Concur Technologies' Results Exceed Expectations for Third Consecutive Quarter

Fiscal Year 2001 Second Quarter Results Mark Second Consecutive Quarter

Of Improving Forward-Looking Guidance



Apr 25, 2001, 01:00 ET from Concur Technologies Inc.

    REDMOND, Wash., April 25 /PRNewswire/ --
 Concur Technologies, Inc. (Nasdaq:   CNQR), the leading provider of Corporate
 Expense Management solutions, today reported financial results for its fiscal
 year 2001 second quarter ended March 31, 2001.
     Concur reported fiscal year 2001 second quarter earnings per share,
 excluding one-time charges related to the sale of its Human Resources products
 division, of a loss of $(0.44) per share, which is $0.03 per share better than
 the mid-point of guidance provided by the Company.  This compares to a net
 loss of $(0.83) per share for the second quarter of fiscal year 2000.  Concur
 reported fiscal year 2001 second quarter net revenues of $9.0 million, equal
 to the mid-point of the revenue guidance previously provided by the Company.
 The net loss for the quarter, including the net restructuring charge, was
 $(0.45) per share.
     "I am extremely pleased to report a third consecutive quarter of exceeding
 analysts expectations," said Steve Singh, chairman, president, and chief
 executive officer for Concur.  "The second quarter of fiscal year 2001 also
 marks the second consecutive quarter that we are improving our forward-looking
 guidance for the remainder of the year.  Our results continue to demonstrate
 our ability to grow our company in a slowing economy while delivering on our
 operating plan to achieve profitability by the fourth fiscal quarter of 2002.
 Our performance reflects the efforts of a committed employee base driving to
 operational excellence, a positive customer experience, and strong growth."
 
     Key Second Quarter Events
 
     -- Concur signed 97 customer contracts in the second quarter of fiscal
 year 2001.  Of the 97 customer contracts signed, 66 represent new ASP
 customers.  This brings Concur's worldwide customer base to over 725 companies
 representing over 2 million employees.  New customers included Washington
 Mutual, Starwood Hotels, Xcel Energy, Alliant Technology Systems, and The
 Depository Trust Company.
     -- Concur formed a strategic alliance with Microsoft Great Plains Business
 Solutions to resell the Application Service Provider (ASP) model for Concur
 Expense(TM).  Concur Expense will be resold by Microsoft Great Plains' 2,000
 Value Added Resellers to middle market companies and existing Microsoft Great
 Plains Dynamics, eEnterprise, Solomon IV, and Classic customers.
     -- Cash utilization decreased significantly during the quarter to $6.2
 million as compared to $11.3 million in the December quarter, $15.6 million in
 the September quarter, and $21.1 million in the June quarter.  This is a
 direct result of the Company's continued focus on operational excellence and
 collection of outstanding accounts receivable.
     -- Days sales outstanding, a general measure of the overall health of the
 Company's outstanding accounts receivable, decreased significantly for the
 second consecutive quarter to 71 days as compared to 88 days for the December
 quarter and 104 days for the September quarter.
     -- Concur appointed William P. Hannon to its board of directors.  Mr.
 Hannon currently serves as managing director for Citigroup Business Services,
 and brings more than 30 years experience in banking and finance to the board
 of directors, having served in financial roles for both KPMG and Citigroup.
     -- Concur achieved a significant milestone in its reseller alliance with
 ADP.  The partnership has resulted in more than 100 new customers for Concur
 Expense ASP in less than two quarters after rolling out the solution to ADP's
 sales force.
     -- Concur sold its Human Resources products division to MBH Solutions,
 Inc. to further sharpen its focus on Corporate Expense Management and
 achieving profitability, while placing its Human Resources business in the
 hands of an experienced provider of HR solutions.  The net effect on
 operations as a result of this transaction will be seen over future quarters
 and will result in a positive impact on the bottom line.
 
     Business Outlook
     The following statements are based on Concur's current expectations and
 the Company does not undertake any duty to update them.  These statements are
 forward looking and inherently uncertain.  Actual results may differ
 materially as a result of the factors identified below, the factors identified
 in Concur's public filings made with the Securities and Exchange Commission,
 or other factors.
 
