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News Release
SOLIGEN REPORTS FISCAL 1996 YEAR END RESULTS
-- Revenues increased by 70% as a result of commercializing Parts Now
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(All figures are in U.S. dollars unless otherwise noted)
Northridge, CA, June 14, 1996 -- Soligen Technologies, Inc. ("Soligen" or the "Company") today reported operating results for the fiscal year ended March 31, 1996. Revenues for fiscal 1996 increased to $2,815,000 from $1,652,000 in fiscal 1995. This reflects an increase of seventy percent (70%) or $1,163,000.
"Fiscal 1996 results reflect our continuing transition from a development stage company to a manufacturing and revenue generating one," said Yehoram Uziel, Soligen's President & CEO. "This has been the first full year of sales at our Parts Now's DSPC center which we established in February of 1995. This past year, we demonstrated our unique abilities in the rapid manufacturing of functional metal parts. Parts Now, our exclusive 'one stop shop' model for manufacturing in the era of electronic commerce, demonstrated a seamless transition from Computer Aided Design (CAD) to serial production. Parts Now repeatedly produced first articles parts, production tooling and production quantity casting that were all made directly from the customer CAD file. Fiscal 1996 brought our first significant string of Fortune 500 customers, and their satisfaction has already come in the form of repeat business."
Significantly, Soligen achieved the increased revenues while decreasing its operating loss to $1,466,000, or $0.053 per share for fiscal 1996, as compared to an operating loss of $1,971,000, or $0.09 per share in fiscal 1995. The Company made a decision to write-off goodwill of $657,000 associated with the purchase of substantially all of the assets of A-RPM in 1994. In addition, the Company wrote-off costs of $41,000 applicable to the development of its World Wide Web site. As a result, Soligen reported a net loss of $2,172,000 or $0.08 per share for the year ended March 31, 1996, compared to $1,992,000 or $0.09 per share in 1995.
During the year, research and development costs were lower as a percentage of sales, and administrative costs were reduced. Also, in fiscal 1996 the Company invested in the sales and marketing of its products, almost doubling the expense from $257,000 to $507,000 in 1996. "We attended a number of important trade shows, advertised in major trade publications and began building our sales force. Through this effort we have increased the visibility of our Company and technology within our customer base," said Mr. Uziel. "This effort will continue in the current year."
DSPC, is a proprietary fabrication process for metal parts, that produces ceramic molds for metal casting directly from a CAD file. By this method, Soligen is able to produce a first article metal part bypassing the traditional need for tooling. Additionally, it produces production tooling for larger runs of metal castings from the same CAD file as the approved part. Soligen has combined its DSPC technology with conventional casting methods and Computerized Numerical Control (CNC) machining practices. By combining these three production elements, Soligen has created Parts Now, the first "one-stop-shop" for functional metal parts that are made directly from a CAD file, and became a single source for out-sourcing production of metal parts ready for assembly at substantial savings of both costs and time to market.
| Year Ended | ||
| March 31, 1996 | March 31, 1995 | |
| Revenues | $2,815,000 | $1,652,000 |
| Profit (loss) From Operations | $(1,466,000) | $(1,971,000) |
| Operating Profit (loss) per Share | $(0.05) | $(0.09) |
| Interest Income (Expense) | $(3,000) | $(19,000) |
| Write off of goodwill and Web Site | $(698,000) | ---- |
| Net Profit (loss) | $(2,172,000) | $(1,992,000) |
| Net Profit (loss) per share | $(0.08) | $(0.09) |
| Average Number of Shares Outstanding | 26,487,713 | 21,352,497 |
| Contact: | Yehoram Uziel, Soligen Technologies, Inc. | (818) 718-1221 |
| Donna Shattuck | (818) 718-1221 |