April 22, 2002
TASER International, Inc. Reports Record First Quarter Earnings
Company Achieves 96% Revenue Growth and $0.05 EPS
SCOTTSDALE, AZ, April 22, 2002 - TASER International, Inc. (Nasdaq: TASR &
TASRW), a provider of advanced less-lethal weapons for use in the law
enforcement, private security and personal defense markets, today reported
record first quarter results.
The company reported revenue of $2.4 million for the quarter ended March 31, 2002, a 96% increase over revenue of $1.2 million reported in the first quarter of 2001. The company also reported net income of $130,000 or $0.05 per basic share and $0.03 per diluted share, for the first quarter of 2002, compared with a net income of $38,000, or
$0.03 per basic share, in the same period last year.
Basic per share calculations for the March 31, 2002 quarter are based on
approximately 2.8 million weighted average shares outstanding, compared with
1.5 million shares in the first quarter of 2001.
The increase in net income is a result of the higher ADVANCED TASER unit
sales to the law enforcement market, which continues to show robust growth
quarter to quarter, and increased AIR TASER sales to the consumer retailers
during the first quarter. Included in these figures were an initial order
from another major U.S. airline and follow-on orders from the Los Angeles
Gross margin increased to $1.3 million in the first quarter of 2002, or
55.7% of revenues, compared with $609,000 or 50.5% of revenues, for the same
period in 2001. The increase in gross margin is attributed to the higher
level of ADVANCED TASER and AIR TASER product sales and reduced
Commenting on the first quarter results, Rick Smith, chief executive officer
said, "We are excited that our first quarter performance not only showed
significant growth over last year, but revenues exceeded our guidance by 9%
($2.4 million actual vs. $2.2 million guidance) and earnings exceeded
guidance by 150% ($0.05 per share actual vs. $0.02 guidance). We continue
to see steady growth in the law enforcement sector of our market, with 195
new departments adding our products to their less-lethal arsenal. This
trend includes increased follow-on orders from departments currently
deploying our weapon system.
"We are also focussed on obtaining further airline sales. A major
international carrier became the sixth airline to purchase ADVANCED TASERS
to protect their aircraft. We received their purchase order in early April,
and expect to ship this product by the end of the month. Additionally,
during our first quarter, we executed a sale of our ADVANCED TASER products
to another major U.S. commercial airline. This is the fourth U.S. carrier
to commit to our products, with many others evaluating deployment following
the FAA approval for their use onboard aircraft.
"During the first quarter 2002, we also launched our introduction into the
consumer retail market. Although we probably will not see substantial
results from this campaign until later this year, we are developing the
marketing materials and training programs for the retail distributors across
the U.S. These programs are adding additional overhead costs to our sales
and marketing department, as originally forecasted, and impacting our net
profit figures for 2002. However, this investment in our sales program is
instrumental to initiate this product into the forefront of homeland defense
in the coming years," said Smith.
About TASER International, Inc.
TASER International, Inc. provides advanced less-lethal weapons for use in
the law enforcement, private security, and personal defense markets. Its
flagship ADVANCED TASER® product uses proprietary technology to incapacitate
dangerous, combative, or high-risk subjects that may be impervious to other
less-lethal means. This technology reduces injury rates to suspects and
officers, thereby lowering liability risk and improving officer safety. The
ADVANCED TASER is currently in testing or deployment at over 1400 law
enforcement and correctional agencies in the U.S. and Canada.
For actual statiscal balance sheet figures, please see www.TASER.com Company
Director of Government & Law Enforcement Affairs
TASER International (NASDAQ: TASR)
Steve@TASER.com * 800-978-2737 ext. 2006 * Fax 480-991-0791 * NEW Cell
7860 East McClain Dr., #2, Scottsdale, AZ, USA 85260-1627