Minding
11 years ago
To my mind there are a few reasons to be interested in WIRX. First they are moving to list on a major exchange. Second their sales were up hugely in the last report. Third they are in the sweet spot for mobile accessories.
I have some in anticipation of the listing.
Kind regards,
Minding
=================
Here's what I consider to be the relevant part of an article at Seeking Alpha from late May (http://seekingalpha.com/article/1466611-another-way-to-play-the-boom-in-mobile?source=yahoo)
The Case For Wireless Xcessories
Wireless Xcessories is a cash-rich, profitable nano cap positioned to grow along with the growth in the market for mobile devices. When I first wrote about the company in 2011 ("A Nano Cap Bargain In The Wireless Space"), I mentioned that it had lost money on its operations over the previous three quarters, a loss the company's management had attributed in part to its transition to new business software. I bought the stock then primarily because of its balance sheet: the company's working capital was larger than its market capitalization.
Judging by the company's 4th quarter and annual 2012 results released last month, Wireless Xcessories has swung its operating business to a profit while maintaining a strong balance sheet. Some key numbers from its results follow; for context, note that the company's market capitalization, as of last Friday, was approximately $9 million and its share price was $2.25:
Sales: $12,462,110 in Q4, which represented a year-over-year increase of 94%. For the year, sales were $40,243,548, a year-over-year increase of 80%.
Operating Earnings: $323,453 in Q4, compared to an operating loss of ($14,089) in Q4 of 2011. For the year, operating earnings were $806,095 versus a loss of ($163,657) in 2011.
Net Income: $284,162 or $0.07 per share in Q4, compared to $135,848 or $0.03 per share in Q4 of 2011. For the year, net income was $584,044 or $0.15 per share in 2012, compared to $133,600 or $0.03 per share in 2011.
The most encouraging part of this report for me was the swing in operating earnings, suggesting that the company has found a way to grow its business by profitably selling its products (rather than discounting away its profit margins). The company's CEO, Steve Rade, noted in the release that the company's fourth quarter results were boosted by
[T]he increased sales volume of OtterBox, Incipio, and Trident phone cases, as well as the continued success of our proprietary line, Upwardly Mobile Accessories.
I happen to use an OtterBox case for my iPhone.
Valuation
Based on its closing price as of last Friday ($2.25) and its 2012 earnings, WIRX currently has a trailing Price/Earnings ratio of 15 and a Price/Sales ratio of 0.22. Bear in mind, though, that the company also had $8.1 million in net working capital as of the end of 2012; back that out and the company's operating business is selling for less than $1 million, based on its current market capitalization.
Possible Catalysts
WIRX has climbed nearly 90% since the company released its 2012 numbers late last month, but a few catalysts working in confluence could drive the stock significantly higher. Here are a few possible catalysts:
A relisting of the company's shares. The company voluntarily deregistered its shares in 2008, primarily as a cost savings measure; in its most recent quarterly release, the company's CEO announced Wireless Xcessories would apply to the SEC in the second quarter to relist the company's shares.
The initiation of any commentary/coverage of the company. Right now, there is a dearth of any sort of commentary about the stock. Searching Seeking Alpha just now, the only post I found on WIRX was the one I wrote in 2011; that was the case as well when I looked at the Investors Hub message board for the stock. That suggests to me that the stock's recent climb since its earnings may be mainly due to current shareholders accumulating more shares. The stock may have more room to run if new investors investigate it and find it a compelling value.
A strong Q1. If the company's earnings strength continues into the first quarter of this year, it may encourage new investors to investigate the company and existing investors may be willing to pay a higher multiple for new shares.
