Mr. Johnson continued: “In our OEM business, we have recently been awarded several large programs by two major customers. We anticipate that these programs will begin to contribute meaningfully to revenues in the second half of fiscal 2012. In addition, we have experienced increased interest from several existing customers in both diabetic and consumer electronics products. We are committed to growing our OEM business and we are encouraged by the momentum we are experiencing in this channel. At the same time, there are also headwinds in this market, as we continue to face a very price-constrained environment and are looking at increases in supplier prices.”
“As previously announced, our strategy is to leverage our design, logistics, and sourcing expertise to build a global, multi-channel (retail, corporate, online and OEM) consumer electronics accessory brand that defines itself through leading edge technology. We have invested significantly in product development and sales resources in order to launch a “Forward” branded line of cases and accessories into the retail and corporate marketplace. This product range will include an extensive collection of cases for smartphones, tablets and portable computers, incorporating our exclusive license of G-Form’s revolutionary and patented protection technology.”
“We believe the investments we have made in experienced sales, design, product development, operations, and administrative personnel, will bear fruit in fiscal 2012 with the expansion of our product range, customer base and geographic coverage. As a result, we hope to achieve our goal of transitioning Forward from a predominantly “in-box” medical OEM case company, to a multi-channel, multi-product, geographically diverse business that differentiates itself through cutting-edge technology, design and innovation.”
The tables below are derived from the Company’s audited, consolidated financial statements included in its Annual Report on Form 10-K filed today with the Securities and Exchange Commission. Please refer to the Form 10-K for complete financial statements and further information regarding the Company’s results of operations and financial condition relating to the fiscal years ended September 30, 2011 and 2010. Please also refer to the Form 10-K for a discussion of risk factors applicable to the Company and its business.