     -- Concur expects total net revenues to be between $9.0 and $9.3 million
 for the third quarter of fiscal year 2001, between $10.5 and $11.3 million for
 the fourth quarter of fiscal year 2001 and between $38.9 and $40.0 million for
 fiscal year 2001.
     -- Concur expects total cost of revenues to be between $5.6 and
 $6.0 million for the third quarter of fiscal year 2001, between $6.1 and
 $6.5 million for the fourth quarter of fiscal year 2001 and between $23.4 and
 $24.2 million for fiscal year 2001.
     -- Concur expects total operating expenses to be between $12.1 and
 $12.7 million for the third quarter of fiscal year 2001, between $11.6 and
 $12.2 million for the fourth quarter of fiscal year 2001 and between $54.3 and
 $55.5 million for fiscal year 2001.
     -- Concur expects a loss per share of between $(0.32) and $(0.37) for the
 third quarter of fiscal year 2001, between $(0.24) and $(0.31) for the fourth
 quarter of fiscal year 2001 and between $(1.43) and $(1.55) for fiscal year
 2001.  As compared to Concur's most recent public guidance, this represents an
 improvement over its expected net loss for the fiscal year of between
 $(0.06) and $(0.07) per share.
 
     About Concur Technologies, Inc.
     Concur Technologies, Inc. is the leading provider of Corporate Expense
 Management solutions that automate costly and inefficient business processes,
 allowing companies to better leverage their most limited resources:  time,
 money, knowledge, and energy.  Meeting the needs of businesses of all sizes,
 Concur's solutions include travel and entertainment expense management,
 employee requests for vendor payments, and time tracking and reporting, and
 can be delivered through licensed and Application Service Provider (ASP)
 models. Today, over 725 companies, including AT&T, Citigroup,
 Daimler-Chrysler, DuPont, First Union, and Pfizer, have licensed over
 2 million employees to use Concur's market-leading solutions to reduce costs,
 and increase productivity and access to data about internal business
 processes.  Delivering on its commitment to excellence and meeting the needs
 of its customers across the globe, Concur leverages its strategic alliances
 with more than 50 world-class organizations such as ADP, American Express,
 Exodus, KPMG Consulting, Inc., Microsoft, and Microsoft Great Plains Business
 Solutions, and has successfully deployed its solution to more than 1.2 million
 employees worldwide.  Concur also continues to expand its international market
 leadership with more than 50 companies deployed outside North America.  More
 information is available via the Internet at www.concur.com.
      NOTE:  All company or product names are trademarks and/or registered
 trademarks of their respective owners.
     This press release contains forward-looking statements that involve risks
 and uncertainties that could cause actual results to differ materially from
 current expectations. Mr. Singh's statements, the statements regarding the
 effects of the sale of the company's Human Resources business in the Key
 Second Quarter Events section, and the statements in the Business Outlook
 section are forward-looking statements. These statements are based on current
 expectations and involve risks and uncertainties. Factors that could cause or
 contribute to actual results differing from current expectations include, but
 are not limited to: risks associated with the discontinuation of products and
 the potential return of products sold to customers; risks associated with the
 ASP delivery of the company's products; the potential for unexpectedly slow
 growth of the company's ASP business; difficulties associated with strategic
 relationships and with development of new products in conjunction with
 business partners; risks associated with expansion into new markets; the
 company's history of uneven quarterly performance, and its lengthy sales
 cycles, which make the prediction of future operating results difficult; and
 uncertain market acceptance of the company's products, including any new
 Corporate Expense Management applications.
     Please refer to the company's public filings made with the Securities and
 Exchange Commission ( http://www.sec.gov ) for additional and more detailed
 information on risk factors that could cause actual results to differ
 materially from current expectations. Concur assumes no obligation to update
 the forward-looking information contained in this press release.
 
