Results show improvement in working capital and cash flow
VANCOUVER, Canada,
May 14, 2002 / Bingo.com, Inc. (OTCBB: BIGR), operator of the Internet's pre-eminent
bingo portal, today announced its financial results for the three months ended
March 31, 2002. All amounts are presented in United States dollars and in
accordance with United States Generally Accepted Accounting Principles.
Bingo.com, Inc. (the “Company'') ended the first quarter of 2002 with
total revenue of $237,000, a 59% decrease over revenue of $583,000 for the
same period in the previous year. The majority of the Company's revenue was
earned from the sale of advertising on its Web portal, www.bingo.com, which
experienced strong traffic during the quarter.
Operating costs before interest, tax, depreciation and amortization expenses
dropped significantly during the three months ended March 31, 2002 to $153,000,
from $706,000 for the same period in the prior year, a decline of 78%. The
significant decrease in operating costs compared to the prior year demonstrates
the effectiveness of the Company's efforts to reduce operating expenses in
the latter half of fiscal 2001 and in 2002. Interest, depreciation and amortization
totaled $195,000 for the quarter ended March 31, 2002, compared to $174,000
for the quarter ended March 31, 2001.
The Company ended the first quarter of 2002 with a net loss of $268,000, or
$0.02 per share, a per share improvement of 75% compared to a net loss of
$762,000 or $0.08 per share for the same period in the prior fiscal year.
The Company also achieved an improvement in its working capital from December
31, 2001, showing a working capital deficiency of $1,046,000 at March 31,
2002, compared to a deficiency of $1,055,000 at December 31, 2001.
I am pleased to see the positive results that our cost control measures have achieved,
remarked Tarrnie Williams, the Company's president and CEO. �The continued improvement in
the net loss per share compared to last year is very satisfying. We intend to continue our
efforts to improve working capital in 2002 and to work toward increasing revenue and achieving
profitability.