Informatica Reports Record First Quarter Revenues of $54 Million, Up 108% Over Last Year

Adds New Customers, Ships Products and Further Expands Into Europe



Apr 19, 2001, 01:00 ET from Informatica Corporation

    PALO ALTO, Calif., April 19 /PRNewswire/ --
 Informatica Corporation (Nasdaq: INFA), the leading provider of eBusiness
 analytic solutions, today announced record financial results for the first
 quarter ended March 31, 2001.
     Revenues for the first quarter of 2001 were $54 million, a 108% increase
 from $25.9 million in the corresponding quarter of 2000 and 5% sequentially
 above the $51.4 million recorded in the fourth quarter of 2000.  Net income
 for the quarter, excluding non-operating charges related to the amortization
 of goodwill and other intangible assets and stock-based compensation, was
 $5.0 million or $0.06 per share, a 242% increase from $1.5 million or
 $0.02 for the first quarter of 2000 and in line with $5.0 million, or
 $0.06 per share, reported in the fourth quarter of 2000.
     "Our continued success underscores the momentum in our business and
 demonstrates strong execution and consistent growth," said Gaurav Dhillon, CEO
 of Informatica.  "Our experience this past quarter illustrates that
 Informatica solutions are becoming a must-have by creating added value from
 the huge investments that customers have already made in ERP and eBusiness
 software.  Our analytic solution is helping customers to profit from a
 360-degree view of their entire business."
     In the first quarter, Informatica kicked off a strong product cycle,
 continued to attract new customers and drove strong repeat business.
 Significant milestones in the first quarter of 2001 include:
 
     -- Signed repeat business with 102 customers. As more customers
        standardized on Informatica as an enterprise-wide platform, repeat
        business continued to grow.  Repeat customers included Alltel, AXA
        France, Bayer AG, CNA HealthPro, Cisco, Corning, Credit Suisse First
        Boston, Dresdner Bank, Ericsson, Fortia Bank Nederland, France Telecom,
        The Gap, Goldman Sachs, Hewlett-Packard, JP Morgan Chase, Koch
        Industries, Motorola, Nokia, Norwegian Stock Exchange, RR Donnelley
        & Sons, Ryder, Sprint, Telenor, UBS AG, and W.W. Grainger.
     -- Signed 75 new customers.  This quarter the total number of Informatica
        customers grew to 1198, comprising more than half of all Fortune 100
        companies and 60% of the companies that make up the Dow Jones
        Industrial Average.  Informatica continued to increase market share
        with industry-leading companies in target markets, including banking,
        financial services, insurance, telecommunications, high technology and
        manufacturing.  This quarter Informatica increased its base of marquee
        customers with the addition of ABN Amro, Adidas, Avnet, BP Amoco,
        British Telecom, Charter Communications, Dannon, Dean Health Plan,
        Galileo International, NextCard, Philips Petroleum, RAC Motoring
        Services, Ricoh, Symantec, Tokyo Electric, United Parcel Service, U.S.
        Veterans Administration and Washington Mutual.
     -- Expanded Informatica's presence in Europe.  In a move designed to
        strengthen overall global reach and capitalize upon the demand for
        eBusiness analytic solutions in Europe, Informatica expanded direct
        operations to include The Netherlands and Belgium.  The expansion
        resulted from the acquisition of syn-T-sys, a distributor who
        previously represented Informatica in this region.
     -- Launched next generation of the Informatica data integration and
        analytics platform.  Informatica announced the availability of
        Informatica PowerCenter 5, an upgraded version of its enterprise data
        integration platform for the deployment and management of analytic
        applications and data warehouses.  The comprehensive release offers
        eBusiness integration, extensibility, real-time processing and scalable
        performance.
     -- Shipped upgraded version of Informatica Applications.  The latest
        release of Informatica Applications includes significant
        customer-driven enhancements to Informatica eCRM, eBusiness Operations
        and eProcurement.  Significant enhancements enable analysis of
        marketing-campaign success, human resources functions and direct
        procurement processes.  In the first quarter, this version of
        Informatica Applications was released to Informatica's direct sales
        force after an extensive training program.  It was also made available
        to the European market for the first time.
     -- Delivered a new analytic application for B2B marketplaces.  Informatica
        eMarketplace helps operators of B2B auctions, as well as private and
        public digital marketplaces, gain valuable insight into market
        dynamics, customer buying patterns and pricing trends.  Furnishing
        analytic insight to these operators helps them optimize their
        performance and become more competitive.
     -- Delivered enhanced analytic support for ERP systems.  The Informatica
        PowerConnect products extend data integration capabilities and help
        companies leverage existing IT investments in Siebel, SAP, PeopleSoft
        and IBM MQSeries.  A growing number of companies, including American
        Home Products and Purina Mills, are turning to Informatica to gain
        ROI-enhancing business insight from their transactional systems.
     -- Launched Web-based developer network.  Informatica Developer Network,
        a global, Web-assisted program, is designed to help developers expand
        the business value of the Informatica data integration and analytics
        platform through third-party add-on products.  Approximately
        15,000 developers worldwide are currently experienced with Informatica
        products.
     -- Introduced newest release of implementation methodology.  Informatica
        Velocity Methodology v2.0 delivers the most detailed packaged
        methodology and field-proven best practices to help customers more
        rapidly obtain cross value chain business insight.  The Informatica
        implementation methodology helps companies reduce the risk of project
        failure by codifying in real-world terms the collective experience of
        our field practitioners, gained across more than 440 successful
        business analytic implementations at over 230 customers.
 
