MRO Software Reports Record Second Quarter Revenues
Company Posts Profit
Total Revenues for the Quarter Grow to $45.7 Million
MAXIMO(R) Software License Revenue Increases 33% Year Over Year
Apr 24, 2001, 01:00 ET from MRO Software, Inc.
BEDFORD, Mass., April 24 /PRNewswire Interactive News Release/ --
MRO Software (Nasdaq: MROI), the leading provider of solutions for maintenance
optimization, industrial supply chain planning and supplier enablement, today
announced record revenues for the Company's second quarter ended March 31,
2001.
Total revenues for the quarter grew to $45.7 million compared with $41.6
million for the second quarter of the prior year, an increase of 10%. Pro
forma net income for the second quarter was slightly above break-even or $0.00
per diluted share, compared with income of $3.5 million or $0.15 per diluted
share for the comparable quarter. Pro forma net income is adjusted for the
pre-tax effects of amortization of goodwill (see Schedule A). The Company
reported a net loss for the second quarter of $3.6 million or $0.16 per share
after inclusion of amortization of goodwill, compared with net income of $2.4
million or $0.10 per diluted share for the comparable quarter last year.
Business Segments
Total revenues for the demand-side business segment, which include
revenues from the Company's MAXIMO product line, were $41.1 million, up from
$33.4 million for the comparable quarter, an increase of 23%. Software
license revenue for this business segment was $15.4 million, up 23%
sequentially and 33% from the comparable quarter last year.
Total revenues for the supply-side business segment, which include
revenues from the Company's MRO.COM suite of hosted solutions, were $4.6
million, up from $4.4 million in the previous quarter and down from $8.2
million for the comparable quarter, reflecting in part the Company's shift to
an ASP subscription model.
The balance sheet for the period ended March 31, 2001 contained $36.9
million in cash and marketable securities and no long-term debt. Deferred
revenue increased to $22.2 million, and days sales outstanding improved from
93 to 92 days, meeting the Company's internal target.
"I am very pleased with the solid performance of our business this
quarter," commented Chip Drapeau, president and CEO, MRO Software. "Our
solutions are providing concrete value to asset intensive companies and their
suppliers. On the MAXIMO side, we saw strong adoption of our MAXIMO industry
solutions in the utility, oil and gas and discrete manufacturing market
sectors. We are also starting to see traction in the aircraft maintenance
market, as evidenced by this quarter's win at a major regional carrier. On
the supply-side, our next generation of hosted supplier enablement technology
will quickly and affordably provide industrial distributors and manufacturers
with an easy path to conduct business with their customers over the Internet.
As a result of this progress, we remain on track to achieve our goals for the
year."
The Company will host a conference call with any and all interested
persons to review its performance and discuss its prospects today at 4:30 pm,
EST. For domestic participants, the call-in number is (800) 932-9896. For
international participants, the call-in number is (706) 634-5804. A recording
of the entire call will be available at the Company's website for one week
under "Investor Relations" at http://www.mro.com. The recording may also be
accessed via the domestic playback number of (800) 642-1687 or the
international playback number of (706) 645-9291, using reservation number
479666.
About MRO Software, Inc.
MRO Software, Inc. is the leading provider of solutions for maintenance
optimization, industrial supply chain planning and supplier enablement.
MAXIMO(R), the Company's demand-side product, is deployed at over 8,000
businesses, government agencies, and other organizations to assist them in
managing asset and resource productivity. These capabilities, which include
business rules with maintenance best practices, tight integration with various
business systems, and the ability to effectively address both low cost and
complex procurement needs, are critical success factors for plants and
facilities whose overall competitiveness are tied to efficiencies and
productivity that can be realized across the entire industrial supply chain.
The Company complements its MAXIMO work and materials management software
with its MRO.COM supply-side suite of hosted solutions that provide enabling
B2B technology and content services to manufacturers and distributors of
industrial parts and equipment.
Based in Bedford, Mass. with over 1,000 employees, MRO Software markets
its products through a direct sales force with sales offices throughout the
United States, Argentina, Australia, Brazil, Canada, China, France, Germany,
Hong Kong, India, Italy, Mexico, the Netherlands, Singapore, Sweden, Thailand,
and the United Kingdom, combined with a network of international distributors.
