[ This is a news bulletin from QRS to the press which appeared
[ on AOL news service.
QRS Music Technologies, Inc. Reports Second- Quarter Results; Sales Increase
16 Percent for Six-Month Period and Income from Operations up Dramatically
NAPLES, Fla.--March 3, 1998--QRS Music Technologies, Inc. ("QRS")
today reported sales and net earnings for the three months ended
December 31, 1997.
Sales were $3,560,358, as compared to $3,181,028 for the year-ago period,
a 12 percent increase. Net earnings for the period were $44,581, or $.00456
per share, as compared to $579,540, or $.05923 per share, for the year-ago
period.
Most of the net earnings for the three-month period ended December 31,
1996, $565,619, were attributed to a year-end inventory adjustment. Without
the inventory adjustment for the three months ended December 31, 1996, the
net earnings would have been approximately $14,000. The company is now
making necessary inventory adjustments on a monthly basis.
For the six-month period ended December 31, 1997, sales were $5,851,692,
as compared to $5,038,933 for the year-ago period, a 16 percent increase.
Net earnings for the period were $64,996, or $.007 per share, as compared to
$466,303, or $.055 per share, for the year- ago period. The inventory
adjustment described for the three-month period also applies to the six-month
period. Without the inventory adjustment, the net loss for the six-month
period would have been approximately $99,000.
In contrast with net earnings, income from operations for the three
months ended December 31 were $121,871, a 42 percent increase, as compared to
$85,544 for the year-ago period. Income from operations for the six-month
period were $185,855, as compared to a $19,165 loss for the year-ago period.
Richard A. Dolan, President and Chairman, said: "Orders received at the
National Association of Musical Manufacturers (NAMM) show in January were
approximately triple of those of the previous year. The trade is becoming
more receptive to our diverse and innovative line of pianos and related
products. Recent order taking has also been more than for the same period
last year. This year will be a year of improving our vendor quality and on-
time delivery performance so that we can meet our increased volume and quality
requirements."
The QRS Pianomation(TM) system can turn any piano into a reproducing
player piano. A patented hardware and software process can store and
transport Musical Instrument Digital Interface ("MIDI") information as an
analog signal. This process gives QRS the ability to store, and wirelessly
transmit, MIDI performance data in an analog format from a controller (CD,
video, cassette, DAT or Minidisc) to the receiver on the piano. This creates
numerous possibilities. For example, most off-the-shelf audio equipment has a
left and right channel available for use. State-of-the-art technology
permits QRS to store the digital signal in an analog format on the left
channel of the software which operates those players. This leaves the right
channel available for live prerecorded audio music, even vocal recordings.
Pianomation(TM) blends them together in perfect harmony and perfect
synchronization. The Pianomation(TM) MIDI System is the first product of its
kind to "marry" analog and digital technology.
Forward-Looking Statements
Statements made in this news release that relate to future plans, events
or performances are forward-looking statements. Any statements containing
words such as "believes," "should," "anticipates," "plans," or "expects" is
forward-looking, and these statements involve risks and uncertainties and are
based on current expectations. Consequently, actual results could differ
materially from the expectations expressed in these forward-looking
statements.
QRS Music Technologies' World Wide Web site is http://www.QRSMusic.com.
Sample audio selections are available at the Web site. QRS is also on
America Online (Keyword: QRS). QRS Music Technologies, Inc.'s stock is
traded on the OTC Bulletin Board market system under the symbol QRSM.
Standard & Poor's CORPORATIONS RECORDS provides coverage on QRS Music, Inc.
Standard & Poor's Internet site for QRS is
http://www.stockinfo.standardpoor.com/otc/QRSM-74726W-profile.htm.
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