SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For November 12, 2002
BONSO ELECTRONICS INTERNATIONAL INC.
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(Translation of Registrant's name into English)
Unit 1106-1110, 11/F., Star House 3 Salisbury Road,
Tsimshatsui Kowloon, Hong Kong
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(Address of principal executive offices)
[Indicate by check mark whether the Registrant files or will file annual reports
under cover of Form 20-F or Form 40-F.]
Form 20-F [X] Form 40-F [ ]
[Indicate by check mark whether the Registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.]
Yes [ ] No [X]
BONSO ELECTRONICS REPORTS SECOND QUARTER RESULTS AND ARBITRATION PROCEEDINGS
WITH AUGUSTA TECHNOLOGIE AG
HONG KONG, November 12, 2002 - Bonso Electronics International Inc.
(NASDAQ:BNSO) today announced net income of $26,000, or $0.005 per share, on
revenues of $10,611,000 for the second fiscal quarter ended September 30, 2002.
Earnings declined 94 percent from $408,000, or $0.074 per share, for the
second quarter of fiscal 2002, while revenues were down 23 percent from
$13,848,000 in the same 2002 period.
For six months ended September 30,2002, net income was $549,000 or $0.096
per share on revenues of $20,728,000. Earnings declined 49% from $1,075,000 or
$0.194 per share and revenues were down 22% from $26,429,000 in the same 2002
period.
Second quarter revenues reflect the continuing slow recovery of the
telecommunications industry, which provided Bonso with approximately 33% of its
Fiscal Year 2002 sales, according to Anthony So, Bonso Chairman, President and
CEO. Mr. So said "Our scale business for the first half of the year was
maintained at the same level of $15 million as Fiscal Year 2002, but orders for
wireless products were down 45%." Further, we are cautiously optimistic that our
telecommunications business will increase during the second half of this Fiscal
Year".
The second quarter gross margin improved 3.5 percent on lower revenues,
compared to the same Fiscal Year 2002 period, which Mr. So attributed to a
formal program for improving manufacturing efficiency and overall business
processes.
In May of 2001, Bonso acquired KORONA Haushaltswaren GmbH & Co. KG
("Korona") from Augusta Technologie AG ("Augusta"). Part of the purchase price
paid to Augusta was the issue of 180,726 shares of Bonso's restricted common
stock. The Stock Purchase Agreement gave Augusta the right to have Bonso redeem
the common stock if the registration of the stock had not been declared
effective by the SEC on or before January 31, 2002. Bonso filed a registration
statement to register the common stock held by Augusta, which was declared
effective by the SEC on March 7, 2002. In March 2002, Augusta exercised the
repurchase obligation requesting to return the 180,726 shares of common stock to
us in exchange for a promissory note of $1,445,808, repayable in nine monthly
payments which would have commenced April 1, 2002 and bearing interest at a rate
of 8% per annum which would have resulted in an interest cost of approximately
$50,000 for the whole period of the promissory note. Management believes that
Bonso was not required to accept Augusta's tender of their shares, because
Augusta hindered the registration process by refusing to allow Korona's auditors
to update and certify Korona's financial statements. Although management
believes that it has meritorious defenses to the claims asserted by Augusta and
intends to defend these claims vigorously, arbitration is uncertain and Bonso
may not prevail in the arbitration proceeding.
About Bonso Electronics
Headquartered in Hong Kong, Bonso Electronics designs, develops,
manufactures, assembles and markets a comprehensive line of telecommunications
products, electronic scales and weighing instruments and health care products.
Bonso products are manufactured in the People's Republic of China on behalf of
customers primarily located in North America and Europe. Company services
include product design and prototyping, production tooling, procurement of
components, total quality management, and just-in-time delivery. With the May
2001 acquisition of Korona Haushaltswaren, GmbH, a distributor of household
scales in Europe, Bonso is embarking on its first consumer marketing venture in
Europe and the U.S. under the Korona brand. Bonso also independently designs and
develops electronic products for private label markets. For further information,
visit the company's web site at www.bonso.com.
FINANCIAL SUMMARY
For the Three Months For the six months
Ended June 30 Ended June 30
(Unaudited) (Unaudited)
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2002 2001 2002 2001
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Revenues($000) 10,611 13,848 20,728 26,429
Gross Profit($000) 2,814 3,191 5,682 5,878
Net Income($000) 26 408 549 1,075
Earnings Per Share($) 0.005 0.074 0.096 0.194
Weighted Average
Shares Outstanding(000) 5,710 5,540 5,710 5,540
The statements contained in the press release which are not historical facts are
forward-looking statements that involve certain risks and uncertainties
including, but not limited to, risks associated with the uncertainty of future
financial results, additional financing requirements, development of new
products, government approval processes, the impact of competitive products or
pricing, technological changes, the effect of economic conditions, the potential
effect of the dispute with Augusta Technologie AG and other uncertainties
detailed in the company's filings with the Securities and Exchange Commission.
Contact
Investor Relations Contact
George O'Leary
Tel : 949-760-9611
Fax : 949-760-9607
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
BONSO ELECTRONICS INTERNATIONAL INC.
(Registrant)
Date: November 12, 2002 By: /s/ Henry F. Schlueter
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Henry F. Schlueter, Assistant Secretary