WORLDS.COM REPORTS RECORD
THIRD QUARTER REVENUE; LOSSES REDUCED
Old Greenwich, CT, November 14, 2000- Worlds.com (OTC/BB: WDDD), the
leading three dimensional (3D) virtual reality entertainment portal on the
Internet, today announced record revenues for the third quarter ended
September 30, 2000.
For the three months ended September 30, 2000 revenues were $404,946,
compared to revenues of $148,682 for the three months ended September 30,
1999, an increase of 172 percent, and up 21 percent as compared to the
second quarter 2000 revenues of $333,741.
The loss for the three months ended September 30, 2000 was $1.78 million,
compared to a loss of $925,205 for the three months ended September 30,
1999. The current third quarter loss, when compared to the loss of $2.53
million for the second quarter, is a sequential improvement of 29 percent.
For the nine months ended September 30, 2000 revenues were $918,710,
compared to $241,607 posted for the nine months ended September 30, 1999, an
increase of 280 percent.
Loss per share for the three months ended September 30, 2000 was $.09, as
compared to $.06 for the corresponding 1999 period. For the nine months
ended September 30, 2000 the loss per share was $.34, as compared to $.16
for the corresponding period in 1999.
Key Third Quarter Accomplishments
The delivery of the first 3D virtual reality advertising mini-site in
China in conjunction with Worlds.com partner eNew Media for Coca-Cola
The development of a 3D Blair Witch World for Artisan Entertainment's
Blair Witch WebFest
The launch of an exclusive arrangement with Apple Records for the sale of
"plate" signed Beatles lithographs from the Worlds.com e-commerce site
The continued growth in revenue derived from e-commerce
The Company stated that the strong growth in revenues had come despite the
third quarter summer seasonality, traditionally a slow period for e-commerce
and subscription driven Internet companies.
"We continue to see revenues ramping up and the positive impact of cost
controls and previously instituted cost reduction efficiencies," said Steven
G. Chrust, Chairman of Worlds.com. "We believe that our losses have peaked
as a percentage of revenue and expect revenue growth to continue in the
fourth quarter, typically our strongest quarter on a seasonal basis.
"Although the accomplishment of our operating objectives depends on our
ability to raise the capital required to fund our current business plan, and
although no assurances can be given, we are hopeful that despite this
difficult market environment, we will raise the capital needed to move
forward. I believe we have sufficient funding to take us into the first
quarter of 2001 based on our internally generated cash and several new
business relationships that are on the horizon.
"To this end, I have recently made an additional personal investment in the
Company to continue to fuel our growth. I believe that our strategy can
succeed and that the business plan we are pursuing will prove profitable.
It is the very current turmoil in the Internet space which creates both the
challenge and the opportunity for our success," he said.
Mr. Chrust's $250,000 capital infusion was made after the third quarter
close and will not appear on the balance sheet for that period.
About Worlds.com
Worlds.com, the Internet's premier 3D virtual reality entertainment portal,
leverages its proprietary technology to offer visitors a network of virtual,
multi-user environments that have rich media graphics, text chat,
voice-to-voice chat, streaming video and e-commerce. The environments are
focused around entertainment interests and targeted communities such as
music, sports, and general entertainment environments. In the Worlds'
Avatar Gallery, visitors select an avatar (3D character), and customize it
into a personal virtual representation of themselves. The avatar is used to
travel in and through the various virtual environments and participate in
interactive activities involving entertainment, promotions, or e-commerce.
Avatars can chat with one another, dance in a nightclub, e-shop, watch video
clips and participate in other activities.
Worlds.com is headquartered in Old Greenwich, CT. For more information on
Worlds.com, please contact Mona J. Walsh, FOCUS Partners LLC at
203-762-9216.
Forward Looking Statements.Statements in this release contain forward-looking information about
management expectations, strategic plans, prospects, anticipated financial
or operational performance, and other similar matters. These statements are
based on the current expectations of Worlds and forecasts and assumptions
that involve risks and uncertainties. A variety of factors, many of which
are beyond Worlds control, could cause actual results to differ materially
from the expectations expressed in these statements. These factors include,
but are not limited to, the volatility of financial markets, actions and
initiatives by our current and potential competitors, events or
circumstances impacting our major customers or suppliers, our ability to
access capital markets when and as needed, the effect of current and future
legislation or regulation and additional factors described in the reports
filed by Worlds with the Securities and Exchange Commission (SEC), including
Worlds' Annual Report on Form 10-K for the year ended December 31, 1999,
which is available on the SEC's Web site, at www.sec.gov. Worlds undertakes
no responsibility to update or revise any statements in this presentation,
whether as a result of new information, future events or otherwise.
Worlds.com Third Quarter Results Comparison
(Unaudited)
Quarter Ended September 30, 2000
|
| |
3 Mos. Ending
September 30, 2000
|
3 Mos. Ending
September 30, 1999 |
Change
Inc/Dec
From 1999 |
| Revenue |
$404,946 |
$148,682 |
$256,264 |
| Cost
of Revenue
|
127,401 |
98,428 |
28,973 |
| SG&A |
2,032,432 |
962,228 |
1,070,204 |
| Operating Loss |
($1,754,887) |
($911,974) |
($842,913) |
| Interest Inc |
14,992 |
20,053 |
(5,061) |
| Interest Exp |
(44,487) |
(33,284) |
(11,203) |
| Net Gain/(Loss) |
($1,784,382) |
($925,205) |
($859,177) |
| Loss per share |
($0.09) |
($0.06) |
($0.03) |
| Weighted average
common shares
outstanding |
19,204,177 |
16,083,709 |
3,120,468 |
Worlds.com (WDDD)
|
| |
9 Mos. Ending
September 30, 2000
|
9 Mos. Ending
September 30, 1999 |
Change
Inc/Dec
From 1999 |
| Revenue |
$918,710 |
$241,607 |
$677,103 |
| Cost
of Revenue
|
339,713 |
168,783 |
170,930 |
| SG&A |
6,851,421 |
2,852,723 |
(3,998,698) |
| Operating Loss |
($6,272,424)
|
($2,779,899) |
($3,492,525) |
| Interest Inc |
83,045 |
38,019 |
45,026 |
| Interest Exp |
(130,260)
|
(102,206) |
(28,054) |
| Net Gain/(Loss) |
($6,319,639) |
($2,844,086) |
($3,475,553) |
| Loss per share |
($0.34) |
($0.16) |
($0.18) |
Weighted avg.
common shares
outstanding
|
18,690,777
|
17,300,203 |
1,390,574 |
|