 
                           CONCUR TECHNOLOGIES, INC.
                      Condensed Consolidated Balance Sheet
                             (dollars in thousands)
 
                                                      March 31, September 30,
                                                        2001           2000
     ASSETS
     Current assets
     Cash, cash equivalents and marketable
      securities                                      $38,802        $56,242
     Accounts receivable, net                           6,963         11,317
     Prepaid expenses and other current assets          1,864          2,505
        Total current assets                           47,629         70,064
     Equipment and furniture, net                       8,936         10,469
     Other assets                                         779          1,135
     Total assets                                     $57,344        $81,668
 
     LIABILITIES & STOCKHOLDERS' EQUITY
 
     Current liabilities
     Accounts payable and accrued liabilities         $13,157        $13,410
     Current portion of long term liabilities           3,579          5,298
     Deferred revenues                                  4,444          3,905
     Total current liabilities                         21,180         22,613
     Long term liabilities                                665          2,042
     Stockholders' equity
     Common stock, $0.01 par value:
       Authorized shares - 60,000,000
       Issued and outstanding shares
        - 25,517,320 and 25,088,081 shares
        at  March 31, 2001 and
        September 30, 2000                            223,014        222,577
     Deferred stock compensation                         (89)          (179)
     Accumulated deficit                            (187,426)      (165,385)
     Total stockholders' equity                        35,499         57,013
     Total liabilities and stockholders' equity       $57,344       $ 81,668
 
                           CONCUR TECHNOLOGIES, INC.
                      Consolidated Statement of Operations
                     (in thousands, except per share data)
 
 
                                     Three months ended     Six months ended
                                         March 31,             March 31,
                                      2001      2000        2001        2000
     Revenues:
     Licenses                       $2,663     $5,991      $6,538    $10,109
     ASP                               980        184       1,712        274
     Services                        5,380      4,661      11,176      9,460
     Gross revenues                  9,023     10,836      19,426     19,843
     Cost of revenues:
     Licenses                          195        289         312        517
     ASP                             2,097        776       3,916      1,132
     Services                        3,632      5,878       7,505     11,427
     Total cost of revenues          5,924      6,943      11,733     13,076
     Gross profit                    3,099      3,893       7,693      6,767
     Operating expenses:
     Sales & marketing               6,461     10,610      13,741     19,698
     Research & development          5,074      9,718      10,273     18,352
     General & administrative        3,092      3,493       6,257      6,968
     Restructuring and other (A)       338         --         338         --
     Total operating expenses       14,965     23,821      30,609     45,018
     Loss from operations         (11,866)   (19,928)    (22,916)   (38,251)
     Other income, net                 332        614         875      1,607
     Net loss                    $(11,534)  $(19,314)   $(22,041)  $(36,644)
     Basic and diluted net loss
      per share                    $(0.45)   $ (0.83)    $ (0.87)   $ (1.59)
     Shares used in computation
      of basic and diluted net
      loss per share                25,499     23,204      25,385     23,024
 
     Pro Forma Results Excluding Restructuring and Other Charges
 
     Pro forma net loss,
      excluding restructuring
     and other charges           $(11,196)  $(19,314)  $(21,703)   $(36,644)
     Pro forma net loss per
      share, excluding
      restructuring and
      other charges                $(0.44)    $(0.83)    $(0.85)     $(1.59)
     Shares used in pro
      forma loss per share
      computation                   25,499     23,204     25,385      23,024
 
     (A) Pro forma results for the three and six month periods ended
 March 31, 2000 and 2001, respectively, are presented for informational
 purposes only and are not prepared in accordance with generally accepted
 accounting principles.  This information presents the operating results of
 Concur Technologies, Inc. excluding restructuring and other charges relating
 to the sale of the HR products division, totaling $338,000 and $0 for the
 quarters ended March 31, 2001 and 2000, and $338,000 and $0 for the
 years-to-date ended March 31, 2001 and 2000, respectively, all of which
 represent unusual costs not associated with the normal operations of the
 business.
 
     CONTACT:  John Adair of Concur Technologies, Inc., 425-497-6439, or
 johna@concur.com.
 
