CIC Reports Second Quarter 2014 Results
REDWOOD SHORES, CA, August 14, 2014 – Communication Intelligence Corporation (“CIC”) (OTCQB: CICI), a leading supplier of electronic signature and other software solutions enabling secure and cost-effective management of document-based digital transactions, today reported total revenue of $473,000 for the three months ended June 30, 2014, an increase of $210,000, or 80%, compared to total revenue of $263,000 for the same quarter in the prior year. For the six months ended June 30, 2014, total revenues were $774,000, an increase of $276,000, or 55%, compared to total revenue of $498,000 for the same period in the prior year.
“While our first half revenue remained below expectations, we welcome the improvement recorded both with respect to last year and to the first quarter of 2014,” said Philip Sassower, chairman and chief executive officer for CIC. “We believe that the company’s midterm outlook for growth remains strong.”
For the quarter ended June 30, 2014, operating expenses were $1,394,000, a decrease of $47,000, or 3%, compared to operating expenses of $1,441,000 in the prior year. For the six months ended June 30, 2014, operating expenses were $2,760,000, a decrease of $177,000, or 6%, compared to operating expenses of $2,937,000 for the same period in the prior year. These comparative decreases were primarily due to the aforementioned increase in revenue.
For the quarter ended June 30, 2014, the net loss attributable to common stockholders was $1,851,000, a decrease of $106,000, or 5%, compared to a net loss attributable to common stockholders of $1,957,000 in the prior year. This decrease was primarily due to the aforementioned increase in revenue, as well as a decrease in the non-cash expense related to the accretion of beneficial conversion feature on preferred share issuances, offset by an increase in interest expense related to the warrant issued in connection with the ICG credit facility and in the amount charged for preferred stock dividends issued in kind.
For the six months ended June 30, 2014, the net loss attributable to common stockholders was $3,906,000, an increase of $220,000, or 6%, compared to a net loss attributable to common stockholders of $3,686,000 for the same period in the prior year. This increase was primarily due to increases in interest expense, in the non-cash expense related to the accretion of beneficial conversion feature on preferred share issuances and in the amount charged for preferred stock dividends issued in kind, offset by the aforementioned higher revenues and lower operating expenses.
Additional financial information regarding CIC’s operating results for the quarter ended June 30, 2014, will be available in the Company’s Quarterly Report on Form 10-Q that will be filed with the Securities and Exchange Commission and available at www.sec.gov.
CIC is a leading provider of digital transaction management (DTM) software enabling fully digital (paperless) business processes. CIC’s solutions encompass a wide array of functionality and services, including electronic signatures, biometric authentication and simple-to-complex workflow management. These solutions are available across virtually all enterprise, desktop and mobile environments as a seamlessly integrated platform for both ad-hoc and fully automated transactions. CIC’s platform can be deployed both on-premise and as a cloud-based service, with the ability to easily transition between deployment models. CIC is headquartered in Silicon Valley. For more information, please visit our website at www.cic.com. CIC’s logo is a trademark of CIC.
FORWARD LOOKING STATEMENTS
Certain statements contained in this press release, including without limitation, statements containing the words “believes”, “anticipates”, “hopes”, “intends”, “expects”, and other words of similar import, constitute “forward looking” statements within the meaning of the Private Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors, which may cause actual events to differ materially from expectations. Such factors include the following (1) technological, engineering, quality control or other circumstances which could delay the sale or shipment of products containing the Company’s technology; (2) economic, business, market and competitive conditions in the software industry and technological innovations which could affect customer purchases of the Company’s solutions; (3) the Company’s inability to protect its trade secrets or other proprietary rights, operate without infringing upon the proprietary rights of others or prevent others from infringing on the proprietary rights of the Company; and (4) general economic and business conditions and the availability of sufficient financing.
Investor Relations and Media Inquiries: Andrea Goren