CUI Global Reports First Quarter 2013 Revenue Of $10,059,360 PR Newswire TUALATIN, Ore., May 6, 2013 TUALATIN, Ore., May 6, 2013 /PRNewswire/ --CUI Global, Inc. (NASDAQ: CUI), a platform company dedicated to the acquisition, development, and commercialization of new, innovative products and technologies, reported results for the first quarter ended March 31, 2013. (Logo: http://photos.prnewswire.com/prnh/20120320/FL72629LOGO ) For the three months ended March 31, 2013, CUI Global produced consolidated total revenues of $10,059,360. The numbers demonstrate that gross revenues for the First Quarter grew 19% year-over-year ($1,589,597), when compared to revenues of $8,469,763 for the same period in FY 2012. In addition, CUI Inc posted first quarter bookings of $11.7 million in new sales orders, which represented a $2.3 million (24%) increase in new sales orders as compared to the same period in 2012. Further, CUI Inc had a sales order back log at March 31, 2013 of $15.7 million, a $5.0 million (47%) increase from the March 31, 2012 sales order back log balance of $10.7 million. Significantly, the company saw its first quarter 2013 year-over-year selling, general, and administrative costs (SG&A) decrease by 6% as a percentage of gross revenues to 41% as compared with 47% during the prior year comparative period. The company experienced a net loss of $0.04 per share (EPS) for the quarter which is a 69% year-over-year improvement. The net loss includes costs associated with our equity raise completed in April 2013, along with SG&A and research and development expenses relative to increased sales efforts and product development related costs for the Vergence®, Novum®, and Solus® product families. The company had $2,518,175 of cash and cash equivalents as of March 31, 2013. "These results are quite encouraging," explained William Clough, CUI Global's president & CEO. "The sequential growth in revenue, the decrease in SG&A as a percentage of gross revenues, and the dramatic increase in new customer sales orders and back log orders demonstrate the tangible results of our joint marketing efforts with our distribution partner, Digi-Key; our new and developing relationship with Future Electronics; and the continuing impact of our focused efforts, through our Area Sales Directors and manufacturer representatives, to increase our OEM business." "Moreover, the nearly 50% increase in sales order back log, year-over-year, ensures us of a robust delivery schedule through the second quarter of 2013." "This is not to mention the significant impact our recent equity raise and acquisition of Orbital-UK will have on our continuing business model and growth curve – all of which should continue to produce positive results in both revenue growth and enhanced shareholder value," Clough concluded. The Company will conduct a conference call and web cast to review the results on Tuesday, May 7, 2013 at 11:00 a.m. ET. CUI Global, Inc. 2013 First Quarter Earnings Conference Call Tuesday, May 7, 2013 at 11:00 a.m. Eastern Dial in number: 877-407-8029 A simultaneous webcast will also be available via: http://www.investorcalendar.com/IC/CEPage.asp?ID=170949 In addition, a replay of the conference call will be archived and available until June 7, 2013 at the following number: 877-660-6853, conference ID: 413712. Condensed Consolidated Balance Sheets March 31, December 31, 2013 2012 (unaudited) Assets: Current Assets: Cash and cash equivalents $ $ 2,518,175 3,039,840 Trade accounts receivable, net of allowance of 3,837,874 4,965,926 $125,000 and $130,000, respectively Inventories, net of allowance of $220,000 and 5,163,530 4,843,905 $250,000, respectively Prepaid expenses and other 1,060,709 378,885 Total current assets 12,580,288 13,228,556 Property and equipment, net 976,565 1,016,219 Other assets: Investment - equity method 260,347 258,244 Other Intangible assets, net 8,550,997 8,618,524 Deposits and other 980 11,360 Notes receivable, net 503,905 501,422 Debt offering costs, net 24,445 42,778 Goodwill, net 13,046,358 13,046,358 Total other assets 22,387,032 22,478,686 Total assets $ $ 35,943,885 36,723,461 Liabilities and