May 24, 2016 08:30 ET
COROWARE, INC. REPORTS 2015 ANNUAL EARNINGS
Consulting Service Revenues Increase 181 Percent Year-Over-Year
BELLEVUE, WA--(Marketwired - May 24, 2016) - CoroWare, Inc. (OTC PINK: COWI) today announced its financial results for the year ended on Dec. 31, 2015 ("the 2015 Period").
For the 2015 Period, CoroWare reported revenues of $5,461,238, compared to revenues of $1,943,729 during the year ended December 31, 2014 (the "2014 Period"), an increase of $3,517,509 or 181.0%.
Revenues in the 2015 Period were higher compared to the 2014 Period as the Company intensified its focus on selling R&D support, operations support, and marketing support services in the 2015 Period.
"CoroWare experienced significant growth as the Company intensified its focus on selling R&D support, operations support, and marketing support services," said Lloyd Spencer, CEO of CoroWare, Inc. "In the coming year, CoroWare shall continue to focus on these initiatives, and expanding its technology incubation efforts in the areas of Internet of Things (IoT) and augmented reality."
Gross profits increased to $1,091,848 during the 2015 Period compared to $463,501 during the 2014 Period, an increase of $628,347 or 135.6%
The gross profit percentage in the 2015 Period was 20.0% compared to 23.8% in the 2014 Period. The decrease in gross profit percentage relates to higher cost of delivering these services due to increased labor expenses, and weaker sales of its Robotics & Automation products, solutions and services.
Total Operating Expenses were $1,086,438 for the 2015 Period compared to $2,585,036 for the 2014 Period, a decrease of $1,498,598 or 57.9%. General and administrative expenses were $850,285 during the 2015 Period, compared with $2,379,736 for the 2014 period, and represented labor and related compensation costs, legal and professional fees, outside services, travel expenses, rental expense and related office expenses.
Sales and marketing expenses were $81,463 for the 2015 Period compared to $86,380 for the 2014 Period. Research and developments costs totaled $146,284 for the 2015 Period compared to $106,842 during the 2014 Period. Depreciation and amortization costs were $8,406 for the 2015 period compared to $12,078 for the 2014 Period.
Income (loss) from operations was $5,410 for the 2015 Period compared to $(2,121,535) for the 2014 period. The increase in income from operations in the 2015 Period was due primarily to a significant decrease in general and administrative expenses.
Net loss for the 2015 Period was $2,307,396 compared to net loss of $7,939,101 for the 2014 Period, a decrease of $5,631,705 or 70.9%. The decreased loss during the 2015 Period was principally due to a reduced change in derivative liabilities. The change in derivative liabilities is associated with CoroWare's convertible debentures; as the derivative liability increases, the derivative expense increases.
The full Form10-K report and all previous reports can be accessed by going to http://www.otcmarkets.com/stock/COWI/filings
Delayed Filing of Quarterly Report Form 10Q
The company also announced today that it will delay filing its quarterly report on Form 10-Q for the fiscal quarter ended March 31, 2015.
Based upon current estimates from and assuming no change in the current status of our efforts, we anticipate that the Company will file its Form 10-Q for the fiscal quarter ended March 31, 2015 within the next two weeks.
The company has notified OTC Markets that it will further delay filing its quarterly report on Form 10-Q for the fiscal quarter ended March 31, 2015, at which time the company will regain compliance with OTC Market's requirements.
The delayed filing has no impact on CoroWare's business operations.
About Coroware, Inc.
Coroware, Inc., headquartered in Bellevue, Washington, is a diversified technology and solutions company with expertise in:
- Business Consulting Services: R&D engineering services; business process workflow; software architecture, design and development; content management; console, PC and online game production; marketing coordination and management.
- Robotics and Automation: Custom engineering such as visualization, simulation and software development; and mobile robot platforms for university, government and corporate researchers
CoroWare's customers are located in North America, Europe, Asia and the Middle East, and span multiple industry sectors - including universities, software and hardware product development companies, and non-profit organizations. For more information, please visitwww.coroware.com.
This press release may contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The ability of the Company to complete and file its Fiscal Year 2015 annual report on Form 10K relies on third parties to complete their activities. Investors are cautioned that such forward-looking statements involve risks and uncertainties, which include among others, the inherent uncertainties associated with smaller reporting companies, including without limitation, other risks detailed from time to time in the Company's periodic reports filed with the Securities and Exchange Commission.