     About Informatica
     Informatica provides eBusiness analytic solutions that enable companies to
 leverage business insight for competitive advantage.  Approximately
 1,200 global customers, including over half of the Fortune 100, leverage the
 Informatica Insight Network to integrate, analyze and personalize critical
 business information to improve business performance and responsiveness across
 the entire business value chain.  Informatica products include a comprehensive
 family of analytic applications, the industry's most powerful data integration
 platform and a wide range of supporting services and partnerships.  The
 company's list of leading customers includes 3Com, AMD, American Airlines,
 BMW, Boeing, Borders Group, Chevron, Cisco, CNET, Deutsche Bank, eBay, General
 Electric, Hewlett-Packard, Merck, Merrill Lynch, MetLife, Motorola, Philips,
 Polo Ralph Lauren, Sprint and UBS.  For more information, call 800-970-1179,
 or visit the Informatica Web site at http://www.informatica.com .
     Informatica will be discussing its first quarter results and its 2001
 outlook on a conference call today beginning at 2:00 p.m. (PDT).  A live
 Webcast of the conference call will be available at
 www.informatica.com/investor.  Playback of the call will be available through
 4:00 p.m. on April 26, 2001, and can be accessed by dialing 800-633-8284 and
 entering reservation #18190712.  A replay of the Webcast will also be
 available on the Informatica Web site.
 
     NOTE:  Informatica, Informatica Applications, Informatica eCRM,
 Informatica eBusiness Operations, Informatica eProcurement and Informatica
 Insight Network are trademarks or registered trademarks of Informatica
 Corporation.  All other company and product names may be trademarks of their
 respective owners.
 
 
                              INFORMATICA CORPORATION
 
                  CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                       (in thousands, except per share data)
                                    (unaudited)
 
                                                       Three Months Ended
                                                             March 31,
                                                       2001              2000
 
 
     Revenues:
       License                                       $35,371           $16,836
       Service                                        18,674             9,097
          Total revenues                              54,045            25,933
 
     Cost of revenues:
       License                                           444               434
       Service                                        10,278             4,621
          Total cost of revenues                      10,722             5,055
 
     Gross profit                                     43,323            20,878
 
     Operating expenses:
       Research and development                       11,058             4,088
       Sales and marketing                            23,352            13,434
       General and administrative                      4,902             1,953
          Total operating expenses                    39,312            19,475
     Income before amortization, interest
      income and taxes                                 4,011             1,403
       Amortization of stock-based compensation          356               399
       Amortization of goodwill and other
        intangible assets                              6,594               374
     Income (loss) from operations                    (2,939)              630
     Interest income and other, net                    2,705               301
     Income (loss) before income taxes                  (234)              931
     Income tax provision                              1,679               233
     Net income (loss)                               $(1,913)             $698
 