Risk Factors
Because WIRX has an extremely small float, those considering investing should note that the stock has the potential to be very volatile. And although the volume has increased slightly recently, in the past the stock has been extremely illiquid. Of course, whenever you invest in stocks, you also have to be concerned about the business risks the companies face. That's true with nano caps as well, but you are also faced with some additional risks. One is that earnings for small companies can be lumpier than those for larger companies. Another is that share prices can languish at prices well below even book or even liquid asset value (as was the case with WIRX when I first wrote about it in 2011). This disconnect between price and value is far less common among larger stocks, where the market operates more efficiently.
di4
16 years ago
The Wireless Xcessories Group Announces First Quarter Net Income and Declares First Annual Dividend
Apr 30, 2009 10:23:00 AM
2009 GlobeNewswire, Inc.
Email Story Discuss on ZenoBank
View Additional ProfilesHUNTINGDON VALLEY, Pa., April 30, 2009 (GLOBE NEWSWIRE) -- The Wireless Xcessories Group, Inc. (Pink Sheets:WIRX), a nationwide manufacturer and distributor of electronic and cellular accessories, announced first quarter 2009 results for the period ended March 31. The Company reported first quarter revenue of $4,708,808, compared to $5,914,645 for the same period in fiscal 2008 or a net decrease of 20.4%.
Income from Operations
The Company showed income from operations of $286,000 or approximately $0.07 per share as compared to $133,000 or approximately $0.03 per share in 2008.
Net Income Comparison
First quarter net income after taxes totaled $106,000, compared to a net loss of $11,000 in the same period for 2008.
Key Financial Comparisons
The Company ended the quarter with working capital of approximately $6.8 million. The Company has no debt, and total equity was $7,516,000 as of March 31, 2009.
Dividend Declaration
The Board of Directors has declared a dividend of $.05 per share payable to stockholders of record on May 5, 2009 payable by May 19, 2009.
Steve Rade, CEO, stated, "Our first quarter operating income increased by $153,000 from 2008 in spite of a 20% reduction in sales. Our gross margin percentage improved significantly from 31.5% to 38.9% as a percentage of sales as most of our sales reduction was in lower margin products, particularly Bluetooth, and the result of tighter controls of inventory and freight expenses. Additionally, we were able to reduce our operating expense by approximately $181,000 a result of vigorous cost cutting to maintain our profitability in this poor economic climate.
We have decided to begin paying an annual dividend of $.05 per share and hope to continue or increase this amount in future years. We believe paying dividends is another way of providing value to our shareholders.
For the quarter, our pretax income was affected by a $120,000 decline in the value of our mutual fund investments compared to a decline of $172,000 in 2008. We feel confident that much of our investments will be recouped as economic conditions improve".
About Wireless Xcessories Group
Wireless Xcessories Group, Inc. designs, manufactures and distributes accessories for cellular phones. The Company offers in excess of 3,000 items that include batteries, hands free devices, car and travel chargers, as well as a variety of carrying cases. The Company sells to dealers and distributors through an in-house sales force and directly from its website, http://www.wirexgroup.com.
CONTACT: Wireless Xcessories Group
Dan Kenderdine
800-233-0013 ext. 1404
Soapy Bubbles
16 years ago
Contact Information Business Description
Wireless Xcessories Group, Inc.
1840 County Line Rd.
Huntingdon Valley, PA 19006
http://www.wirexgroup.com
Phone: 215-322-4600
OTC Market Tier
Pink Sheets Limited
Primary SIC — Industry Classification
3690 - Miscellaneous Electrical Machinery, Equipment & Supplies
State Of Incorporation
DE
Jurisdiction Of Incorporation
United States
Company Officers
Ronald E. Badke, CFO , Secretary
Steve Rade, President, CEO
SEC Reporting Status
De-Registered
CIK
0001005504
Fiscal Year End
12/31
Estimated Market Cap
4,606,978 as of Aug 15, 2008
Outstanding Shares
4,387,598 as of Feb 29, 2008
Number of Share Holders of Record
64 as of Mar 28, 2008
Soapy Bubbles
16 years ago
Wireless Xcessories Group Inc.