                      MAKE YOUR OPINION COUNT - Click Here
                http://tbutton.prnewswire.com/prn/11690X20362137
 
 

SOURCE Concur Technologies Inc.
    REDMOND, Wash., April 25 /PRNewswire/ --
 Concur Technologies, Inc. (Nasdaq:   CNQR), the leading provider of Corporate
 Expense Management solutions, today reported financial results for its fiscal
 year 2001 second quarter ended March 31, 2001.
     Concur reported fiscal year 2001 second quarter earnings per share,
 excluding one-time charges related to the sale of its Human Resources products
 division, of a loss of $(0.44) per share, which is $0.03 per share better than
 the mid-point of guidance provided by the Company.  This compares to a net
 loss of $(0.83) per share for the second quarter of fiscal year 2000.  Concur
 reported fiscal year 2001 second quarter net revenues of $9.0 million, equal
 to the mid-point of the revenue guidance previously provided by the Company.
 The net loss for the quarter, including the net restructuring charge, was
 $(0.45) per share.
     "I am extremely pleased to report a third consecutive quarter of exceeding
 analysts expectations," said Steve Singh, chairman, president, and chief
 executive officer for Concur.  "The second quarter of fiscal year 2001 also
 marks the second consecutive quarter that we are improving our forward-looking
 guidance for the remainder of the year.  Our results continue to demonstrate
 our ability to grow our company in a slowing economy while delivering on our
 operating plan to achieve profitability by the fourth fiscal quarter of 2002.
 Our performance reflects the efforts of a committed employee base driving to
 operational excellence, a positive customer experience, and strong growth."
 
     Key Second Quarter Events
 
     -- Concur signed 97 customer contracts in the second quarter of fiscal
 year 2001.  Of the 97 customer contracts signed, 66 represent new ASP
 customers.  This brings Concur's worldwide customer base to over 725 companies
 representing over 2 million employees.  New customers included Washington
 Mutual, Starwood Hotels, Xcel Energy, Alliant Technology Systems, and The
 Depository Trust Company.
     -- Concur formed a strategic alliance with Microsoft Great Plains Business
 Solutions to resell the Application Service Provider (ASP) model for Concur
 Expense(TM).  Concur Expense will be resold by Microsoft Great Plains' 2,000
 Value Added Resellers to middle market companies and existing Microsoft Great
 Plains Dynamics, eEnterprise, Solomon IV, and Classic customers.
     -- Cash utilization decreased significantly during the quarter to $6.2
 million as compared to $11.3 million in the December quarter, $15.6 million in
 the September quarter, and $21.1 million in the June quarter.  This is a
 direct result of the Company's continued focus on operational excellence and
 collection of outstanding accounts receivable.
     -- Days sales outstanding, a general measure of the overall health of the
 Company's outstanding accounts receivable, decreased significantly for the
 second consecutive quarter to 71 days as compared to 88 days for the December
 quarter and 104 days for the September quarter.
     -- Concur appointed William P. Hannon to its board of directors.  Mr.
 Hannon currently serves as managing director for Citigroup Business Services,
 and brings more than 30 years experience in banking and finance to the board
 of directors, having served in financial roles for both KPMG and Citigroup.
     -- Concur achieved a significant milestone in its reseller alliance with
 ADP.  The partnership has resulted in more than 100 new customers for Concur
 Expense ASP in less than two quarters after rolling out the solution to ADP's
 sales force.
     -- Concur sold its Human Resources products division to MBH Solutions,
 Inc. to further sharpen its focus on Corporate Expense Management and
 achieving profitability, while placing its Human Resources business in the
 hands of an experienced provider of HR solutions.  The net effect on
 operations as a result of this transaction will be seen over future quarters
 and will result in a positive impact on the bottom line.
 
     Business Outlook
     The following statements are based on Concur's current expectations and
 the Company does not undertake any duty to update them.  These statements are
 forward looking and inherently uncertain.  Actual results may differ
 materially as a result of the factors identified below, the factors identified
 in Concur's public filings made with the Securities and Exchange Commission,
 or other factors.
 