All MRO Software news releases are available via the MRO Software Home Page at
http://www.mro.com.
MAXIMO is a registered trademark, and MRO.COM and MRO Software are
trademarks, of MRO Software, Inc.
This press release contains statements concerning future events and the
Company's future performance, which are forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. The Company's actual results could differ
materially from those set forth in the forward-looking statements. Factors
which might cause such differences include, without limitation: a possible
slowdown in IT spending and other adverse macroeconomic conditions, delays in
product development and product roll-out, difficulties in gaining market
acceptance of new products, intense competition and the presence of larger
competitors in the market, difficulties in integrating and coordinating the
Company's products and sales efforts with the products and sales efforts of
its business partners, the emergence of competitive alliances among other
companies, and those factors discussed in the Section entitled "Factors
Affecting Future Performance" in our most recent Annual Report on Form 10-K as
filed with the SEC.
MRO SOFTWARE, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
Three Months Ended Six Months Ended
March 31, March 31,
2001 2000 2001 2000
(in thousands)
Revenues:
Software $15,510 $18,644 $28,107 $34,381
Support and services 30,232 22,977 59,103 45,226
Total revenues 45,742 41,621 87,210 79,607
Cost of revenues:
Software 685 845 1,151 1,504
Support and services 17,389 12,172 33,458 24,700
Total cost of
revenues 18,074 13,017 34,609 26,204
Gross margin 27,668 28,604 52,601 53,403
Operating expenses:
Sales and marketing 17,215 15,824 35,014 29,688
Product development 6,703 5,522 12,263 10,017
General and
administrative 4,984 3,517 9,230 6,569
Amortizaton of goodwill
and other intangibles 3,589 1,132 7,225 1,301
Warrant expense - - 3,287 -
Total operating
expenses 32,491 25,995 67,019 47,575
(Loss)/income from operations (4,823) 2,609 (14,418) 5,828
Interest income 409 1,382 858 2,319
Interest expense 16 (100) (63) (101)
Other income (expense),
net (399) (183) (124) (377)
(Loss)/income before income
taxes (4,797) 3,708 (13,747) 7,669
(Benefit)/provision for
income taxes (1,228) 1,345 (2,483) 2,710
Net (loss)/income $(3,569) $2,363 $(11,264) $4,959
Net (loss)/ income per share,
basic $(0.16) $0.11 $(0.51) $0.23
Net (loss)/income per share,
diluted $(0.16) $0.10 $(0.51) $0.22
Shares used to calculate net
(loss)/ income per share
Basic 22,109 21,671 22,096 21,543
Diluted 22,109 23,276 22,096 22,991
MRO SOFTWARE, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
PRO FORMA, AS ADJUSTED
Schedule A
(unaudited)
Three Months Ended Six Months Ended
March 31, March 31,
2001 2000 2001 2000
(in thousands, except per share data)
Net (loss)/income $(3,569) $2,363 $(11,264) $4,959
Goodwill amortization 3,588 1,132 7,225 1,301
Warrant expense - - 3,287 -
Net income/(loss), as
adjusted $19 $3,495 $(752) $6,260
Diluted net income/(loss)
per share, as $0.00 $0.15 $(0.03) $0.27
adjusted
Shares used to calculate
net income/(loss)
per share, diluted, as
adjusted 22,503 23,276 22,096 22,991
MRO SOFTWARE, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited)
March 31, September 30
2001 2000
(in thousands) ASSETS
Cash and cash equivalents $31,822 $31,584
Marketable securities 4,089 4,241
Accounts receivable, net 46,901 47,699
Other current assets 14,455 13,245
TOTAL CURRENT ASSETS 97,267 96,769
Marketable securities 1,000 1,059
Property and equipment, net 14,497 14,571
Intangible assets, net 56,374 63,286
Other assets 6,851 5,371
TOTAL ASSETS $175,989 $181,056
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities $26,932 $27,596
Deferred revenue 22,081 19,080
TOTAL CURRENT LIABILITIES 49,013 46,676
Other long term liabilities 243 188
TOTAL LIABILITIES 49,256 46,864
STOCKHOLDERS' EQUITY 126,733 134,192
TOTAL LIABILITIES & STOCKHOLDERS'
EQUITY $175,989 $181,056
MAKE YOUR OPINION COUNT - Click Here
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SOURCE MRO Software, Inc.
