CellPoint Issues Financial Results for the Six Months Ended December 31, 2000

CellPoint Issues Financial Results for the Six Months Ended December 31, 2000 London, February 14 - CellPoint Inc. (Nasdaq: CLPT; www.cellpoint.com), a provider of location-based services, location technology and telemetry solutions, reports the Company's second quarter financial results for the fiscal quarter ended December 31, 2000. CellPoint reports revenues of $946,886 in the quarter ended December 31, 2000 compared to revenues of $272,444 in the comparable quarter of 1999. For the fiscal half ended December 31, 2000, revenues were $1,925,007 compared to $353,763 for the same period 1999. Selling, general and administrative expenses were $4,098,482 for the quarter and $6,663,792 for the first six months compared to $1,312,327 and $1,980,381 in comparable periods of 1999. For the current fiscal quarter, such expenses were allocated as follows: 30% R&D, 36% marketing and sales and 34% to general administrative expenses. In the comparable quarter of 1999, the allocation was 39% R&D, 20% marketing and sales and 41% to general administrative expenses. These operating expenses are consistent with the rapid expansion called for in the Company's Business Plan and resulted from the Company's efforts in expanding its operations to achieve commercialization of the technology, increasing its marketing and business development activities and aggressive staff expansion to 102 employees from 37 a year ago. Reported EBITDA (earnings before interest, taxes, depreciation and amortization) in the current quarter was -$4,774,897 and -$6,845,270 for the first fiscal half. In 1999, EBITDA was -$1,102,162 and -$1,870,152 respectively for comparative periods. Operating expenses in the current quarter were $8,492,441 and for the first fiscal half of the year were $14,411,646, whereof depreciation and amortization were $3,214,320 and $6,338,966 respectively. Goodwill amortization related to the acquisition of Unwire AB in February 2000 amounts to $2,597,192 per quarter. The Company incurred a net loss of $7,919,926 for the quarter and $13,267,224 for the first fiscal half ended December 31, 2000. The net loss for the comparable periods 1999 was $1,910,384 and $3,698,369 respectively. Stockholder's equity at December 31, 2000 was $69,655,354 as compared to $80,100,076 for the fiscal year ended June 30, 2000. At the end of the fiscal half, CellPoint had $9,836,745 in cash, cash equivalents and accounts receivable. "This has been another strong growth quarter for CellPoint as we have started to realize revenue from additional implementations of our CellPoint technology and services," said Peter Henricsson, Chairman and CEO. "Our telematics segment has also started to produce early revenues from recent contracts which will build to fuel another revenue stream for CellPoint in the coming months." Summary Highlights CellPoint Wins Competitive Bid at EuroTel - first winner of competitive bid in the location services industry Parallel Listing in Europe - CellPoint launches application for listing on Stockholm O-List Nokia Sponsors CellPoint to Join LIF (Location Interoperability Forum) - CellPoint was assigned the Chairmanship of the Mobile Location Protocol/Application Programming Interface (MLP/API) definition group which works on - 6% convertible notes issued to Castle Creek Technology Partners Joint venture with Swedish software firm Micronet AB - to provide consulting and product development for the mobile location services market Collaboration on First Location Services for PDA Market - with Blue Impact for Handspring Visor It's Alive develops mobile games in cooperation with CellPoint Subsequent to the end of the quarter, CellPoint has made more significant announcements. These include: CellPoint Accepted for Listing on the OM Stockholm Stock Exchange CellPoint Announces More Telematics Business - CellPoint Unwire signs public transportation order for 1,300 GSM servers CellPoint Launches Channel Sales Division with Tony Goss as the Director of Global Partner Sales Stephen Childs assumes new role as Executive Director in CellPoint Systems The Company's full quarterly report on Form 10-QSB can be viewed later in the day at http://www.freeedgar.com. CellPoint Inc. (Nasdaq: 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 offers a high-capacity solution for multi-vendor, 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 Manager for mobile resource management, iMate for location-sensitive information and Finder, 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 Lynn Duplessis, +44 (0) 1344 624 565 Inc.: Lars Wadell, CFO, +44 (0) 7788 713 607, +46 70 755 9860 E-mail: info@cellpoint.com Web site: www.cellpoint.com CellPointtm, Finder, Resource Manager, iMate 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. Copyright © CellPoint Inc. 2001 ------------------------------------------------------------ This information was brought to you by BIT http://www.bit.se The following files are available for download: http://www.bit.se/bitonline/2001/02/14/20010214BIT01090/bit0001.doc http://www.bit.se/bitonline/2001/02/14/20010214BIT01090/bit0001.pdf