Zone4Play reports results
Third Quarter 2007 Highlights
- Total revenues for the first nine months of 2007 were $698,198, an increase of 16% from $602,673 in the same period of 2006.
- Revenues for the third quarter of 2007 were $214,328, compared to $212,714 in the same period of 2006.
- Non GAAP net loss from continuing operations for the third quarter of 2007 was $346,526, compared to $1,023,935 in the third quarter of 2006, mainly due to implementing a turnaround process and cost cutting plan, expected to be fully implemented in Q4 2007. GAAP net loss from continuing operations for the third quarter of 2007 was $905,667, compared to $1,407,788 in the third quarter of 2006 ]
- Non GAAP net loss from continuing operations for the first nine months of 2007 was $1,515,662, compared to $2,940,526 in the same period of 2006. GAAP net loss from continuing operations for the first nine months of 2007 was $2,484,320, compared to $5,031,734 in the same period of 2006
- Zone4Play and Two Way Media Ltd formed a 50/50 joint venture company to expand both companies' penetration into the UK gambling and entertainment market.
- As part of the restructuring process, significant changes were made in the Company's management and board of directors.
Use of Non-GAAP Measures
In addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, Zone4Play uses non-GAAP measures of net income (loss), which are adjustments from results based on GAAP to exclude non-cash stock-based compensation expenses in accordance with SFAS 123(R), depreciation and amortization of intangible assets and allowance for doubtful accounts. Zone4Play's management believes that these non-GAAP financial measures provide meaningful supplemental information regarding the Company's performance that enhances management's and investors' ability to evaluate the Company's revenue and net income and to compare it with historical revenue and net income. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with GAAP. Management uses both GAAP and non-GAAP measures when evaluating the business internally and therefore felt it important to make these non-GAAP adjustments available to investors.