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Metalink Reports Third Quarter 2011 Results

Dec 29, 2011 (03:12 PM EST)
URL: http://www.techweb.com/show-press-release/X881528/metalink-reports-third-quarter-2011-results.html

GEALYA, Israel, December 29, 2011 /PRNewswire/ --

Metalink Ltd. (OTCQB: MTLK), today announced its unaudited financial results for the third quarter of 2011 ended September 30, 2011.

FINANCIAL RESULTS

Financial Highlights for the Third Quarter of 2011: Revenues for the third quarter of 2011 were $240 thousands compared to $363 thousands for the third quarter of 2010; Net loss for the period from continuing operation was $(20) thousands, or $0.01 per share, compared to net profit of $123 thousands, or $0.05 per share, for the third quarter of 2010.

For the first 9 months of 2011: Revenues for the period were $1149 thousands compared to $621 thousands for the first 9 months of 2010; Net profit for the period was $334 thousands, or $0.12 per share, compared to net loss from continuing operation of $(425) thousands, or $(0.16) per share, for the first 9 months of 2010.

Cash Status: Metalink's cash and cash equivalents, as of September 30, 2011 were $4.56 million.

ABOUT METALINK

Metalink shares are quoted on OTCQB under the symbol "MTLK". For more information, please see our public filings at the SEC's website at http://www.sec.gov.

 

SAFE HARBOR STATEMENT

This press release contains "forward looking statements" within the meaning of the United States securities laws. Words such as "aim," "expect," "estimate," "project," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believe," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. Because such statements deal with future events, they are subject to various risks and uncertainties that could cause actual results to differ materially from those in the forward looking statements. Factors that could cause or contribute to such differences include, but are not limited to: absence of significant operations following the Lantiq transaction; uncertainty as to our future business model and our ability to identify and evaluate suitable business opportunities; and our U.S. shareholders may suffer adverse tax consequences if we will be classified as a passive foreign investment company. Additional factors that could cause actual results to differ materially from these forward-looking statements are set forth from time to time in Metalink's filings with the Securities and Exchange Commission, including Metalink's Annual Report in Form F-20. Readers are cautioned not to place undue reliance on forward-looking statements. Except as required by applicable law, the Company undertakes no obligation to republish or revise forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrences of unanticipated events. The Company cannot guarantee future results, events, and levels of activity, performance, or achievements.

                                   METALINK LTD.
                            CONSOLIDATED BALANCE SHEETS

                                                 September 30,     December 31,
                                                         2011             2010
                                                   (Unaudited)
                                               (in thousands except share data)
    ASSETS
 
    Current assets
    Cash and cash equivalents                         $ 4,562          $ 4,357
    Trade accounts receivable                             345               92
    Other receivables                                       -              266
    Government institutions                                20               66
    Prepaid expenses & Income receivable                   21                8
    Advance to supplier                                   345              175
    Inventories                                             4               37
    Total current assets                                5,297            5,001
 
    Property and equipment, net                            73               79
 
    Total assets                                      $ 5,370          $ 5,080
 
    LIABILITIES AND SHAREHOLDERS' EQUITY
 
    Current liabilities
    Trade accounts payable                              $ 146            $ 102
    Other payables and accrued expenses                   484              576
    Total current liabilities                             630              678
 
    Accrued severance pay                                 279              275
 
    Shareholders' equity
    Ordinary shares of NIS 1.0 par value
    (Authorized - 5,000,000 shares, issued
    and outstanding - 2,780,707 shares as of
    September 30, 2011 and December 31,
    2010)
                                                          790              790
    Additional paid-in capital                        158,111          158,111
    Accumulated deficit                              (144,555)        (144,889)
                                                       14,346           14,012
 
    Treasury stock, at cost; 89,850 as of
    September 30, 2011 and December 31, 2010           (9,885)          (9,885)
    Total shareholders' equity                          4,461            4,127
 
    Total liabilities and shareholders'
    equity                                            $ 5,370          $ 5,080



                                     METALINK LTD.
                         CONSOLIDATED STATEMENTS OF OPERATIONS

                                      Three months ended     Nine months ended
 
                                         September 30,          September 30,
                                       2011        2010        2011       2010
                                          (Unaudited)            (Unaudited)
                                                   (in thousands,
                                          except share and per share data)

    Revenues                           $ 240       $ 363      $ 1149     $ 621
 
    Costs of revenues                     90          45         352        86
 
    Gross profit                         150         318         797       535
 
    General and administrative           176         270         490       920
 
    Operating profit (loss)              (26)         48         307      (385)
 
    Financial income
    (expenses), net                        6          75          27       (40)
 
    Net profit (loss) from
    continuing operation               $ (20)      $ 123       $ 334    $ (425)
 
    Discontinued operation
    Operating loss from
    discontinued operation                 -           -           -      (108)
    Capital gain from sale of
    discontinued operation                 -           -           -     6,907
    Net profit from
    Discontinued operation
                                         $ -         $ -         $ -   $ 6,799
 
    Net profit (loss)                  $ (20)      $ 123       $ 334   $ 6,374
 
    Per share data-                  $ (0.01)     $ 0.05      $ 0.12   $ (0.16)
    Basic and Diluted earnings
    (loss) from continuing
    operations
 
    Basic and Diluted earnings
    from discontinued
    operations
                                         $ -         $ -         $ -    $ 2.53
    Basic and Diluted earnings
    (loss)                           $ (0.01)     $ 0.05      $ 0.12    $ 2.37
 
    Shares used in computing
    earnings (loss) per
    ordinary share:
    Basic and Diluted              2,690,857   2,690,383   2,690,857 2,690,383
 


Contact:

Neta Eshed
General Counsel
Metalink Ltd.
Tel: +972-77-4495900
Fax: +972-77-4495901
Neta@Mtlk.com

SOURCE Metalink Ltd