Supercom reports financial results for the third quarter of 2005

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Overig advies 29/11/2005 11:47
Revenues Increase 47% YOY -- 4th Consecutive Quarter of Substantial YOY Growth
New York, NY, and Ra’anana, Israel, November 28, 2005 – SuperCom Ltd. (OTCBB: SPCBF.OB; Euronext: SUP), a leading provider of smart card and electronic identification (e-ID) solutions, today announced unaudited financial results for the third quarter ended September 30, 2005.

Financial Results
Revenues for the third quarter of 2005 increased by 47% to $2,069,000 compared to $1,407,000 in the third quarter of 2004, marking the Company’s fourth consecutive quarter of substantial YOY quarterly revenue growth. Net loss for the period according to U.S. GAAP was ($850,000), or ($0.05) per diluted share, compared to ($663,000), or ($0.04) per diluted share, for the third quarter of 2004. The higher loss resulted primarily from $129,000 in litigation settlement expenses incurred by the Company. Excluding these expenses, the Company’s non-U.S. GAAP net loss for the third quarter of 2005 was ($721,000), or ($0.04) per diluted share.

Revenues for the first nine months of 2005 increased by 76% to $6,857,000 compared with $3,891,000 for the first nine months of 2004. Net loss for the period according to U.S. GAAP was ($2,985,000), or ($0.16) per diluted share, compared to ($2,323,000), or ($0.17) per diluted share, for the first nine months of 2004. Excluding the aforementioned expenses and an additional $496,000 in one-time expenses related to cost-cutting measures implemented by the Company in
Q2 2005, the Company’s non-U.S. GAAP net loss for the first nine months of 2005 was ($2,360,000), or ($0.13) per diluted share.




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