BEDFORD, Mass., April 24 /PRNewswire Interactive News Release/ --
MRO Software (Nasdaq: MROI), the leading provider of solutions for maintenance
optimization, industrial supply chain planning and supplier enablement, today
announced record revenues for the Company's second quarter ended March 31,
2001.
Total revenues for the quarter grew to $45.7 million compared with $41.6
million for the second quarter of the prior year, an increase of 10%. Pro
forma net income for the second quarter was slightly above break-even or $0.00
per diluted share, compared with income of $3.5 million or $0.15 per diluted
share for the comparable quarter. Pro forma net income is adjusted for the
pre-tax effects of amortization of goodwill (see Schedule A). The Company
reported a net loss for the second quarter of $3.6 million or $0.16 per share
after inclusion of amortization of goodwill, compared with net income of $2.4
million or $0.10 per diluted share for the comparable quarter last year.
Business Segments
Total revenues for the demand-side business segment, which include
revenues from the Company's MAXIMO product line, were $41.1 million, up from
$33.4 million for the comparable quarter, an increase of 23%. Software
license revenue for this business segment was $15.4 million, up 23%
sequentially and 33% from the comparable quarter last year.
Total revenues for the supply-side business segment, which include
revenues from the Company's MRO.COM suite of hosted solutions, were $4.6
million, up from $4.4 million in the previous quarter and down from $8.2
million for the comparable quarter, reflecting in part the Company's shift to
an ASP subscription model.
The balance sheet for the period ended March 31, 2001 contained $36.9
million in cash and marketable securities and no long-term debt. Deferred
revenue increased to $22.2 million, and days sales outstanding improved from
93 to 92 days, meeting the Company's internal target.
"I am very pleased with the solid performance of our business this
quarter," commented Chip Drapeau, president and CEO, MRO Software. "Our
solutions are providing concrete value to asset intensive companies and their
suppliers. On the MAXIMO side, we saw strong adoption of our MAXIMO industry
solutions in the utility, oil and gas and discrete manufacturing market
sectors. We are also starting to see traction in the aircraft maintenance
market, as evidenced by this quarter's win at a major regional carrier. On
the supply-side, our next generation of hosted supplier enablement technology
will quickly and affordably provide industrial distributors and manufacturers
with an easy path to conduct business with their customers over the Internet.
As a result of this progress, we remain on track to achieve our goals for the
year."
The Company will host a conference call with any and all interested
persons to review its performance and discuss its prospects today at 4:30 pm,
EST. For domestic participants, the call-in number is (800) 932-9896. For
international participants, the call-in number is (706) 634-5804. A recording
of the entire call will be available at the Company's website for one week
under "Investor Relations" at http://www.mro.com. The recording may also be
accessed via the domestic playback number of (800) 642-1687 or the
international playback number of (706) 645-9291, using reservation number
479666.
About MRO Software, Inc.
MRO Software, Inc. is the leading provider of solutions for maintenance
optimization, industrial supply chain planning and supplier enablement.
MAXIMO(R), the Company's demand-side product, is deployed at over 8,000
businesses, government agencies, and other organizations to assist them in
managing asset and resource productivity. These capabilities, which include
business rules with maintenance best practices, tight integration with various
business systems, and the ability to effectively address both low cost and
complex procurement needs, are critical success factors for plants and
facilities whose overall competitiveness are tied to efficiencies and
productivity that can be realized across the entire industrial supply chain.
The Company complements its MAXIMO work and materials management software
with its MRO.COM supply-side suite of hosted solutions that provide enabling
B2B technology and content services to manufacturers and distributors of
industrial parts and equipment.
Based in Bedford, Mass. with over 1,000 employees, MRO Software markets
its products through a direct sales force with sales offices throughout the
United States, Argentina, Australia, Brazil, Canada, China, France, Germany,
Hong Kong, India, Italy, Mexico, the Netherlands, Singapore, Sweden, Thailand,
and the United Kingdom, combined with a network of international distributors.
All MRO Software news releases are available via the MRO Software Home Page at
http://www.mro.com.
