Lante Announces First Quarter 2001 Financial Results

Apr 26, 2001, 01:00 ET from Lante Corporation

    CHICAGO, April 26 /PRNewswire/ -- Lante Corporation (Nasdaq:   LNTE) today
 reported financial results for its fiscal 2001 first quarter, ended
 March 31, 2001.
     Lante said revenue for the first quarter was $12.0 million, which compares
 to $15.0 million in the prior quarter and $17.1 million in the first quarter
 of fiscal 2000.  Billable headcount decreased to 272 from 347 at the end of
 the prior quarter, while total headcount decreased to 383 from 476 at the end
 of the prior quarter.
     The net loss to common shareholders for the quarter was $5.8 million or
 $0.15 per share versus a loss of $13.9 million or $0.37 per share in the prior
 quarter, and a loss of $1.6 million or $0.05 per share in the first quarter of
 fiscal 2000.
     The "cash earnings" net loss (defined as net loss excluding amortization
 of deferred stock compensation, restructuring and write-downs and income tax
 provision) was $6.4 million or $0.17 per share in the first quarter versus a
 loss of $8.5 million or $0.22 per share in the prior quarter, and a loss of
 $1.4 million or $0.04 per share in the first quarter of fiscal 2000.
     The company's cash and short-term investment balance at the close of the
 first quarter was over $73 million.
     Fiscal Q1 Operational Highlights included:
 
     -- Launching a full range of service offerings -- explorerSuite,
        powerplayerSuite and marketmakerSuite -- to help companies refine their
        Internet strategies and initiatives to reflect changing economic
        conditions and business needs.
     -- Strengthening the management team with the additions of John Corsiglia
        as chief operating officer, Jim McKeighan as managing director, Bill
        Davis as chief financial officer, and four senior business development
        and project management executives.
     -- Serving 29 clients -- including 7 new clients -- and deepening
        established relationships with longtime clients such as Dell, Airborne
        Express and Project Octane, a consortium led by four of the world's
        largest commercial real estate services firms.
 
     "While the market environment remains challenging, our new service
 offerings are gaining definitive traction with both current clients and new
 prospects, and we are encouraged by the developing opportunities," said Rudy
 Puryear, president and CEO of Lante.  "At the same time, we will continue to
 aggressively manage and assess our costs in line with client service needs."
     Lante will host a conference call at 4:30 pm Eastern time today, Thursday,
 April 26.  A live webcast of the call will be available on Lante's website,
 http://www.lante.com .
 
     About Lante
     Lante Corporation (Nasdaq:   LNTE) is a leading information technology
 consulting company focused on helping companies collaborate via the Internet
 to save money, grow revenue and build stronger, more profitable business
 relationships.  Since its inception in 1984, Lante has been an innovator in
 applying emerging technologies to business. Headquartered in Chicago, Lante
 serves clients from offices throughout the United States.  Its web site is
 www.lante.com .
 
