June 20, 2007

Access Integrated Technologies, Inc. Announces Fiscal 2007 Fourth Quarter and Year-End Results

- Revenue Growth and Adjusted EBITDA Margin Increase Continues, Driven by New and Existing Product and Service Offerings -

MORRISTOWN, N.J., June 20, 2007 /PRNewswire-FirstCall via COMTEX News Network/ -- Access Integrated Technologies, Inc. ("AccessIT" or the "Company") (Nasdaq: AIXD) reported a 181% increase in revenues, to a record $47,110,000 for the fiscal year ended March 31, 2007, which included $3,982,000 for certain components of its Data Centers segment which the Company does not expect to continue. For the full fiscal year, the Company posted an Adjusted EBITDA(1) (defined below) of $5,993,000 (which included a negative $1,206,000 from the Data Center business described above), and a net loss of $26,204,000 or $1.10 per basic and diluted share. The Company's full year net loss includes non-cash expenses for depreciation, amortization of intangible assets and software development, non- cash interest, stock based compensation and loss on disposition of assets aggregating $25,901,000 or $1.09 per basic and diluted share.

For the fourth quarter ended March 31, 2007, the Company reported a 285% increase in revenues to a record of $17,345,000, which included $1,330,000 for certain components of its Data Centers segment which the Company does not expect to continue. For the fiscal fourth quarter, the Company posted an Adjusted EBITDA(1) of $3,386,000 (which included a negative $390,000 from the Data Center business described above) and a net loss of $11,267,000 or $0.47 per basic and diluted share. The net loss for the quarter includes non-cash expenses for depreciation, amortization of intangible assets and software development, non-cash interest, stock based compensation and loss on disposition of assets totaling $11,455,000 or $0.47 per basic and diluted share.

    Fourth Fiscal Quarter and Fiscal Year Highlights
    - The full year and fourth quarter increase in revenues was driven largely
      by revenues of UniqueScreen Media ("USM"), virtual print fee revenues of
      Christie/AIX, license fees earned by the Company's Digital Media
      Services division for its Theatre Command Center software and digital
      distribution fees earned by The Bigger Picture. USM was acquired in
      fiscal 2007's second quarter and The Bigger Picture was acquired in
      fiscal 2007's fourth quarter.
    - The increase in Adjusted EBITDA(1) was primarily due to the increased
      revenues as described above, partially offset by increased operating and
      SG&A expenses resulting from the acquisition of USM and the advancement
      of the Company's continued digital cinema deployment.
    - Loss from operations in the March 2007 quarter increased to $7,134,000,
      from a loss of $2,741,000 in the year ago period.  Loss from operations
      for the fiscal year ended March 2007 increased to $18,005,000 from a
      loss of $9,129,000 reported in the year ago period.  The increased loss
      was due primarily to higher depreciation resulting from an increased
      asset base from the purchase of digital cinema projections systems,
      additional amortization of intangible assets resulting from the
      Company's Fiscal 2007 acquisitions, a $2,561,000 charge associated with
      the disposition of Data Center assets, and non-cash stock-based
      compensation.  Non-cash charges included in Loss from Operations for the
      year aggregated $23,998,000.
    - Gross margin (revenue less direct operating expenses) increased from 54%
      in the third quarter to 60% in the fourth quarter.
    - Adjusted EBITDA(1) margins rose from 13% in the third quarter to 20% in
      the fourth quarter.
    - As of March 31, 2007, the Company had installed 2,275 digital cinema
      systems and 2,646 as of May 31, 2007 and intends to complete all 4,000
      digital cinema systems installations by October 31, 2007.

Bud Mayo, Chief Executive Officer of AccessIT, stated, "Fiscal 2007 was a year of transition for AccessIT from a development company to a results-driven operating company. We have established both that our business plan is working successfully, and that AccessIT is the leader in providing solutions for Digital Cinema. With the strategic acquisitions of Unique Screen Media and The Bigger Picture behind us, we are poised to continue our internal growth."

CONFERENCE CALL NOTIFICATION

AccessIT will host a conference call to discuss its financial results at 10:30 a.m. EDT on Wednesday, June 20, 2007. The conference can be accessed by dialing 913.981.5533, at least five minutes before the start of the call. No passcode is required. The conference call will also be webcast simultaneously and will be accessible via the web on AccessIT's Web site, www.accessitx.com. A replay of the call will be available after 1:00 p.m. eastern at 719.457.0820 or 888.203.1112, passcode 1554251. The replay will be accessible through Wednesday, June 27th.

