INTRICON OFFERS COVID-19 RELATED BUSINESS UPDATE - Seite 2

“While our business is likely to be impacted in the short-term by the delay of non-essential medical procedures, device upgrades and new product launches, we have a strong balance sheet that will allow us to maintain our operations and preserves our ability to realize future growth. The IntriCon team remains committed to the priorities we established for this year: continuing to meet the volume demands of our key customers and partners, while pursuing new business opportunities that can best leverage our core competencies in order to accelerate long-term growth and diversify our revenue base,” concluded Gorder.

Preliminary First Quarter and Full Year 2020 Outlook
For the first quarter 2020, the company expects to report revenue in the range of $21.5 million to $22.5 million compared to its previous guidance of $23.5 million to $24.5 million. The lower than anticipated revenue is primarily due to COVID-19’s impact on business trends in March.

As of March 31, 2020, IntriCon had approximately $37.5 million in net cash and cash equivalents. Additionally, the company does not carry any outstanding debt obligations.

Due to the rapidly evolving environment and continued uncertainties resulting from the COVID-19 virus, IntriCon is withdrawing its previously announced full year 2020 guidance. Although IntriCon cannot predict the specific extent or duration of the impact of COVID-19 on its full year financial and operating results, the company anticipates a notable inventory level adjustment for its largest customer that will negatively impact second quarter results.

IntriCon plans to provide additional information, to the extent practicable, during its first quarter earnings call in May.

Forward-Looking Statements
Statements made in this release and in IntriCon’s other public filings and releases that are not historical facts or that include forward-looking terminology, including estimates of future results, are “forward-looking statements” within the meaning of the Securities Exchange Act of 1934, as amended. These forward-looking statements may be affected by known and unknown risks, uncertainties and other factors that are beyond IntriCon’s control, and may cause IntriCon’s actual results, performance or achievements to differ materially from the results, performance and achievements expressed or implied in the forward-looking statements. These risks, uncertainties and other factors are detailed from time to time in the company’s filings with the Securities and Exchange Commission, including the Annual Report on Form 10-K for the year ended December 31, 2019. The company disclaims any intent or obligation to publicly update or revise any forward-looking statements, regardless of whether new information becomes available, future developments occur or otherwise.