     -- Concur expects total net revenues to be between $9.0 and $9.3 million
 for the third quarter of fiscal year 2001, between $10.5 and $11.3 million for
 the fourth quarter of fiscal year 2001 and between $38.9 and $40.0 million for
 fiscal year 2001.
     -- Concur expects total cost of revenues to be between $5.6 and
 $6.0 million for the third quarter of fiscal year 2001, between $6.1 and
 $6.5 million for the fourth quarter of fiscal year 2001 and between $23.4 and
 $24.2 million for fiscal year 2001.
     -- Concur expects total operating expenses to be between $12.1 and
 $12.7 million for the third quarter of fiscal year 2001, between $11.6 and
 $12.2 million for the fourth quarter of fiscal year 2001 and between $54.3 and
 $55.5 million for fiscal year 2001.
     -- Concur expects a loss per share of between $(0.32) and $(0.37) for the
 third quarter of fiscal year 2001, between $(0.24) and $(0.31) for the fourth
 quarter of fiscal year 2001 and between $(1.43) and $(1.55) for fiscal year
 2001.  As compared to Concur's most recent public guidance, this represents an
 improvement over its expected net loss for the fiscal year of between
 $(0.06) and $(0.07) per share.
 
     About Concur Technologies, Inc.
     Concur Technologies, Inc. is the leading provider of Corporate Expense
 Management solutions that automate costly and inefficient business processes,
 allowing companies to better leverage their most limited resources:  time,
 money, knowledge, and energy.  Meeting the needs of businesses of all sizes,
 Concur's solutions include travel and entertainment expense management,
 employee requests for vendor payments, and time tracking and reporting, and
 can be delivered through licensed and Application Service Provider (ASP)
 models. Today, over 725 companies, including AT&T, Citigroup,
 Daimler-Chrysler, DuPont, First Union, and Pfizer, have licensed over
 2 million employees to use Concur's market-leading solutions to reduce costs,
 and increase productivity and access to data about internal business
 processes.  Delivering on its commitment to excellence and meeting the needs
 of its customers across the globe, Concur leverages its strategic alliances
 with more than 50 world-class organizations such as ADP, American Express,
 Exodus, KPMG Consulting, Inc., Microsoft, and Microsoft Great Plains Business
 Solutions, and has successfully deployed its solution to more than 1.2 million
 employees worldwide.  Concur also continues to expand its international market
 leadership with more than 50 companies deployed outside North America.  More
 information is available via the Internet at www.concur.com.
      NOTE:  All company or product names are trademarks and/or registered
 trademarks of their respective owners.
     This press release contains forward-looking statements that involve risks
 and uncertainties that could cause actual results to differ materially from
 current expectations. Mr. Singh's statements, the statements regarding the
 effects of the sale of the company's Human Resources business in the Key
 Second Quarter Events section, and the statements in the Business Outlook
 section are forward-looking statements. These statements are based on current
 expectations and involve risks and uncertainties. Factors that could cause or
 contribute to actual results differing from current expectations include, but
 are not limited to: risks associated with the discontinuation of products and
 the potential return of products sold to customers; risks associated with the
 ASP delivery of the company's products; the potential for unexpectedly slow
 growth of the company's ASP business; difficulties associated with strategic
 relationships and with development of new products in conjunction with
 business partners; risks associated with expansion into new markets; the
 company's history of uneven quarterly performance, and its lengthy sales
 cycles, which make the prediction of future operating results difficult; and
 uncertain market acceptance of the company's products, including any new
 Corporate Expense Management applications.
     Please refer to the company's public filings made with the Securities and
 Exchange Commission ( http://www.sec.gov ) for additional and more detailed
 information on risk factors that could cause actual results to differ
 materially from current expectations. Concur assumes no obligation to update
 the forward-looking information contained in this press release.
 