1840 County Line Road
Suite 301
Huntingdon Valley, PA 19006
United States - Map
Phone: 215-322-4600
Fax: 888-233-0220
Web Site: http://www.wirexgroup.com
DETAILS
Index Membership: N/A
Sector:
Industry:
Full Time Employees: 78
BUSINESS SUMMARY
Wireless Xcessories Group, Inc. provides cell phone accessories to dealers, distributors, retailers, agents, and airtime carriers in the United States and Canada. The company offers various products, such as batteries, chargers, and antennas. It also provides airtime carrier phone and accessories compatible charts, email blast management programs, customized retail packaging, sales training materials, in store displays and posters, and private label e-commerce Web sites that allow customers to offer product line to their end users. The company was founded in 1983 and is headquartered in Huntingdon Valley, Pennsylvania.
Key Statistics
CORPORATE GOVERNANCE
Wireless Xcessories Group Inc.'s Corporate Governance Quotient (CGQ®) as of 1-Aug-08 is better than 44.4% of CGQ Universe companies and 27.4% of Technology Hardware & Equipment companies.
Brought to you by Institutional Shareholder Services.
View Financials
KEY EXECUTIVES
Pay Exercised
Mr. Stephen Rade , 70
Chairman, Chief Exec. Officer and Pres N/A N/A
Mr. Ronald E. Badke , 62
Chief Financial Officer and Sec. N/A N/A
Ms. Dawn Kenderdine , 38
VP and Bus. Devel. Mang. N/A N/A
Ms. Susan Rade ,
VP and Sales Account manager N/A N/A
Mr. Dan Kenderdine ,
Facility Director and Warehouse Mang. N/A N/A
Soapy Bubbles
16 years ago
The Wireless Xcessories Group Announces Second Quarter Results
Friday, August 15 2008 - 16:00
WIRX $1.05 $0 (%0)
HUNTINGDON VALLEY, Pa., Aug. 15, 2008 (PRIME NEWSWIRE) -- The Wireless Xcessories Group, Inc. (Pink Sheets:WIRX), a nationwide manufacturer and distributor of electronic and cellular accessories and creator of private labeled websites for affiliates, announced second quarter 2008 results for the period ended June 30, 2008. The Company reported second quarter revenue of $6,556,000, compared to $6,080,000 for the same period in fiscal 2007 or a net increase of 7.8%.
The Company had 2008 second quarter net income of $ 81,000 or $ .02 per share, compared to net income of $188,000 or $.04 per share in the same period for 2007.
For the six months ended June 30, 2008, revenues were $12,471,000, compared to $12,153,000 in 2007, or a net increase of 2.6%.
Total net income was $69,000 or $.02 per share for the six months ended June 30, 2008 compared to $.10 per share in the same period in 2007.
The Company had working capital of $7.0 million, at both December 31, 2007 and June 30, 2008 but improved its current ratio from 8.5 to 1.00 to 9.8 to 1.00 for the respective periods. The Company has no debt, and total equity was $7,478,000 as of June 30, 2008.
During April, 2008 the Company purchased a final total of 165,100 shares of the 200,000 shares authorized of its stock at a price of $.83 per share under the stock repurchase program approved by the Board of Directors in December, 2007.
Steve Rade, CEO, stated, "Our sales were up in the second quarter by 7.83% while our income before taxes decreased by $181,000 from the same period in 2007. The decline in operating income was primarily attributable to a drop in our gross margin percentage as a result of our plan to expand the sale of lower margin Bluetooth, Memory card and OEM products at competitive prices.
"On a year to date basis our Pretax Income was affected by the result of an $187,000 loss on Marketable Securities in 2008 versus $43,000 of net gains in 2007, or a net swing of $230,000 due to negative stock market conditions.
"In regard to our core business, we have reversed the down trend of late 2007 and early 2008 and have now shown five consecutive months of sales increases including a record July 2008. We are excited about the customers that have been added and their potential to generate higher margins. Additionally, we will continue to look for added efficiencies in our operation and cut costs wherever possible in order to enhance our profitability."