     Net income (loss) per share:
       Basic                                          $(0.02)            $0.01
       Diluted                                        $(0.02)            $0.01
 
     Shares used to compute net
       income (loss) per share:
       Basic                                          76,628            65,643
       Diluted                                        76,628            78,092
 
 
     Supplemental information, excluding amortization:
 
     Net income, as adjusted                          $5,037            $1,471
 
     Net income, as adjusted,
       per share - diluted                             $0.06             $0.02
 
     Shares used to compute net
       income, as adjusted, per share - diluted       83,437            78,092
 
 
                              INFORMATICA CORPORATION
 
                       CONDENSED CONSOLIDATED BALANCE SHEETS
                                  (in thousands)
                                    (unaudited)
 
 
                                                  March 31,        December 31,
                                                     2001              2000
 
 
     ASSETS
 
     Current assets:
        Cash and cash equivalents                   $49,535          $217,713
        Short-term investments                      108,242                --
        Restricted cash                               8,116             8,116
        Accounts receivable, net                     24,162            30,100
        Prepaid expenses and other current
         assets                                       6,507             2,852
             Total current assets                   196,562           258,781
 
     Property and equipment, net                     35,004            31,131
     Long-term investments                           63,617                --
     Restricted cash, less current portion           12,166            12,166
     Goodwill and other intangible assets, net       47,722            47,491
     Other assets                                     1,481             1,414
             Total assets                          $356,552          $350,983
 
 
     LIABILITIES AND STOCKHOLDERS' EQUITY
 
     Current liabilities:
        Accounts payable and other current
         liabilities                                $32,348           $37,146
        Deferred revenue                             27,625            23,340
             Total current liabilities               59,973            60,486
 
     Stockholders' equity                           296,579           290,497
             Total liabilities and
              stockholders' equity                 $356,552          $350,983
 
 

SOURCE Informatica Corporation
    PALO ALTO, Calif., April 19 /PRNewswire/ --
 Informatica Corporation (Nasdaq: INFA), the leading provider of eBusiness
 analytic solutions, today announced record financial results for the first
 quarter ended March 31, 2001.
     Revenues for the first quarter of 2001 were $54 million, a 108% increase
 from $25.9 million in the corresponding quarter of 2000 and 5% sequentially
 above the $51.4 million recorded in the fourth quarter of 2000.  Net income
 for the quarter, excluding non-operating charges related to the amortization
 of goodwill and other intangible assets and stock-based compensation, was
 $5.0 million or $0.06 per share, a 242% increase from $1.5 million or
 $0.02 for the first quarter of 2000 and in line with $5.0 million, or
 $0.06 per share, reported in the fourth quarter of 2000.
     "Our continued success underscores the momentum in our business and
 demonstrates strong execution and consistent growth," said Gaurav Dhillon, CEO
 of Informatica.  "Our experience this past quarter illustrates that
 Informatica solutions are becoming a must-have by creating added value from
 the huge investments that customers have already made in ERP and eBusiness
 software.  Our analytic solution is helping customers to profit from a
 360-degree view of their entire business."
     In the first quarter, Informatica kicked off a strong product cycle,
 continued to attract new customers and drove strong repeat business.
 Significant milestones in the first quarter of 2001 include:
 