     "Safe Harbor" Statement under the Private Securities Litigation Reform Act
 of 1995
     This news release includes forward-looking statements that reflect Lante's
 current expectations and projections about its future results, performance,
 prospects and opportunities.  Lante has attempted to identify these
 forward-looking statements by using words such as "may," "will," "expects,"
 "anticipates," "believes," "intends," "estimates," "could" or similar
 expressions.  These forward-looking statements are based on information
 currently available to Lante and are subject to a number of risks,
 uncertainties and other factors that could cause Lante's actual results,
 performance, prospects or opportunities in 2001 and beyond to differ
 materially from those expressed in, or implied by, these forward-looking
 statements. These risks, uncertainties and other factors include, without
 limitation:  Lante's ability to achieve or sustain profitability, Lante's
 ability to attract new clients and obtain new and expanded assignments from
 existing clients; Lante's continued work for smaller clients; demand for
 consulting services such as those offered by Lante; intense competition in the
 Internet professional services market; Lante's ability to predict revenues
 from project-based client engagements; Lante's ability to accurately estimate
 the cost, scope and duration of its engagements and to collect on amounts
 billed for such engagements; Lante's concentrated client base; Lante's ability
 to manage its expenses, quickly respond to changes in its marketplace and meet
 client expectations; the complexity of Lante's engagements and its use of new
 technology; Lante's ability to maintain its reputation and expand its name
 recognition; Lante's ability to hire and retain senior management and other
 qualified personnel; Lante's ability to effectively utilize its personnel; the
 rate of acceptance and use of the Internet as a means for commerce; Lante's
 ability to keep pace with technological changes and future regulations
 affecting its business; the implementation of the Internet generally; and
 Lante's ability to raise additional capital. For further information about
 these and other risks, uncertainties and factors, please review the disclosure
 included in Lante's latest filings with the Securities and Exchange
 Commission, including Lante's most recent annual report on Form 10-K and its
 quarterly reports on Form 10-Q.  You should not place undue reliance on any
 forward-looking statements.  Except as required by the federal securities
 laws, Lante undertakes no obligation to publicly update or revise any
 forward-looking statements, whether as a result of new information, future
 events, changed circumstances or any other reason after the date of this news
 release.
 
 
                                 Lante Corporation
                       Consolidated Statement of Operations
                       (In thousands, except per share data)
 
                                                   For the Three Months Ended
                                                   March 31,         March 31,
                                                     2000              2001
                                                           (unaudited)
 
       Revenue                                      $17,126           $12,007
 
       Operating expenses:
        Professional services                         9,081             9,003
        Selling, general and
         administrative expenses                     10,318            10,580
        Headcount reduction & excess
         facility charge                                -               2,170
        Amortization of deferred
         compensation expense                           649               737
 
       Loss from operations                          (2,922)          (10,483)
 
       Interest & other income, net                     897             1,412
 
       Loss before income taxes                      (2,025)           (9,071)
 
       Income tax benefit (expense)                     616             3,297
 
       Net loss                                      (1,409)           (5,774)
 
       Dividend and accretion on
        mandatorily redeemable preferred
        stock *                                        (234)              -
 
       Net loss available to common
        stockholders                                 (1,643)           (5,774)
 
 
       Net loss per common share                     ($0.05)           ($0.15)
 
       Weighted average common shares
        outstanding                                  30,849            38,424
 
 
       * Redeemable preferred stock was converted to  7.1 million shares
         of common stock on February 11, 2000.
 
 
                               Lante Corporation
                           Consolidated Balance Sheet
                                 (In thousands)
 
                                                  December 31,       March 31,
                                                     2000              2001
                                                                    (unaudited)
       Assets
        Cash and short-term investments             $83,906           $73,166
        Accounts receivable, net                     10,665             6,767
        Other current assets                          2,528             3,177
 
         Total current assets                        97,099            83,110
 
        Fixed assets                                 13,490            13,616
        Other non-current assets                     13,899            15,866
 
         Total assets                              $124,488          $112,592
 
       Liabilities and Stockholders' Equity
        Accounts payable and accrued
         liabilities                                 $9,929            $9,223
        Deferred revenue                              3,322               727
        Restructuring accrual                         4,695             4,558
        Other current liabilities                     3,319                95
 
         Total current liabilities                   21,265            14,603
 
        Other liabilities                               291               327
 
         Total liabilities                           21,556            14,930
 
        Stockholders' equity:
         Common stock                                   401               403
         Additional paid-in-capital                 139,940           139,920
         Deferred compensation                       (3,107)           (2,542)
         Retained deficit                           (30,814)          (36,588)
         Note receivable - stockholder               (3,488)           (3,531)
 
         Total stockholders' equity                 102,932            97,662
 
         Total liabilities and
          stockholders' equity                     $124,488          $112,592
 
     CONTACT:  Investors, Todd Kobayashi, 312-696-5292, or toddk@lante.com ,
 Media, Kevin Kutz, 312-696-5279, or kkutz@lante.com , Industry Analysts, David
 Deal, 312-696-5056, or ddeal@lante.com, all of Lante Corporation.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X27590884
 
