NEON...BIG NEWS
Monday October 11, 8:03 am Eastern Time
Company Press Release
SOURCE: New Era of Networks, Inc.
NEON Anticipates Record Revenues; Third-Quarter Revenues to Exceed $30 Million
DENVER, Oct. 11 /PRNewswire/ -- New Era of Networks, Inc.(TM) (Nasdaq: NEON - news), today announced that, based on a preliminary analysis of its results for the quarter ended September 30, 1999, it expects revenues for the quarter to be approximately $30-$32 million, the highest quarterly revenue total the company has recorded to date. At this level, third-quarter revenues would represent more than 70 percent growth over revenues of $17.5 million in the quarter ended September 30, 1998, and more than 15 percent growth over revenues of $26.1 million recorded in the company's second quarter ended June 30, 1999. The company expects to report a net loss approximately in line with expectations for the quarter.
The company's results for the period ended September 30 include no third- quarter IBM royalty revenue. As previously announced, this revenue is now recognized on a one-quarter lag.
``These expected results confirm the successful implementation and the effectiveness of the initiatives we announced in July for refocusing our sales and R&D resources and for company-wide reductions in costs,' said Rick Adam, NEON's chief executive officer. ``They also reflect strong demand for NEON's Enterprise Application Integration solutions and growing demand for our e-Business solutions.'
Industry analysts estimate that 80 percent of the data and logic that drive e-Business resides in legacy application software. NEON customers increasingly are using the company's products to integrate Web and Internet-facing e-Business applications with legacy systems and packages such as SAP, PeopleSoft and Siebel. NEON's recently introduced e-Biz Integrator product provides an integration server engine and preconfigured adapters for e-Business packages such as BroadVision, CommerceOne and Ariba, as well as application servers such as BEA WebLogics, IBM WebSphere and Sun/AOL/Netscape. The product also supports XML and EDI.
NEON and its channel partners received orders for new and add-on business from more than 90 customers in the quarter, including CapitalOne, Children's Hospital Chicago, Citizen's Bank, Countrywide, CS First Boston, Data General S.A., Deluxe Corporation, DePaul University, Ernst & Young, Jato Communications Corporation, Metropolitan Life Insurance Company, Pepsi Cola General Bottlers Inc., Primark Corporation, Samsung, and Woolworths.
These forward-looking statements regarding estimated results are preliminary and are based on partial information and management assumptions. The company expects to announce actual results for the quarter on October 20, 1999. Additional financial details will be provided at that time, and company officials will not be commenting further on third-quarter results until that announcement. |