     -- Signed repeat business with 102 customers. As more customers
        standardized on Informatica as an enterprise-wide platform, repeat
        business continued to grow.  Repeat customers included Alltel, AXA
        France, Bayer AG, CNA HealthPro, Cisco, Corning, Credit Suisse First
        Boston, Dresdner Bank, Ericsson, Fortia Bank Nederland, France Telecom,
        The Gap, Goldman Sachs, Hewlett-Packard, JP Morgan Chase, Koch
        Industries, Motorola, Nokia, Norwegian Stock Exchange, RR Donnelley
        & Sons, Ryder, Sprint, Telenor, UBS AG, and W.W. Grainger.
     -- Signed 75 new customers.  This quarter the total number of Informatica
        customers grew to 1198, comprising more than half of all Fortune 100
        companies and 60% of the companies that make up the Dow Jones
        Industrial Average.  Informatica continued to increase market share
        with industry-leading companies in target markets, including banking,
        financial services, insurance, telecommunications, high technology and
        manufacturing.  This quarter Informatica increased its base of marquee
        customers with the addition of ABN Amro, Adidas, Avnet, BP Amoco,
        British Telecom, Charter Communications, Dannon, Dean Health Plan,
        Galileo International, NextCard, Philips Petroleum, RAC Motoring
        Services, Ricoh, Symantec, Tokyo Electric, United Parcel Service, U.S.
        Veterans Administration and Washington Mutual.
     -- Expanded Informatica's presence in Europe.  In a move designed to
        strengthen overall global reach and capitalize upon the demand for
        eBusiness analytic solutions in Europe, Informatica expanded direct
        operations to include The Netherlands and Belgium.  The expansion
        resulted from the acquisition of syn-T-sys, a distributor who
        previously represented Informatica in this region.
     -- Launched next generation of the Informatica data integration and
        analytics platform.  Informatica announced the availability of
        Informatica PowerCenter 5, an upgraded version of its enterprise data
        integration platform for the deployment and management of analytic
        applications and data warehouses.  The comprehensive release offers
        eBusiness integration, extensibility, real-time processing and scalable
        performance.
     -- Shipped upgraded version of Informatica Applications.  The latest
        release of Informatica Applications includes significant
        customer-driven enhancements to Informatica eCRM, eBusiness Operations
        and eProcurement.  Significant enhancements enable analysis of
        marketing-campaign success, human resources functions and direct
        procurement processes.  In the first quarter, this version of
        Informatica Applications was released to Informatica's direct sales
        force after an extensive training program.  It was also made available
        to the European market for the first time.
     -- Delivered a new analytic application for B2B marketplaces.  Informatica
        eMarketplace helps operators of B2B auctions, as well as private and
        public digital marketplaces, gain valuable insight into market
        dynamics, customer buying patterns and pricing trends.  Furnishing
        analytic insight to these operators helps them optimize their
        performance and become more competitive.
     -- Delivered enhanced analytic support for ERP systems.  The Informatica
        PowerConnect products extend data integration capabilities and help
        companies leverage existing IT investments in Siebel, SAP, PeopleSoft
        and IBM MQSeries.  A growing number of companies, including American
        Home Products and Purina Mills, are turning to Informatica to gain
        ROI-enhancing business insight from their transactional systems.
     -- Launched Web-based developer network.  Informatica Developer Network,
        a global, Web-assisted program, is designed to help developers expand
        the business value of the Informatica data integration and analytics
        platform through third-party add-on products.  Approximately
        15,000 developers worldwide are currently experienced with Informatica
        products.
     -- Introduced newest release of implementation methodology.  Informatica
        Velocity Methodology v2.0 delivers the most detailed packaged
        methodology and field-proven best practices to help customers more
        rapidly obtain cross value chain business insight.  The Informatica
        implementation methodology helps companies reduce the risk of project
        failure by codifying in real-world terms the collective experience of
        our field practitioners, gained across more than 440 successful
        business analytic implementations at over 230 customers.
 