About Wireless Xcessories Group
Wireless Xcessories Group, Inc. designs and distributes a range of accessories for cellular phones throughout the United States and Canada. The Company offers in excess of 3,000 items that include rechargeable batteries, personal and vehicle hands free kits, in-car and travel chargers, as well as a variety of carrying cases. The Company sells to dealers and distributors through an in-house sales force and directly from its website, http://www.wirexgroup.com. Wireless Xcessories also creates private labeled websites, www.GetAccessories.net, for its dealers.
The Company filed a Form 15 on April 24, 2008, effectively suspending the Company's obligation to file quarterly and annual reports 10QSB AND 1OKSB. The Company's new trading symbol is "WIRX" and you can view our activity on http://www.pinksheets.com.
You can view a copy of the Company's internal financial statements as of and for the six months ended June 30, 2008 by going to our website address http://www.wirexgroup.com.
CONTACT: Wireless Xcessories Group
Dan Kenderdine
800-233-0013 ext. 1404
hitex
20 years ago
WIRX News today is HUGE!
Press Release Source: Wireless Xcessories Group, Inc.
Wireless Xcessories Group Reports First Quarter Results. Sales Increase 57%, Helping Net Income Rise 745%
Monday April 25, 11:00 am ET
Company Increases 2005 Revenue and Earnings Guidance
HUNTINGDON VALLEY, Pa.--(BUSINESS WIRE)--April 25, 2005--Wireless Xcessories Group, Inc. (OTCBB:WIRX - News), a nationwide distributor of over 4,000 accessories for cellular phones and other wireless devices, announced today its results for the first quarter ended March 31, 2005.
The company reported revenue of $4,955,000, an increase of 57% compared to $3,151,000 for the same period in fiscal 2004. Wireless Xcessories Group had net income of $575,000, or $0.13 per basic and diluted share, an increase of 745% compared to net income of $68,000, or $0.01 per basic and diluted share in the same period for 2004.
Steve Rade, CEO stated: "The combination of new products, increased sales and Internet distribution has resulted in our strong increase in revenue and earnings."
"New products such as the IPOD, MP3, PDA, Bluetooth, and OEM accessories along with the distribution of phones helped us to penetrate new markets, in addition to funneling more product categories to our regular customer base. The investments we made in additional sales personnel have paid off. We increased our sales organization by 20%, which has allowed us to expand our marketing to new dealers and provide better service to our current customers. In addition to the increase in our sales force, we saw strong growth from our IndustrialStrengthCellular.com accessory website. As of April 1st, we had 500 partners with 5,000 storefronts. The site serves to enhance our relationships with wireless dealers, who expand their commitment to selling our products by affiliating with our website."
Business Outlook
The company plans for the balance of 2005 to focus on expanding the variety of phone brands it sells and the addition of entertainment accessories like MP3 players. This initiative, along with enhanced sales and marketing activities, allow the Company to increase its full-year revenue guidance from a 20% increase in sales versus 2004 to a 30% increase. The Company today is also increasing its projected net income from its previously announced increase of 30% compared with 2004 to 50% for 2005.
We recently applied for listing on the American Stock Exchange and are waiting to receive approval of our application.
Wireless Xcessories Group, Inc. designs and distributes a range of accessories for cellular phones throughout the United States and Canada. The Company offers in excess of 4,000 items that include rechargeable batteries, personal and vehicle hands free kits, portable and vehicle antennas, in-car and travel chargers, and plain and colored carrying cases. The Company sells to dealers and distributors through an in-house sales force and directly from its website, www.wirexgroup.com. Wireless Xcessories also creates customized e- commerce websites, Industrial Cellular Strength.com, for its dealers and produces 2 product line catalogs that are circulated nationally and internationally.
