EXHIBIT 99.1
LOGO



American Telecom Services Reports 119% Sequential Increase in Gross
Revenues to $9.9 Million for Second Quarter of Fiscal 2007

Company reports significant expansion in DECT 6.0 product assortment
Retail distribution reaches more than 12,000 locations

Contact: Company
Investors:
Media:
Bruce Hahn, CEO
Brett Maas
Danielle Ross
(310) 871-9904
Hayden Communications
Comunicano, Inc.
(404) 261-7466
(646) 536-7331
(858) 314-2958
Bruce.Hahn@atsphone.com
Brett@haydenir.com
dross@comunicano.com
     
 
City of Industry, California, February 15, 2007
- American Telecom Services Inc. (AMEX: TES), a provider of converged communications solutions today announced financial results for the second fiscal quarter ended December 31, 2006.
 
The Company announced gross revenues for the second quarter of $9.9 million, up 119% sequentially versus $4.5 million in the first quarter of fiscal year 2007. Net revenues, which include certain reductions for returns and promotional expenses were $7.4 million, up 95% compared to the first fiscal quarter net revenue of $3.8 million. The Company is continuing its high revenue growth trend, fueled by new product introductions including several new “Interference Free” DECT 6.0 models at its existing retail partners and heavy holiday season promotion. The Company anticipates that the increased second quarter hardware sell-through will begin to serve as the catalyst for long-term recurring service revenues.
 
The cost of sales for the quarter was $6.8 million. On a GAAP basis, gross profit was $0.5 million or 7.3%, down from 20.9% in the prior quarter. On a non GAAP basis, removing the effect of promotional rebates of $1.9 million from sales, gross profit margin was 26.6%, down sequentially from 29.9% in the prior quarter. The reduction of gross margin on gross sales compared to the previous period was primarily due to the Company’s decision to continue to accelerate the production of its phones and to expand its distribution through offering rebates. In addition, there is approximately a (2.2) percentage point impact on gross profit margin as the Company again elected to use off-the-shelf chipsets and air freight to meet the increased demand. The Company reduced product costs for cooperative advertising for a retail partner, resulting in an additional two percent impact on total gross profit margin. These decisions enabled the Company to ship and sell through at retailers hundreds of thousands of handsets in this period, increasing the potential for recurring service revenues throughout calendar 2007 and securing long-term retail shelf space and product placement.
 
The Company evaluates performance based on, among many other things, margins on gross sales removing the effects of expenses related to rebates and promotional expenses from revenues, which is a non GAAP measurement. The Company believes that gross sales and the margins on gross sales is an important measure in communicating the growth of its core business.
 
 
 

The following information was filed by American Telecom Services Inc (ATEL) on Thursday, February 15, 2007 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.

View differences made from one quarter to another to evaluate American Telecom Services Inc's financial trajectory

Compare SEC Filings Year-over-Year (YoY) and Quarter-over-Quarter (QoQ)
Sample 10-K Year-over-Year (YoY) Comparison

Compare this 10-Q Quarterly Report to its predecessor by reading our highlights to see what text and tables were  removed  ,   added    and   changed   by American Telecom Services Inc.

Continue

Never Miss A New SEC Filing Again


Real-Time SEC Filing Notifications
Screenshot taken from Gmail for a new 10-K Annual Report
Last10K.com Member Feature

Receive an e-mail as soon as a company files an Annual Report, Quarterly Report or has new 8-K corporate news.

Continue

We Highlighted This SEC Filing For You


SEC Filing Sentiment Analysis - Bullish, Bearish, Neutral
Screenshot taken from Wynn's 2018 10-K Annual Report
Last10K.com Member Feature

Read positive and negative remarks made by management in their entirety without having to find them in a 10-K/Q.

Continue

Widen Your SEC Filing Reading Experience


Increased Reading Area for SEC Filings
Screenshot taken from Adobe Inc.'s 10-Q Quarterly Report
Last10K.com Member Feature

Remove data columns and navigations in order to see much more filing content and tables in one view

Continue

Uncover Actionable Information Inside SEC Filings


SEC Filing Disclosures
Screenshot taken from Lumber Liquidators 10-K Annual Report
Last10K.com Member Feature

Read both hidden opportunities and early signs of potential problems without having to find them in a 10-K/Q

Continue

Adobe PDF, Microsoft Word and Excel Downloads


Download Annual and Quarterly Reports as PDF, Word and Excel Documents
Screenshots of actual 10-K and 10-Q SEC Filings in PDF, Word and Excel formats
Last10K.com Member Feature

Export Annual and Quarterly Reports to Adobe PDF, Microsoft Word and Excel for offline viewing, annotations and analysis

Continue

FREE Financial Statements


Download Annual and Quarterly Reports as PDF, Word and Excel Documents
Screenshot of actual balance sheet from company 10-K Annual Report
Last10K.com Member Feature

Get one-click access to balance sheets, income, operations and cash flow statements without having to find them in Annual and Quarterly Reports

Continue for FREE

Intrinsic Value Calculator


Intrinsic Value Calculator
Screenshot of intrinsic value for AT&T (2019)
Last10K.com Member Feature

Our Intrinsic Value calculator estimates what an entire company is worth using up to 10 years of financial ratios to determine if a stock is overvalued or not

Continue

Financial Stability Report


Financial Stability Report
Screenshot of financial stability report for Coco-Cola (2019)
Last10K.com Member Feature

Our Financial Stability reports uses up to 10 years of financial ratios to determine the health of a company's EPS, Dividends, Book Value, Return on Equity, Current Ratio and Debt-to-Equity

Continue

Get a Better Picture of a Company's Performance


Financial Ratios
Available Financial Ratios
Last10K.com Member Feature

See how over 70 Growth, Profitability and Financial Ratios perform over 10 Years

Continue

Log in with your credentials

or    

Forgot your details?

Create Account