     About Informatica
     Informatica provides eBusiness analytic solutions that enable companies to
 leverage business insight for competitive advantage.  Approximately
 1,200 global customers, including over half of the Fortune 100, leverage the
 Informatica Insight Network to integrate, analyze and personalize critical
 business information to improve business performance and responsiveness across
 the entire business value chain.  Informatica products include a comprehensive
 family of analytic applications, the industry's most powerful data integration
 platform and a wide range of supporting services and partnerships.  The
 company's list of leading customers includes 3Com, AMD, American Airlines,
 BMW, Boeing, Borders Group, Chevron, Cisco, CNET, Deutsche Bank, eBay, General
 Electric, Hewlett-Packard, Merck, Merrill Lynch, MetLife, Motorola, Philips,
 Polo Ralph Lauren, Sprint and UBS.  For more information, call 800-970-1179,
 or visit the Informatica Web site at http://www.informatica.com .
     Informatica will be discussing its first quarter results and its 2001
 outlook on a conference call today beginning at 2:00 p.m. (PDT).  A live
 Webcast of the conference call will be available at
 www.informatica.com/investor.  Playback of the call will be available through
 4:00 p.m. on April 26, 2001, and can be accessed by dialing 800-633-8284 and
 entering reservation #18190712.  A replay of the Webcast will also be
 available on the Informatica Web site.
 
     NOTE:  Informatica, Informatica Applications, Informatica eCRM,
 Informatica eBusiness Operations, Informatica eProcurement and Informatica
 Insight Network are trademarks or registered trademarks of Informatica
 Corporation.  All other company and product names may be trademarks of their
 respective owners.
 
 
                              INFORMATICA CORPORATION
 
                  CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                       (in thousands, except per share data)
                                    (unaudited)
 
                                                       Three Months Ended
                                                             March 31,
                                                       2001              2000
 
 
     Revenues:
       License                                       $35,371           $16,836
       Service                                        18,674             9,097
          Total revenues                              54,045            25,933
 
     Cost of revenues:
       License                                           444               434
       Service                                        10,278             4,621
          Total cost of revenues                      10,722             5,055
 
     Gross profit                                     43,323            20,878
 
     Operating expenses:
       Research and development                       11,058             4,088
       Sales and marketing                            23,352            13,434
       General and administrative                      4,902             1,953
          Total operating expenses                    39,312            19,475
     Income before amortization, interest
      income and taxes                                 4,011             1,403
       Amortization of stock-based compensation          356               399
       Amortization of goodwill and other
        intangible assets                              6,594               374
     Income (loss) from operations                    (2,939)              630
     Interest income and other, net                    2,705               301
     Income (loss) before income taxes                  (234)              931
     Income tax provision                              1,679               233
     Net income (loss)                               $(1,913)             $698
 
     Net income (loss) per share:
       Basic                                          $(0.02)            $0.01
       Diluted                                        $(0.02)            $0.01
 
     Shares used to compute net
       income (loss) per share:
       Basic                                          76,628            65,643
       Diluted                                        76,628            78,092
 
 
     Supplemental information, excluding amortization:
 
     Net income, as adjusted                          $5,037            $1,471
 
     Net income, as adjusted,
       per share - diluted                             $0.06             $0.02
 
     Shares used to compute net
       income, as adjusted, per share - diluted       83,437            78,092
 
 
                              INFORMATICA CORPORATION
 
                       CONDENSED CONSOLIDATED BALANCE SHEETS
                                  (in thousands)
                                    (unaudited)
 
 
                                                  March 31,        December 31,
                                                     2001              2000
 
 
     ASSETS
 
     Current assets:
        Cash and cash equivalents                   $49,535          $217,713
        Short-term investments                      108,242                --
        Restricted cash                               8,116             8,116
        Accounts receivable, net                     24,162            30,100
        Prepaid expenses and other current
         assets                                       6,507             2,852
             Total current assets                   196,562           258,781
 
     Property and equipment, net                     35,004            31,131
     Long-term investments                           63,617                --
     Restricted cash, less current portion           12,166            12,166
     Goodwill and other intangible assets, net       47,722            47,491
     Other assets                                     1,481             1,414
             Total assets                          $356,552          $350,983
 
 
     LIABILITIES AND STOCKHOLDERS' EQUITY
 
     Current liabilities:
        Accounts payable and other current
         liabilities                                $32,348           $37,146
        Deferred revenue                             27,625            23,340
             Total current liabilities               59,973            60,486
 
     Stockholders' equity                           296,579           290,497
             Total liabilities and
              stockholders' equity                 $356,552          $350,983
 
 SOURCE  Informatica Corporation