 

SOURCE Lante Corporation
    CHICAGO, April 26 /PRNewswire/ -- Lante Corporation (Nasdaq:   LNTE) today
 reported financial results for its fiscal 2001 first quarter, ended
 March 31, 2001.
     Lante said revenue for the first quarter was $12.0 million, which compares
 to $15.0 million in the prior quarter and $17.1 million in the first quarter
 of fiscal 2000.  Billable headcount decreased to 272 from 347 at the end of
 the prior quarter, while total headcount decreased to 383 from 476 at the end
 of the prior quarter.
     The net loss to common shareholders for the quarter was $5.8 million or
 $0.15 per share versus a loss of $13.9 million or $0.37 per share in the prior
 quarter, and a loss of $1.6 million or $0.05 per share in the first quarter of
 fiscal 2000.
     The "cash earnings" net loss (defined as net loss excluding amortization
 of deferred stock compensation, restructuring and write-downs and income tax
 provision) was $6.4 million or $0.17 per share in the first quarter versus a
 loss of $8.5 million or $0.22 per share in the prior quarter, and a loss of
 $1.4 million or $0.04 per share in the first quarter of fiscal 2000.
     The company's cash and short-term investment balance at the close of the
 first quarter was over $73 million.
     Fiscal Q1 Operational Highlights included:
 
     -- Launching a full range of service offerings -- explorerSuite,
        powerplayerSuite and marketmakerSuite -- to help companies refine their
        Internet strategies and initiatives to reflect changing economic
        conditions and business needs.
     -- Strengthening the management team with the additions of John Corsiglia
        as chief operating officer, Jim McKeighan as managing director, Bill
        Davis as chief financial officer, and four senior business development
        and project management executives.
     -- Serving 29 clients -- including 7 new clients -- and deepening
        established relationships with longtime clients such as Dell, Airborne
        Express and Project Octane, a consortium led by four of the world's
        largest commercial real estate services firms.
 
     "While the market environment remains challenging, our new service
 offerings are gaining definitive traction with both current clients and new
 prospects, and we are encouraged by the developing opportunities," said Rudy
 Puryear, president and CEO of Lante.  "At the same time, we will continue to
 aggressively manage and assess our costs in line with client service needs."
     Lante will host a conference call at 4:30 pm Eastern time today, Thursday,
 April 26.  A live webcast of the call will be available on Lante's website,
 http://www.lante.com .
 
     About Lante
     Lante Corporation (Nasdaq:   LNTE) is a leading information technology
 consulting company focused on helping companies collaborate via the Internet
 to save money, grow revenue and build stronger, more profitable business
 relationships.  Since its inception in 1984, Lante has been an innovator in
 applying emerging technologies to business. Headquartered in Chicago, Lante
 serves clients from offices throughout the United States.  Its web site is
 www.lante.com .
 
     "Safe Harbor" Statement under the Private Securities Litigation Reform Act
 of 1995
     This news release includes forward-looking statements that reflect Lante's
 current expectations and projections about its future results, performance,
 prospects and opportunities.  Lante has attempted to identify these
 forward-looking statements by using words such as "may," "will," "expects,"
 "anticipates," "believes," "intends," "estimates," "could" or similar
 expressions.  These forward-looking statements are based on information
 currently available to Lante and are subject to a number of risks,
 uncertainties and other factors that could cause Lante's actual results,
 performance, prospects or opportunities in 2001 and beyond to differ
 materially from those expressed in, or implied by, these forward-looking
 statements. These risks, uncertainties and other factors include, without
 limitation:  Lante's ability to achieve or sustain profitability, Lante's
 ability to attract new clients and obtain new and expanded assignments from
 existing clients; Lante's continued work for smaller clients; demand for
 consulting services such as those offered by Lante; intense competition in the
 Internet professional services market; Lante's ability to predict revenues
 from project-based client engagements; Lante's ability to accurately estimate
 the cost, scope and duration of its engagements and to collect on amounts
 billed for such engagements; Lante's concentrated client base; Lante's ability
 to manage its expenses, quickly respond to changes in its marketplace and meet
 client expectations; the complexity of Lante's engagements and its use of new
 technology; Lante's ability to maintain its reputation and expand its name
 recognition; Lante's ability to hire and retain senior management and other
 qualified personnel; Lante's ability to effectively utilize its personnel; the
 rate of acceptance and use of the Internet as a means for commerce; Lante's
 ability to keep pace with technological changes and future regulations
 affecting its business; the implementation of the Internet generally; and
 Lante's ability to raise additional capital. For further information about
 these and other risks, uncertainties and factors, please review the disclosure
 included in Lante's latest filings with the Securities and Exchange
 Commission, including Lante's most recent annual report on Form 10-K and its
 quarterly reports on Form 10-Q.  You should not place undue reliance on any
 forward-looking statements.  Except as required by the federal securities
 laws, Lante undertakes no obligation to publicly update or revise any
 forward-looking statements, whether as a result of new information, future
 events, changed circumstances or any other reason after the date of this news
 release.
 