MAXIMO is a registered trademark, and MRO.COM and MRO Software are
trademarks, of MRO Software, Inc.
This press release contains statements concerning future events and the
Company's future performance, which are forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. The Company's actual results could differ
materially from those set forth in the forward-looking statements. Factors
which might cause such differences include, without limitation: a possible
slowdown in IT spending and other adverse macroeconomic conditions, delays in
product development and product roll-out, difficulties in gaining market
acceptance of new products, intense competition and the presence of larger
competitors in the market, difficulties in integrating and coordinating the
Company's products and sales efforts with the products and sales efforts of
its business partners, the emergence of competitive alliances among other
companies, and those factors discussed in the Section entitled "Factors
Affecting Future Performance" in our most recent Annual Report on Form 10-K as
filed with the SEC.
MRO SOFTWARE, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
Three Months Ended Six Months Ended
March 31, March 31,
2001 2000 2001 2000
(in thousands)
Revenues:
Software $15,510 $18,644 $28,107 $34,381
Support and services 30,232 22,977 59,103 45,226
Total revenues 45,742 41,621 87,210 79,607
Cost of revenues:
Software 685 845 1,151 1,504
Support and services 17,389 12,172 33,458 24,700
Total cost of
revenues 18,074 13,017 34,609 26,204
Gross margin 27,668 28,604 52,601 53,403
Operating expenses:
Sales and marketing 17,215 15,824 35,014 29,688
Product development 6,703 5,522 12,263 10,017
General and
administrative 4,984 3,517 9,230 6,569
Amortizaton of goodwill
and other intangibles 3,589 1,132 7,225 1,301
Warrant expense - - 3,287 -
Total operating
expenses 32,491 25,995 67,019 47,575
(Loss)/income from operations (4,823) 2,609 (14,418) 5,828
Interest income 409 1,382 858 2,319
Interest expense 16 (100) (63) (101)
Other income (expense),
net (399) (183) (124) (377)
(Loss)/income before income
taxes (4,797) 3,708 (13,747) 7,669
(Benefit)/provision for
income taxes (1,228) 1,345 (2,483) 2,710
Net (loss)/income $(3,569) $2,363 $(11,264) $4,959
Net (loss)/ income per share,
basic $(0.16) $0.11 $(0.51) $0.23
Net (loss)/income per share,
diluted $(0.16) $0.10 $(0.51) $0.22
Shares used to calculate net
(loss)/ income per share
Basic 22,109 21,671 22,096 21,543
Diluted 22,109 23,276 22,096 22,991
MRO SOFTWARE, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
PRO FORMA, AS ADJUSTED
Schedule A
(unaudited)
Three Months Ended Six Months Ended
March 31, March 31,
2001 2000 2001 2000
(in thousands, except per share data)
Net (loss)/income $(3,569) $2,363 $(11,264) $4,959
Goodwill amortization 3,588 1,132 7,225 1,301
Warrant expense - - 3,287 -
Net income/(loss), as
adjusted $19 $3,495 $(752) $6,260
Diluted net income/(loss)
per share, as $0.00 $0.15 $(0.03) $0.27
adjusted
Shares used to calculate
net income/(loss)
per share, diluted, as
adjusted 22,503 23,276 22,096 22,991
MRO SOFTWARE, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited)
March 31, September 30
2001 2000
(in thousands) ASSETS
Cash and cash equivalents $31,822 $31,584
Marketable securities 4,089 4,241
Accounts receivable, net 46,901 47,699
Other current assets 14,455 13,245
TOTAL CURRENT ASSETS 97,267 96,769
Marketable securities 1,000 1,059
Property and equipment, net 14,497 14,571
Intangible assets, net 56,374 63,286
Other assets 6,851 5,371
TOTAL ASSETS $175,989 $181,056
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities $26,932 $27,596
Deferred revenue 22,081 19,080
TOTAL CURRENT LIABILITIES 49,013 46,676
Other long term liabilities 243 188
TOTAL LIABILITIES 49,256 46,864
STOCKHOLDERS' EQUITY 126,733 134,192
TOTAL LIABILITIES & STOCKHOLDERS'
EQUITY $175,989 $181,056
MAKE YOUR OPINION COUNT - Click Here
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SOURCE MRO Software, Inc.
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