Access Integrated Technologies, Inc. (AccessIT) provides theater operators the first and only studio-backed digital cinema system delivering nearly two million digital screenings of Hollywood feature films to date. The company's fully networked digital cinema system provides feature films and alternative content via satellite to expand box office sales and develop new ways to attract incremental revenues. Through its alternative content division, The Bigger Picture, AccessIT offers five channels of programming including Kidtoon Films, FoxFaith, Fox Rhythm and Anime. The ongoing 4,000-screen deployment is the largest of its kind in the world. Access Integrated Technologies(R) and AccessIT(TM) are trademarks of Access Integrated Technologies, Inc. For more information on AccessIT, visit www.accessitx.com. (AIXD-E)

Safe Harbor Statement

Investors and readers are cautioned that certain statements contained in this document, as well as some statements in periodic press releases and some oral statements of AccessIT officials during presentations about AccessIT, along with AccessIT 's filings with the Securities and Exchange Commission, including AccessIT 's registration statements, quarterly reports on Form 10- QSB and annual report on Form 10-KSB, are "forward-looking'' statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Act''). Forward-looking statements include statements that are predictive in nature, which depend upon or refer to future events or conditions, which include words such as "expects'', "anticipates'', "intends'', "plans'', "could", "might", "believes'', "seeks", "estimates'' or similar expressions. In addition, any statements concerning future financial performance (including future revenues, earnings or growth rates), ongoing business strategies or prospects, and possible future actions, which may be provided by AccessIT's management, are also forward-looking statements as defined by the Act. Forward-looking statements are based on current expectations and projections about future events and are subject to various risks, uncertainties and assumptions about AccessIT, its technology, economic and market factors and the industries in which AccessIT does business, among other things. These statements are not guarantees of future performance and AccessIT undertakes no specific obligation or intention to update these statements after the date of this release.

(1) Adjusted EBITDA is defined by the Company to be earnings before interest, taxes, depreciation and amortization, other income (expense), net, non-cash stock-based compensation and non-recurring items. Adjusted EBITDA is presented because management believes it provides additional information with respect to the performance of its fundamental business activities. A reconciliation of Adjusted EBITDA to Generally Accepted Accounting Principles ("GAAP") net income is included in the table attached to this release. Adjusted EBITDA is a measure of cash flow typically used by many investors, but is not a measure of earnings as defined under GAAP, and may be defined differently by others.

    Contact:
    Suzanne Moore                               Samantha Cornog
    AccessIT                                    Casey Sayre & Williams
    973.290.0080                                310 396-2400
    smoore@accessitx.com



                     ACCESS INTEGRATED TECHNOLOGIES, INC.
                    CONSOLIDATED STATEMENTS OF OPERATIONS
             (In thousands, except for share and per share data)
                                 (Unaudited)


                                                        Three Months Ended
                                                             March 31,
                                                        2006           2007

    Revenues                                           $4,511        $17,345

    Costs and expenses:
    Direct operating                                    2,810          7,015
    Selling, general and administrative                 3,016          6,603
    Provision for doubtful accounts                        96            527
    Research and development                              (24)            56
    Loss on disposition of assets                           -          2,561
    Non-cash stock-based compensation                       -            283
    Depreciation                                        1,176          5,224
    Amortization of intangible assets                     178          2,210
     Total operating expenses                           7,252         24,479

    Loss from operations                               (2,741)        (7,134)

    Interest income                                       136            798
    Interest expense                                     (315)        (3,772)
    Non-cash interest expense                             (82)          (935)
    Debt conversion expense                               (61)             -
    Other income (expense), net                           (40)          (224)


    Net loss                                          $(3,103)      $(11,267)

    Net loss per common share - Basic and diluted      $(0.18)        $(0.47)
    Weighted average number of common shares
     outstanding:
         Basic and diluted                         17,628,282     24,362,925

Certain reclassifications of prior period data have been made to conform to the current presentation.



                     Access Integrated Technologies, Inc.
                         Adjusted EBITDA (as defined)
                      Reconciliation to GAAP Net Income
                                (In thousands)
                                 (Unaudited)


                                                        Three Months Ended
                                                             March 31,
                                                        2006           2007
    Net loss                                          $(3,103)      $(11,267)
    Add Back:
     Amortization of software development                 113            242
     Depreciation                                       1,176          5,224
     Amortization of intangible assets                    178          2,210
     Interest income                                     (136)          (798)
     Interest expense                                     315          3,772
     Non-cash interest expense                             82            935
     Debt conversion expense                               61              -
     Other (income) expense, net                           40            224
     Loss on disposition of assets                          -          2,561
     Non-cash stock-based compensation                      -            283
    Adjusted EBITDA (as defined)                      $(1,274)        $3,386



                     ACCESS INTEGRATED TECHNOLOGIES, INC.
                    CONSOLIDATED STATEMENTS OF OPERATIONS
             (In thousands, except for share and per share data)
                                 (Unaudited)


                                                         Twelve Months Ended
                                                              March 31,
                                                        2006           2007

