| Vancouver, BC,
February 15, 2007 -VendTek Systems Inc.(TSXV:
VSI) ("VendTek" or "The Company"),
a leading provider of software for prepaid service distribution,
is pleased to announce the Company's audited financial
statements for the year ended October 31, 2006. VendTek
realized revenues of $58,018,078 and net earnings of
$750,934 for the year.
Key highlights of VendTek’s fiscal 2006 year-end
results include:
- Revenues increased $19.664
million or 51% from 2005.
- Earnings per share of $0.02
for the year ended October 31, 2006, compared to a
loss of ($0.01) for the year ended October 31, 2005.
- Increase in the number of
terminals in Canada from about 7,300 to about 10,000
during the year.
- Launch of international software
license sales from United Arab Emirates.
Key highlights of VendTek’s
three months ended October 31, 2006 include:
- Revenues, for the fourth quarter
of 2006, were $16.827 million compared to $11.750
million for the same period in 2005. This represents
an increase of $5.077 million or 43%.
- Net income for the quarter
was $231,367 compared to a loss of ($65,492) for the
quarter ended October 31, 2005.
"We are pleased with our growth.
We have continued to expand our network in Canada and
we are seeing results from our customer in the United
Arab Emirates. We look forward to expanding our network
into the United States and building on the solid foundation
we have created. We believe that our shareholder value
will be increased with continued strength in Canada and
by capitalizing on our U.S. and international opportunities,"
said Doug Buchanan, Chief Executive Officer of VendTek
Systems Inc.
Complete results for the year ended October 31, 2006 may
be accessed via the Company’s web site at www.vendteksys.com
via the SEDAR web site at www.sedar.com or by e-mailing
shaynes@vendteksys.com and having them sent directly to
you.
For more information please contact Samantha Haynes at
1-800-806-4958 or 604.805.4653 or via e-mail shaynes@vendteksys.com.
About VendTek
VendTek develops and licenses
automated transaction system software and supporting
technologies that improve the efficiency of product
delivery, reduce costs to clients and offer superior
safety measures. VendTek's customers and its subsidiaries,
Now Prepay Corp. (in Canada) and VendTek Systems Technologies
(in China), are using eFresh™ software to build
electronic, prepaid services networks, which enable
consumers to purchase prepaid services via POS and self-serve
terminals connected to a central eFresh™ server.
This system creates significant value through improved
efficiencies compared to the traditional distribution
paradigm. eFresh™ reduces shrinkage and inventory
requirements while improving consumer access to prepaid
services by completely eliminating physical cards and
vouchers. For further information please visit the Company’s
websites www.vendteksys.com and www.nowprepay.com.
The TSX Venture Exchange has
not reviewed and does not accept responsibility for
the adequacy or accuracy of this release.
VendTek Systems
Inc.
Consolidated Balance Sheets
October 31, 2006 and 2005
|
Assets |
|
|
|
|
Current
Assets |
|
|
|
|
|
$
763,664 |
|
$
246,616 |
|
Accounts
receivable |
1,985,832 |
|
1,198,892 |
|
Inventories |
1,102,654 |
|
763,409 |
| Prepaid
expenses and deposits |
14,467 |
|
4,722 |
|
Future
income tax asset |
170,500 |
|
- |
|
|
|
|
|
|
|
4,037,117 |
|
2,213,639 |
|
|
|
|
|
|
Equipment |
328,170 |
|
204,495 |
|
|
|
|
|
|
Intangible
Assets |
19,689 |
|
21,491 |
|
|
|
|
|
|
Deferred
Finance Fees |
- |
|
17,166 |
|
|
|
|
|
|
|
$
4,384,976 |
|
$
2,456,791 |
|
|
|
|
|
|
Liabilities |
|
|
|
|
Current
Liabilities |
|
|
|
|
Accounts
payable and accrued liabilities |
$
1,950,831 |
|
$
2,665,120 |
| Income
taxes payable |
135,137 |
|
- |
| Current
portion of long-term debt |
272,698 |
|
2,611 |
|
Current
portion of convertible debenture |
- |
|
493,200 |
|
|
|
|
|
|
|
2,358,666 |
|
3,160,931 |
|
|
|
|
|
|
Long-term
Debt |
79,325 |
|
7,523 |
|
|
|
|
|
|
|
2,437,991 |
|
3,168,454 |
|
|
|
|
|
|
Shareholders’
Equity (Deficit) |
|
|
|
|
Share
Capital |
6,804,081 |
|
5,153,012 |
|
Contributed
Surplus |
438,545 |
|
147,900 |
|
Equity
Portion of Convertible Debenture |
- |
|
34,000 |
|
Accumulated
Deficit |
(5,295,641) |
|
(6,046,575) |
|
|
|
|
|
|
|
1,946,985 |
|
(711,663) |
|
|
|
|
|
|
|
$
4,384,976 |
|
$
2,456,791 |
|
|
|
|
|
VendTek Systems Inc.
Consolidated Statements of Operations and Accumulated
Deficit
For the years ended October 31, 2006 and 2005
|
Revenues |
|
|
|
|
|
$
57,600,072 |
|
$38,249,136 |
|
Hardware
and equipment |
171,890 |
|
76,109 |
|
Software
license and services |
246,116 |
|
28,790 |
|
|
|
|
|
|
|
58,018,078 |
|
38,354,035 |
|
|
|
|
|
|
Cost
of revenues |
|
|
|
|
Prepaid
telecommunication |
54,451,829 |
|
36,750,287 |
|
Hardware
and equipment |
31,625 |
|
46,020 |
|
|
|
|
|
|
|
54,483,454 |
|
36,796,307 |
|
|
|
|
|