stockholders' equity: Current liabilities: Accounts payable $ $ 2,259,871 2,496,881 Line of credit - 459,448 Accrued expenses 1,356,929 1,142,839 Accrued compensation 161,377 186,636 Unearned revenue 494,665 371,541 Total current liabilities 4,272,842 4,657,345 Long term notes payable, related party, net of 7,303,683 7,303,683 current portion due Total long term liabilities 7,303,683 7,303,683 Total liabilities 11,576,525 11,961,028 Commitments and contingencies Stockholders' equity: Preferred stock, par value $0.001; 10,000,000 - - shares authorized Common stock, par value $0.001; 325,000,000 shares authorized; and 10,883,280 shares issued 10,883 10,883 and outstanding at March 31, 2013 and December 31, 2012 Additional paid-in capital 101,035,497 100,947,708 Accumulated deficit (76,633,914) (76,171,822) Accumulated other comprehensive (loss) (45,106) (24,336) Total stockholders' equity 24,367,360 24,762,433 Total liabilities and stockholders' equity $ $ 35,943,885 36,723,461 Condensed Consolidated Statements of Operations (unaudited) For the three months ended March 31, 2013 2012 Revenues: Product Sales $ $ 10,052,246 8,463,806 Revenue from freight 7,114 5,957 Total revenue 10,059,360 8,469,763 Cost of revenues 6,047,605 5,185,179 Gross profit 4,011,755 3,284,584 Operating expenses Selling, general and 4,149,757 4,020,178 administrative Research and development 244,690 178,189 Bad debt (5,000) (10,000) Total operating expenses 4,389,447 4,188,367 (Loss) from operations (377,692) (903,783) Other income (expense) Other income 61,238 25,146 Other expense (4,945) (215) Earnings from equity investment 2,103 20,577 Amortization of debt offering (18,333) (18,333) costs Interest expense (114,474) (187,198) Total other income (expense), net (74,411) (160,023) (Loss) before taxes (452,103) (1,063,806) Provision for taxes 9,989 7,956 Consolidated Net (loss) $ $ (462,092) (1,071,762) Basic and diluted (loss) per $ $ common share (0.04) (0.13) Basic and diluted weighted average common and common equivalents 10,883,280 8,439,629 shares outstanding Condensed Consolidated Statements of Cash Flows (unaudited) For the three months ended March 31, 2013 2012 CASH FLOWS FROM OPERATING ACTIVITIES: Net (loss) $ $ (462,092) (1,071,762) Adjustments to reconcile net (loss) to net cash provided by operating activities: Stock, options and notes issued for 87,789 367,884 compensation and services Non-cash interest expense, including 18,333 18,333 amortization of debt offering costs Earnings from Equity Investment (2,103) (20,577) Bad debt expense (5,000) (10,000) Amortization of technology rights 6,625 6,628 Amortization of patent costs 166 166 Amortization of website development 5,966 1,724 Amortization of intangible, trademark and 54,770 0 trade name V-Infinity Inventory reserve (30,000) (15,000) Depreciation 143,609 132,521 (Increase) decrease in assets: Trade accounts receivable 1,133,052 246,641 Inventory (289,625) 56,880 Prepaid expenses and other current assets (684,307) 174,073 Deposits and other assets 10,380 44,212 Increase (decrease) in liabilities: Accounts payable (237,010) 321,190 Accrued expenses 214,090 (164,329) Accrued compensation (25,259) 83,070 Unearned revenue 123,124 193,009 NET CASH PROVIDED BY OPERATING ACTIVITIES 62,508 364,663 CASH FLOWS FROM INVESTING ACTIVITIES: Proceeds from Notes receivable - 15,831 Purchase of property and equipment (103,955) (148,037) NET CASH (USED IN) INVESTING ACTIVITIES (103,955) (132,206) CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds from (payments to) demand notes (459,448) (1,528,900) payable, net of debt offering costs Payments on notes and loans payable - (4,000,000) Payments on notes and loans payable, - (3,000,000) related party Payments on convertible notes payable, - (35,000) related party Proceeds from sales of common stock, and exercise of warrants and options, net of - 12,605,515 offering costs NET CASH (USED IN) PROVIDED BY FINANCING (459,448) 4,041,615 ACTIVITIES EFFECT OF EXCHANGE RATE CHANGES ON CASH (20,770) (26,373) Cash and cash equivalents at beginning of 3,039,840 176,775 year Cash and cash equivalents at end of 2,518,175 4,424,474 