 
                           CONCUR TECHNOLOGIES, INC.
                      Condensed Consolidated Balance Sheet
                             (dollars in thousands)
 
                                                      March 31, September 30,
                                                        2001           2000
     ASSETS
     Current assets
     Cash, cash equivalents and marketable
      securities                                      $38,802        $56,242
     Accounts receivable, net                           6,963         11,317
     Prepaid expenses and other current assets          1,864          2,505
        Total current assets                           47,629         70,064
     Equipment and furniture, net                       8,936         10,469
     Other assets                                         779          1,135
     Total assets                                     $57,344        $81,668
 
     LIABILITIES & STOCKHOLDERS' EQUITY
 
     Current liabilities
     Accounts payable and accrued liabilities         $13,157        $13,410
     Current portion of long term liabilities           3,579          5,298
     Deferred revenues                                  4,444          3,905
     Total current liabilities                         21,180         22,613
     Long term liabilities                                665          2,042
     Stockholders' equity
     Common stock, $0.01 par value:
       Authorized shares - 60,000,000
       Issued and outstanding shares
        - 25,517,320 and 25,088,081 shares
        at  March 31, 2001 and
        September 30, 2000                            223,014        222,577
     Deferred stock compensation                         (89)          (179)
     Accumulated deficit                            (187,426)      (165,385)
     Total stockholders' equity                        35,499         57,013
     Total liabilities and stockholders' equity       $57,344       $ 81,668
 
                           CONCUR TECHNOLOGIES, INC.
                      Consolidated Statement of Operations
                     (in thousands, except per share data)
 
 
                                     Three months ended     Six months ended
                                         March 31,             March 31,
                                      2001      2000        2001        2000
     Revenues:
     Licenses                       $2,663     $5,991      $6,538    $10,109
     ASP                               980        184       1,712        274
     Services                        5,380      4,661      11,176      9,460
     Gross revenues                  9,023     10,836      19,426     19,843
     Cost of revenues:
     Licenses                          195        289         312        517
     ASP                             2,097        776       3,916      1,132
     Services                        3,632      5,878       7,505     11,427
     Total cost of revenues          5,924      6,943      11,733     13,076
     Gross profit                    3,099      3,893       7,693      6,767
     Operating expenses:
     Sales & marketing               6,461     10,610      13,741     19,698
     Research & development          5,074      9,718      10,273     18,352
     General & administrative        3,092      3,493       6,257      6,968
     Restructuring and other (A)       338         --         338         --
     Total operating expenses       14,965     23,821      30,609     45,018
     Loss from operations         (11,866)   (19,928)    (22,916)   (38,251)
     Other income, net                 332        614         875      1,607
     Net loss                    $(11,534)  $(19,314)   $(22,041)  $(36,644)
     Basic and diluted net loss
      per share                    $(0.45)   $ (0.83)    $ (0.87)   $ (1.59)
     Shares used in computation
      of basic and diluted net
      loss per share                25,499     23,204      25,385     23,024
 
     Pro Forma Results Excluding Restructuring and Other Charges
 
     Pro forma net loss,
      excluding restructuring
     and other charges           $(11,196)  $(19,314)  $(21,703)   $(36,644)
     Pro forma net loss per
      share, excluding
      restructuring and
      other charges                $(0.44)    $(0.83)    $(0.85)     $(1.59)
     Shares used in pro
      forma loss per share
      computation                   25,499     23,204     25,385      23,024
 
     (A) Pro forma results for the three and six month periods ended
 March 31, 2000 and 2001, respectively, are presented for informational
 purposes only and are not prepared in accordance with generally accepted
 accounting principles.  This information presents the operating results of
 Concur Technologies, Inc. excluding restructuring and other charges relating
 to the sale of the HR products division, totaling $338,000 and $0 for the
 quarters ended March 31, 2001 and 2000, and $338,000 and $0 for the
 years-to-date ended March 31, 2001 and 2000, respectively, all of which
 represent unusual costs not associated with the normal operations of the
 business.
 
     CONTACT:  John Adair of Concur Technologies, Inc., 425-497-6439, or
 johna@concur.com.
 
                      MAKE YOUR OPINION COUNT - Click Here
                http://tbutton.prnewswire.com/prn/11690X20362137
 
 SOURCE  Concur Technologies Inc.