This press release contains forward-looking statements, Actual results may differ materially from the forward-looking statements. All such statements may involve risk and uncertainties, including without limitation, whether the new product lines will have a positive impact on sales and profits, as well as any other assertions and risks detailed in the Wireless Xcessories Group, Inc. filings and reports with the Securities and Exchange Commission. Such statements are only predictions and actual events or results may differ.
--------------------------------------------------------------------------------
Contact:
Wireless Xcessories Group, Inc.
Dan Kenderdine, 800-233-0013 x 1404
or
CEOcast
Ed Lewis, 212-732-4300
--------------------------------------------------------------------------------
Source: Wireless Xcessories Group, Inc.
hitex
20 years ago
WIRX PR! AMEX listing will happen, too!
Press Release Source: Wireless Xcessories Group, Inc.
Wireless Xcessories Group, Nasdaq: Wirx, Reports Fourth Quarter and Full Year Results. Fourth Quarter Sales Up 39%, Net Income Up 250%, and Full Year Earning $.21 Per Share
Thursday February 24, 10:00 am ET
HUNTINGDON VALLEY, Pa.--(BUSINESS WIRE)--Feb. 24, 2005--Wireless Xcessories Group, Inc. (Nasdaq:WIRX - News), a nationwide distributor of over 4,000 accessories for cellular phones and other wireless devices, announced its results for the fourth quarter and full year ended December 31, 2004.
For the quarter the company earned $343,000 and $.07 per share, an increase of 250% over per share earnings in 2003. Sales grew to $4,177,000 an increase of 39%.
For the fiscal year ending 12/31/04, sales grew by 33% and the company earned $1,008,416 or $0.21 per share compared with a fiscal '03 Net loss of $164,000.
Steve Rade, CEO stated "We attribute our strong growth in 2004 to the two accessory product lines, Industrial Strength and The Platinum Collection we introduced this year. Our customers welcomed the opportunity to carry upgraded products with the higher profit margins they offer. Capitalizing on the growth of e-commerce, we have signed more than 450 dealers, some with more than 50 locations, to our Industrial Strength Cellular.com private labeled website. This will insure the fact that they continue to buy our products as their consumers see the variety and selection available to them."
Our expansion plans in 2005 involve 3 new areas of growth:
In January we signed a master distribution agreement with Hop-On. (OTC:HPON - News) who develops and markets wireless phones throughout the world. We began marketing these entry level phones to our dealer base in February. Also in February, we introduced a line of OEM accessories consisting of 3-400 new accessories for every phone from Audiovox to Sony/Ericsson. We also created an entertainment accessories division that sells products for Apple I-pods and MP3 players. We will be adding to this line over the coming months as we attempt to educate wireless dealers to the opportunities available in these new market segments.
Within the next 30-60 days we expect to apply for listing on the American Stock Exchange.
Wireless Xcessories Group, Inc. designs and distributes a range of accessories for cellular phones throughout the United States and Canada. The Company offers in excess of 4,000 items that include rechargeable batteries, personal and vehicle hands free kits, portable and vehicle antennas, in-car and travel chargers, plain and colored carrying cases, fashionable accessory faceplates and colored housings. The Company sells to dealers, distributors, communication carriers, and mass merchandisers through an in-house sales force and directly from its website, www.wirexgroup.com. Wireless Xcessories also creates customized e- commerce websites Industrial Cellular Strength.com for its dealers and produces 2 product line catalogs that are circulated nationally and internationally.
This press release contains forward-looking statements, Actual results may differ materially from the forward-looking statements. All such statements may involve risk and uncertainties, including without limitation, whether the new product line will have a positive impact on sales and profits, as well as any other assertions and risks detailed in the Wireless Xcessories Group, Inc. filings and reports with the Securities and Exchange Commission. Such statements are only predictions and actual events or results may differ.
--------------------------------------------------------------------------------
Contact:
Wireless Xcessories Group, Inc.
Stephen Rade, 215-322-4600
--------------------------------------------------------------------------------
Source: Wireless Xcessories Group, Inc.
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