period NET (DECREASE) INCREASE IN CASH AND CASH $ $ EQUIVALENTS (521,665) 4,247,699 About CUI Global, Inc. Delivering Innovative Technologies for an Interconnected World . . . . . CUI Global is a publicly traded platform company dedicated to maximizing shareholder value through the acquisition and development of innovative companies and technologies. From its Vergence GasPT2 platform targeting the energy sector, to its subsidiary CUI Inc's industry leading digital power platform targeting the networking and telecom industries, CUI Global has built a diversified portfolio of industry leading technologies that touch many markets. As a publicly traded company, shareholders are able to participate in the opportunities, revenues, and profits generated by the products, technologies, and market channels of CUI Global and its subsidiaries. CUI Global prides itself on operating with the same level of integrity, respect, and philanthropic dedication that was put in place by CUI Inc's founder more than 20 years ago. It is these values that allow the company to make a difference in the lives of their customers, their community, their employees, and their investors. Recently, a move was made to merge and streamline resources with its subsidiary CUI Inc in order to create a unified, international brand that now positions CUI Global for further strategic expansion. About CUI Inc CUI Inc is a technology company dedicated to the development, commercialization, and distribution of new, innovative electro-mechanical products. Over the past 20 years, CUI has become a recognized name in electronic components worldwide in the areas of power, interconnect, motion control, and sound. CUI's solid customer commitment and honest corporate message are a hallmark in the industry. CUI is a wholly owned subsidiary of CUI Global, Inc. For more information, please visit www.cuiglobal.com and www.cui.com. About Orbital-UK Orbital-UK is the largest natural gas systems integrator in the U.K. For over 25 years, Orbital has developed its portfolio of products, services and resources to offer a diverse range of personalized gas engineering solutions to the gas utilities, power generation, emissions, manufacturing and automotive industries. Orbital-UK's internationally recognized expertise in the natural gas industry, including bringing together the patented VE-technologywith the ground-breaking Vergence® GasPT2 device, offers natural gas operators and users a comprehensive engineering array for the next generation of energy metering systems. For more information, please visit www.orbital-uk.com. Important Cautions Regarding Forward Looking Statements This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such statements are subject to risks and uncertainties that could cause actual results to vary materially from those projected in the forward-looking statements. The company may experience significant fluctuations in future operating results due to a number of economic, competitive, and other factors, including, among other things, our reliance on third-party manufacturers and suppliers, government agency budgetary and political constraints, new or increased competition, changes in market demand, and the performance or reliability of our products. These factors and others could cause operating results to vary significantly from those in prior periods, and those projected in forward-looking statements. Additional information with respect to these and other factors, which could materially affect the company and its operations, are included in certain forms the company has filed with the Securities and Exchange Commission. SOURCE CUI Global, Inc. Website: http://www.cuiglobal.com Contact: Company Contact: CUI Global, Inc.: Media Contact: Maggie Lefor, Main: 503-612-2300, email@example.com; or Investor Relations: CUI Global, Inc.: IR Coordinator: Nicholas J. Clough, Main: 503-612-2317, Cell: 971-344-0111, firstname.lastname@example.org; or Outside IR contact: BPC, Financial Marketing, John Baldissera, 800-368-1217
CUI Global Reports First Quarter 2013 Revenue Of $10,059,360
Press spacebar to pause and continue. Press esc to stop.