DENVER, Nov. 21, 2011 (GLOBE NEWSWIRE) -- Roomlinx, Inc. (OTC:RMLX.OB), the innovative developer of hotel interactive TV applications, announced three and nine month financial performance for the periods ended September 30, 2011, which reflect ongoing increased revenues and gross profits, as well as the contribution of Canadian Communications.
Operating Results for the Three and Nine Months Ended September 30, 2011:
Roomlinx's revenues for the three and nine months ended September 30, 2011 were $1,183,882 and $3,965,985 respectively. This represents a decrease of 8% and an increase of 49%, respectively, over the same periods in 2010. The decrease in the three month period is the net effect of a reduction of installation revenues, resulting from revenue recognition at the completion of an installation, in excess of an increase in recurring revenue streams plus Canadian Communication related revenues. Roomlinx's gross profit for the three and nine months ended September 30, 2011 were $174,643 and $1,304,921, respectively. This represents improvements of 74% and 97%, respectively, over the same periods in 2010. These improvements are primarily due to increased recurring revenue streams from the Interactive TV platform as well as the revenue streams acquired through the acquisition of Canadian Communications, which were not present in the prior year periods.
Net losses for the three and nine months ended September 30, 2011 were $516,922 and $1,813,839 respectively, compared to net losses of $371,726 and $1,085,028 for the same periods in 2010. The increases in net losses primarily reflect the significant increase in depreciation expense resulting from the 2010 acquisition of Canadian Communications and the effect of incentive compensation expense to attract key personnel who are integral to continued R&D enhancements of the iTV platform and the development of a strong scalable foundation to support growth opportunities.
"Roomlinx is squarely focused on increasing recurring revenue streams and maintaining strong gross profit margins," stated Mike Wasik CEO of Roomlinx. "We will continue to invest in the resources required to meet growing demand and to position Roomlinx as the industry leader." stated Wasik. "While it is taking longer than originally anticipated to see a ramp up in installations, we recently completed a 1,200 room interactive TV, satellite TV, and WiFi installation and are optimistic about the opportunities in the next three to six months."
About Roomlinx, Inc.
Roomlinx is a leading provider of Interactive TV applications and premium media and entertainment content for hotels, resorts, and timeshare properties. For more information about Roomlinx, visit www.roomlinx.com.
Safe Harbor Cautionary Statement
Certain statements in this news release, including statements that we "believe," "expect," "intend," "plan" or words of similar import, are forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans, new products and services and objectives of the company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Factors that could cause actual results to differ materially from those in the forward-looking statements include, among other things, the following: the company's successful implementation of the new products and services, demand for the new products and services, the company's ability to successfully compete against competitors offering similar products and services, general economic and business conditions; unexpected changes in technologies and technological advances; ability to commercialize and manufacture products; results of experimental studies research and development activities; changes in, or failure to comply with, governmental regulations; and the ability to obtain adequate financing in the future. This information is qualified in its entirety by cautionary statements and risk factors disclosure contained in certain of the Company's Securities and Exchange Commission filings available at http://www.sec.gov, which you should carefully review. Roomlinx does not assume any obligation to update or revise any forward-looking statements, whether as the result of new developments or otherwise.