OTC 02/15 0720 SYNCRONYS SOFTCORP REPORTS QUARTER AND SIX MONTHS ... Withdraws Nasdaq Application Due To Share Price Level CULVER CITY, Calif., Feb. 15 /PRNewswire/ -- Syncronys Softcorp (OTC: SYCR) today announced its results for the six months and the quarter ended December 31, 1995. Net sales for the six months ended December 31, 1995 were $13,319,988, compared with net sales of $490,444 for the same period last year. Net income for the six months was $1,180,946, compared with a net loss of ($34,060) for six months ended December 31, 1994. Earnings per share for six months ended December 31, 1995 were $0.08. Net sales for the quarter ended December 31, 1995 were $2,776,814, compared with net sales of $301,313 for the same period last year. Net loss for the quarter ended was ($2,942,011), compared with net income of $16,876 for the quarter ended December 31, 1994. Earnings per share for the quarter ended December 31, 1995 were a negative ($0.21). Per share data for 1995 was calculated on the basis of 14,411,159 weighted average number of common shares outstanding. Rainer Poertner, Syncronys President and Chief Executive Officer, stated, "Sales of our flagship product, SoftRAM started out strong early in the second quarter. Our financial results, however, were significantly affected by a decline in sales volume subsequent to our October 20 announcement that there was a problem with the Windows 95 version of SoftRAM and by a nonrecurring charge that was incurred later in the period as a result of our decision to recall SoftRAM95 from the retail channel." Poertner added, "Work on our new version of SoftRAM for Windows 95 is progressing well and we are anticipating the release of this version and several new products previously announced in the near future." Syncronys also announced that due to its lower share trading price it has withdrawn its Nasdaq application. However, as Poertner commented, "We remain committed to seeking a listing on Nasdaq and as soon as our share price meets the requirements, we intend to reapply at the earliest opportunity." Headquartered in Culver City, California, Syncronys Softcorp is a leader in the business of providing memory enhancement and other performance-improving software for PCs. Syncronys' diversified complement of software products are sold through distribution channels worldwide. For more information on Syncronys Softcorp via facsimile at no cost, simply call 1-800-PRO-INFO and dial client code 076. Syncronys Softcorp and Subsidiary Comparative Consolidated Statements of Operations (unaudited) Three Months Ended Six Months Ended December 31, December 31, 1995 1994 1995 1994 Net Sales $2,776,814 $301,313 $13,319,988 $490,444 Cost of goods sold 384,783 9,509 1,688,958 19,763 Gross profit 2,392,031 291,804 11,631,030 470,681 Operating expenses: Research and development 353,940 163,005 578,343 264,404 Marketing and selling 3,725,745 74,540 5,522,111 153,333 General and administrative 766,200 37,400 1,125,592 87,041 Nonrecurring Charges - Recall 2,500,000 -- 2,500,000 -- Total operating expenses 7,345,885 274,945 9,726,046 504,778 Operating income (loss) (4,953,854) 16,859 1,904,984 (34,097) Other income 40,820 17 53,577 37 Income (loss) before income taxes (4,913,034) 16,876 1,958,561 (34,060) Income Taxes (1,971,023) -- 777,615 -- Net income (loss) ($2,942,011) $16,876 $1,180,946 (34,060) Net earnings (loss) per share ($0.21) -- $.08 -- Weighted average number of common shares and common share equivalents used in computation of net earnings per share 14,411,159 12,957,000 14,411,159 12,957,000 Syncronys Softcorp and Subsidiary Consolidated Balance Sheet December 31, 1995 (unaudited) Assets Current Assets: Cash and cash equivalents $3,886,015 Trade accounts receivable, less allowance for doubtful receivables and returns of $2,073,568 1,445,920 Inventories 327,500 Deferred tax assets 230,000 Deferred expenses and other current assets 380,239 Total current assets 6,269,674 Property and equipment, at cost, net 268,193 Other assets, at cost, less accumulated amortization of $132,476 117,180 Total assets $6,655,047 Liabilities and Stockholders' Equity Current liabilities: Trade accounts payable $1,211,058 Current installments of long-term debt 150,051 Income taxes payable 308,050 Accrued expenses 1,306,080 Total current liabilities 2,975,239 Long-term debt, excluding current installments 133,054 Stockholders' equity: Common stock, $.0001 par value. Authorized 75,000,000 shares; issued and outstanding 13,821,000 shares 1,382 Additional paid in capital 1,987,533 Retained earnings 1,557,839 Total stockholders' equity 3,546,754 Total liabilities and stockholders' equity $6,655,047 -0- 2/15/96 /CONTACT: Rainer Poertner, President of Syncronys Softcorp, 310-842-9203; or Fiona Ross, General Information, or Moira Conlon, Analyst Contact, 310-442-0599, both of The Financial Relations Board/ (SYCR) CO: Syncronys Softcorp ST: California IN: CPR SU: ERN