373
 

Neta Eshed

General Counsel

Metalink Ltd.

Tel: [phone]

Fax: [phone]

[e-mail]

SOURCE Metalink Ltd

Copyright 2011 PR Newswire