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LiveWorld Announces Q1 2004 Results: 61% Revenue
Growth Year over Year, Continued Profitability
LOS GATOS, Calif., April 21, 2004 - LiveWorld, Inc.
(Pinksheets: LVWD.PK) today announced strong Q1 2004 financial
results with its highest revenue quarter in two years.
Revenues for Q1 2004 were $968,000 representing a 61% growth
over Q1 2003 revenues of $601,000 and a 55%% sequential growth
over Q4 2003 revenue of $625,000.
Year over year quarterly earnings showed strong improvement with Q1 2004 profit before income taxes of $97,000 or an EPS before income taxes of $0.0037 per share. This compares to a Q1 2003 loss of ($165,000), or ($0.0063) per share. Due to favorable non-cash accounting treatments in Q4, 2003, sequential recorded profit declined in Q1, 2004. Q4 2003 profit before income taxes was $133,000 or an EPS before income taxes of $ 0.005 per share.
"LiveWorld enters 2004 with strong revenue growth and overall financial performance, reflecting significant increases in contracts with new and existing Fortune 1000 clients," said LiveWorld Chairman & CEO, Peter Friedman. "Our Loyalty Marketing Community, Customer Support Community and Business Intelligence Community services are delivering a strong and increasing ROI to clients such as eBay, AOL, SUN, MINIUSA, HBO, Campbell’s Soup and others."
The Company said that it expects continued growth in revenue for Year 2004 and it will continue to manage financials tightly with the expectation of having approximately breakeven results. Actual results may vary quarter to quarter as it invests more in overall growth of the business. The company’s cash position at quarter end was approximately $950,000, providing significant room to wait out the fluctuations in the economy, while investing more in the growth of the business.
During Q1, the Company settled two matters, the net impact
of which was a one time reduction of Company expenses and
corresponding increase in profitability by $55,000. One matter
regarded the collection of a past due account from a former
client and the other matter regarded payment of a former
client’s prior preference claim. These events were
recorded respectively as a decrease and increase in expense and
had no impact on recorded revenue. Without these events profits
for Q1 2004 would have been $42,000.
About LiveWorld
LiveWorld (Pinksheets: LVWD.PK, www.liveworld.com ) is a leading
provider of online community solutions for business: loyalty
marketing communities, customer support communities, and
business intelligence communities based on LiveWorld’s
unique community applications platform. LiveWorld solutions
enable Fortune 1000 companies to reduce costs, increase
revenues, and strengthen customer relationships. Clients
include companies such as America Online, eBay, HBO, MINIUSA,
The Campbell’s Soup Company, Fidelity Investments,
A&E Television Networks, SUN Microsystems, Warner Brothers,
and Discovery Communications. LiveWorld is headquartered in Los
Gatos, California.
PR Contact: Jay Friedman, 408-370-4522
"Safe Harbor" Statement Under The Private Securities Litigation Reform Act: This press release contains forward-looking information concerning the Company’s future expectations, forecasts, and prospects. These statements include those regarding the Company’s current or future financial performance. Actual results may differ materially from those expressed in the forward looking statements made by the Company as a result of, among other things, the Company’s ability to successfully deliver upon its contractual commitments, clients continuing their ongoing relationships with the Company, ability to acquire new customers, and other risk factors described in the Company’s latest 10Q and 10K filed with the SEC. Financial information quoted in this release represents results that have not been audited nor reviewed by an outside accounting firm.