 
                                 Lante Corporation
                       Consolidated Statement of Operations
                       (In thousands, except per share data)
 
                                                   For the Three Months Ended
                                                   March 31,         March 31,
                                                     2000              2001
                                                           (unaudited)
 
       Revenue                                      $17,126           $12,007
 
       Operating expenses:
        Professional services                         9,081             9,003
        Selling, general and
         administrative expenses                     10,318            10,580
        Headcount reduction & excess
         facility charge                                -               2,170
        Amortization of deferred
         compensation expense                           649               737
 
       Loss from operations                          (2,922)          (10,483)
 
       Interest & other income, net                     897             1,412
 
       Loss before income taxes                      (2,025)           (9,071)
 
       Income tax benefit (expense)                     616             3,297
 
       Net loss                                      (1,409)           (5,774)
 
       Dividend and accretion on
        mandatorily redeemable preferred
        stock *                                        (234)              -
 
       Net loss available to common
        stockholders                                 (1,643)           (5,774)
 
 
       Net loss per common share                     ($0.05)           ($0.15)
 
       Weighted average common shares
        outstanding                                  30,849            38,424
 
 
       * Redeemable preferred stock was converted to  7.1 million shares
         of common stock on February 11, 2000.
 
 
                               Lante Corporation
                           Consolidated Balance Sheet
                                 (In thousands)
 
                                                  December 31,       March 31,
                                                     2000              2001
                                                                    (unaudited)
       Assets
        Cash and short-term investments             $83,906           $73,166
        Accounts receivable, net                     10,665             6,767
        Other current assets                          2,528             3,177
 
         Total current assets                        97,099            83,110
 
        Fixed assets                                 13,490            13,616
        Other non-current assets                     13,899            15,866
 
         Total assets                              $124,488          $112,592
 
       Liabilities and Stockholders' Equity
        Accounts payable and accrued
         liabilities                                 $9,929            $9,223
        Deferred revenue                              3,322               727
        Restructuring accrual                         4,695             4,558
        Other current liabilities                     3,319                95
 
         Total current liabilities                   21,265            14,603
 
        Other liabilities                               291               327
 
         Total liabilities                           21,556            14,930
 
        Stockholders' equity:
         Common stock                                   401               403
         Additional paid-in-capital                 139,940           139,920
         Deferred compensation                       (3,107)           (2,542)
         Retained deficit                           (30,814)          (36,588)
         Note receivable - stockholder               (3,488)           (3,531)
 
         Total stockholders' equity                 102,932            97,662
 
         Total liabilities and
          stockholders' equity                     $124,488          $112,592
 
     CONTACT:  Investors, Todd Kobayashi, 312-696-5292, or toddk@lante.com ,
 Media, Kevin Kutz, 312-696-5279, or kkutz@lante.com , Industry Analysts, David
 Deal, 312-696-5056, or ddeal@lante.com, all of Lante Corporation.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X27590884
 
 SOURCE  Lante Corporation