    Revenues                                          $16,795        $47,110

    Costs and expenses:
    Direct operating                                   11,550         22,214
    Selling, general and administrative                 8,887         18,565
    Provision for doubtful accounts                       186            848
    Research and development                              300            330
    Loss on disposition of assets                           -          2,561
    Non-cash stock-based compensation                       -          3,125
    Depreciation                                        3,693         14,699
    Amortization of intangible assets                   1,308          2,773
     Total operating expenses                          25,924         65,115

    Loss from operations                               (9,129)       (18,005)

    Interest income                                       316          1,425
    Interest expense                                   (2,237)        (7,273)
    Non-cash interest expense                          (1,407)        (1,903)
    Debt conversion expense                            (6,269)             -
    Other income (expense), net                         1,603           (448)


    Net loss                                         $(17,123)      $(26,204)

    Net loss per common share - Basic and diluted      $(1.22)        $(1.10)
    Weighted average number of common shares
     outstanding:
         Basic and diluted                         14,086,001     23,729,757

Certain reclassifications of prior period data have been made to conform to the current presentation.



                     Access Integrated Technologies, Inc.
                         Adjusted EBITDA (as defined)
                      Reconciliation to GAAP Net Income
                                (In thousands)
                                 (Unaudited)


                                                        Twelve Months Ended
                                                             March 31,
                                                        2006           2007
    Net loss                                         $(17,123)      $(26,204)
    Add Back:
     Amortization of software development                 547            840
     Depreciation                                       3,693         14,699
     Amortization of intangible assets                  1,308          2,773
     Interest income                                     (316)        (1,425)
     Interest expense                                   2,237          7,273
     Non-cash interest expense                          1,407          1,903
     Debt conversion expense                            6,269              -
     Other (income) expense, net                       (1,603)           448
     Loss on disposition of assets                          -          2,561
     Non-cash stock-based compensation                      -          3,125
    Adjusted EBITDA (as defined)                      $(3,581)        $5,993



                     ACCESS INTEGRATED TECHNOLOGIES, INC.
                         CONSOLIDATED BALANCE SHEETS
                    (In thousands, except for share data)
                                 (Unaudited)


                                                  March 31,    March 31,
                                                    2006          2007
    ASSETS

    Current assets
     Cash and cash equivalents                    $36,641       $29,376
     Investment securities, available-for-sale     24,000             -
     Accounts receivable, net                       1,593        18,504
     Unbilled revenue, current portion              1,492         3,882
     Prepaid and other current assets                 700         1,988
     Notes receivable, current portion                 43           101
    Total current assets                           64,469        53,851

     Deposits on property and equipment             8,673         8,513
     Property and equipment, net                   35,878       197,452
     Intangible assets, net                         2,056        19,432
     Capitalized software costs, net                1,680         2,840
     Goodwill                                       7,705        13,249
     Accounts receivable, net of current portion        -           248
     Deferred costs                                   148         4,627
     Notes receivable, net of current portion       1,122         1,227
     Unbilled revenue, net of current portion          42         1,221
     Security deposits                                389           445
     Restricted cash                                  180           180
    Total assets                                 $122,342      $303,285


    Liabilities and stockholders' equity

    Current liabilities
     Accounts payable and accrued expenses        $13,282       $30,694
     Current portion of notes payable               1,203         2,480
     Current portion of customer security
      deposits                                        176           129
     Current portion of capital leases                 89            75
     Current portion of deferred revenue              768         8,871
     Current portion of deferred rent expense         100             -
    Total current liabilities                      15,618        42,249

     Notes payable, net of current portion          1,948       164,196
     Customer security deposits,
      net of current portion.                          40            54
     Deferred revenue, net of current portion          66           283
     Capital leases, net of current portion ...     5,978         5,903
     Deferred rent expense, net of current portion    918             -
    Total liabilities                              24,568       212,685


    Commitments and contingencies

    Stockholders' equity:
     Class A common stock, $0.001 par value
      per share; 40,000,000 shares authorized;
      22,059,567 and 23,986,231 shares issued
      and 22,008,127 and 23,934,791 shares
      outstanding at March 31, 2006
      and March 31, 2007, respectively                 22            24

     Class B common stock, $0.001 par value
      per share; 15,000,000 shares authorized;
      925,811 and 763,811 shares issued
      and outstanding, at March 31, 2006 and
      March 31, 2007, respectively                      1             1

     Additional paid-in capital                   136,929       155,957

     Treasury Stock, at cost;
      51,440 Class A shares                          (172)         (172)

     Accumulated deficit                          (39,006)      (65,210)

    Total stockholders' equity                     97,774        90,600

    Total liabilities and
     stockholders' equity                        $122,342      $303,285

Certain reclassifications of prior period data have been made to conform to the current presentation.

SOURCE Access Integrated Technologies, Inc.

Suzanne Moore of AccessIT, +1-973-290-0080, smoore@accessitx.com; Samantha Cornog of
Casey Sayre & Williams, +1-310-396- 2400
http://www.accessitx.com

Copyright (C) 2007 PR Newswire. All rights reserved

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