Here's the whole press release. I remain long-term bullish. Visio2000 is a kick ass product and will drive great earnings in Q4 of this year and all of 2000.
And the fact is, we've only dropped this morning to where we were 7 weeks ago. (Looking on the bright side....)
Visio Corporation Announces Preliminary Third Quarter Results and Expectations For Fiscal 1999 Fourth Quarter
PR Newswire - July 08, 1999 16:15
Company Reiterates Guidance for Fiscal Year 2000
SEATTLE, July 8 /PRNewswire/ -- Visio Corporation (Nasdaq: VSIO), the leading developer and supplier of drawing and diagramming software for business and personal computer users, today announced preliminary results for the third quarter ended June 30, 1999. For the quarter, the Company estimates revenues will be $50.0 million and earnings per share will be in the range of $0.29-$0.30, compared to consensus estimates of $53.5 million and $0.35. Third quarter results were impacted by a continued slowdown in sales through the distribution channel and delays in closing several large corporate licensing agreements. The Company expects that revenue for its fourth quarter will be at the lower end of current analyst estimates, or approximately $61.0-$62.0 million. Visio Corp. will release final results for the June 1999 quarter on Wednesday, July 21, 1999.
"We met our previously announced goal of employing approximately 110 corporate sales representatives by the end of June 1999 and recorded solid growth in our corporate licensing business. However, several corporate licensing agreements did not close in the quarter as anticipated," stated Jeremy Jaech, president and CEO of Visio Corp. "In addition, we continued to be affected by an industry-wide shift away from the sale of packaged product through the traditional distribution channel and expect that this will remain a factor throughout fiscal 1999. The fact that the Visio(R) 5.0 product line is nearing the end of its life cycle also appears to have impacted the run rates of our packaged product through these traditional distribution channels."
"We continue to focus aggressively on the enterprise opportunity," Mr. Jaech continued. "We are encouraged by our results to date in securing corporate volume licensing agreements and will continue to leverage our sales force to bring Visio 2000 technology to the corporate market."
Mr. Jaech concluded, "Despite the current results, our business is strong and our outlook for fiscal 2000 remains unchanged. Visio 2000, the most significant upgrade in our Company's history, will be available starting in the September quarter. We expect this upgrade to be a key revenue driver throughout next year and we are excited about the prospect of delivering valuable new functionality to our customers." |
