CellPoint Inc. Reports Preliminary Quarterly Results

CellPoint Inc. Reports Preliminary Quarterly Results Revenues Surge as Industry Growth Takes Off London, April 30 - CellPoint Inc. (Nasdaq: CLPT) today announced the Company's unaudited results for the fiscal third quarter ended March 31, 2001. Peter Henricsson, Chairman and Chief Executive Officer of CellPoint Inc. reported Q3 revenues of $2,463,294 compared to revenues of $265,511 in the quarter ended March 31, 2000 and $946,886 in fiscal Q2. Revenues grew 2.5 times faster than operating expenses and increased 828% over the same time last year and 160% over the previous quarter. During the quarter, the Company focused on keeping operating expenses under control; this together with the increased sales resulted in an improvement in EBITDA to -$3,108,448, with the average burn-rate down to just over $1 million per month. Current assets excluding other receivables and inventory were $7.5m compared to $10.4m at the end of Q2. The Company has grown to 150 staff from 66 a year ago. Results for the nine-month period ending March 31, 2001 report revenues of $4,388,301 compared to $619,274 for the period ending March 31, 2000, an increase of 609%. For the nine-month period, EBITDA was -$8,703,881. Selling, general and administrative expenses were $11,063,744 for the nine-month period compared to $2,580,902 in 2000. The Company incurred a Net loss of $20,026,376 which included depreciation and amortization expenses of $9,593,495. This compares to a Net loss of $6,511,820 for the equivalent period ending March 31, 2000. "We are very pleased to announce this strong progress, especially considering the difficult backdrop in the Software and Telecommunications marketplaces," says Henricsson. "We are seeing a marked increase in demand from the GSM operators. Delays in 3G deployment are contrary to what might be expected, actually working to our advantage. The current climate makes it even more important for the operators to introduce non-voice services to leverage their investments in existing networks - we are proving that network-wide location services are ready now." Henricsson concludes, "The undoubted highlight of this quarter is our installation with E-Plus for the world's first commercial, network-based location offering; we look forward to working with E-Plus and many other providers into the future. At a time when the telecoms industry is announcing revenue downturns and headcount reductions, we are growing with this emerging business, both in terms of sales results and personnel to meet the increasing demand." Peter Henricsson discussed the quarterly report in a question and answer session; a full transcript is posted at http://www.cellpt.com/corporateupdate2.htm Summary Highlights E-Plus - CellPoint delivers world's first commercial network-based location services for leading German operator, E-Plus Listing in Europe - CellPoint successfully gains secondary listing and begins trading on Stockholm O-List CellPoint Launches Channel Sales Division - expert Channel and Business Partner team deployed CellPoint Unwire Strikes M-commerce Deal with MINT - joint development will allow consumers to purchase goods from vending machines using mobile phones CellPoint Unwire Secures More Telematics Business - strategic implementation of wireless application servers for transportation ticketing system The Company's full report on Form 10QSB will be filed with the SEC before May 15 and will be available at http://www.freeedgar.com CellPoint Inc. (Nasdaq and Stockholm OM Exchange: CLPT, www.cellpoint.com) is a US company with subsidiary operations in Sweden, Great Britain and South Africa delivering location and wireless telemetry services in cooperation with cellular operators worldwide. CellPoint's end-to-end cellular location technology is a high-capacity system that works in unmodified GSM networks and uses standard GSM or WAP phones and standard Internet services. Several commercial applications are available for business and personal location services including Resource Managertm for mobile resource management, iMatetm for location-sensitive information and Findertm, an application for locating friends and family. Subsidiary Unwire's programmable telemetry terminal servers are also integrated with the CellPoint System Platform enabling a broad range of applications for wireless remote management and control. For information, please contact: CellPoint Inc.: Lynn Duplessis, Tel: +44 1344 624 565, lynn.duplessis@cellpoint.com CellPointtm and CellPoint Systemstm are trademarks of CellPoint Inc. Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Act of 1995. Actual results may differ materially from those projected in any forward- looking statement. Investors are cautioned that such forward-looking statements involve risk and uncertainties which may cause actual results to differ from those described. ------------------------------------------------------------ This information was brought to you by BIT http://www.bit.se The following files are available for download: http://www.bit.se/bitonline/2001/04/30/20010430BIT00210/bit0002.doc The full report http://www.bit.se/bitonline/2001/04/30/20010430BIT00210/bit0002.pdf The full report