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i2 Technologies Reports Record Second Quarter
Results; Total Revenue Growth of 57% Results in
All-Time Record Quarterly Revenues of $131 Million;
Indicates Growing Acceptance of i2's Intelligent ...
DALLAS, July 21 /PRNewswire/ -- i2 Technologies, Inc.
(Nasdaq: ITWO) announced second quarter 1999 results with
total revenues setting an all-time record as the company
continued to experience strong growth from its software solutions
designed for intelligent eBusiness. Total revenues of $131.4
million grew 57% over second quarter 1998 total revenues of
$83.6 million.
Net income in the second quarter of 1999 was $8.5 million, or
$0.11 per diluted share, compared to $0.6 million, or $0.01 per
diluted share in the second quarter of 1998. Both periods
included acquisition-related charges. Excluding these charges, net
income for the second quarter of 1999 was $8.8 million, or $0.11
per diluted share, compared to $7.1 million, or $0.09 per diluted
share for the second quarter of 1998.
"Our performance this quarter allowed us to further develop our
vision of delivering maximum value to our customers," said
Sanjiv Sidhu, CEO of i2 Technologies. "We are extending our
eBPO solutions to allow our customers to better leverage the
Internet for intelligent eBusiness. We formally announced our
strategy and additional product and service offerings at our 'eDay'
event in New York on June 15, which was very well received by
customers, prospects and the financial community."
For the first half of 1999, total revenues increased 60% over the
first half of 1998, from $155.0 million to $248.6 million. Year to
date net income, including acquisition-related charges, was $12.3
million or $0.16 per diluted share in 1999, versus $4.0 million or
$0.05 per diluted share in 1998. Excluding these charges, year to
date net income was $12.9 million or $0.16 per diluted share for
1999, compared to $10.5 million or $0.14 per diluted share for
1998.
i2 recently completed its acquisition of Austin, Texas based
SMART Technologies, a leading developer of Internet-based
customer relationship management solutions. Under the terms of
the agreement first announced on May 12, 1999, i2 acquired
SMART for approximately 2.1 million shares of i2 Technologies
common stock and options. The transaction closed on July 15
and will be accounted for as a pooling of interests.
The results reported above and in the attached financials do not
include the acquisition of SMART Technologies, which closed on
July 15, 1999. Adding SMART's estimated net operating loss of
approximately $5 million to i2's results for the second quarter
1999 is expected to reduce fully diluted earnings per share on a
consolidated basis by approximately $0.06 for the second quarter
and $0.12 for the first half of 1999. Historical financial
statements for SMART were filed with the Securities and
Exchange Commission in the S-4 dated June 23, 1999, and
SMART's second quarter financial statements will be filed with
i2's restated financial results in the third quarter of 1999. Other
Selected i2 Announcements from Second Quarter 1999
i2's automotive and industrial business unit enjoyed a strong first
half of 1999, with license agreements from new customers such
as Ford Motor Company, Mercedes-Benz U.S. International, and
Caterpillar Inc.; completed implementations at Navistar and
Consolidated Diesel Company (CDC); and record attendance of
more than 400 automotive professionals at the i2 automotive
event in April.
The high-tech business unit announced first-half license
agreements with leading manufacturers including Celestica,
Seagate, Vitesse, and Xircom, and expanded agreements with
Compaq, IBM, Motorola and Sun for the optimization of their
eBusiness processes.
i2 announced plans to move its world headquarters to Colinas
Crossing, a 75-acre mixed-use corporate center located northwest
of Dallas in Farmers Branch, Texas. The site, consisting of
approximately 30 acres, allows i2 to consolidate several locations
onto one campus, and gives i2 the option to expand on adjoining
land to accommodate growth.
At its eDay event held on June 15, i2 launched its Intelligent
eBusiness(TM) initiative and accompanying RHYTHM solutions
-- Internet Fulfillment Server(TM) and eXchange Services(TM).
Intelligent eBusiness is i2's initiative to help companies leverage
the Internet and optimize related business processes for
maximum profitability and growth. RHYTHM Internet
Fulfillment Server is a highly scalable software solution that links
a network of multiple suppliers and vendors directly into
customers' Web-based orders. RHYTHM eXchange Services
leverages the global reach of the Web to enable trading partners
to share information in virtual trading communities. Cautionary
Language:
This release includes forward-looking statements with respect to
the Company's product strategy and ability to integrate recent
acquisitions, and certain other matters. These statements are
made under the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995 and involve risks and uncertainties
which could cause actual results to differ materially from those in
the forward-looking statements. These risks and uncertainties
include but are not limited to the following: delays in the
development of products, the rate of adoption of new technology,
competitive product introductions, pricing and marketing
programs, as well as risks concerning future technology and other
factors identified in the Company's Annual Report on Form
10-K, Quarterly Reports on Form 10-Q, Registration Statement
on Form S-4 dated June 23, 1999, and other filings by i2 with the
Securities and Exchange Commission. About i2 Technologies:
i2 is the world's leading provider of supply chain management
and intelligent eBusiness solutions. Founded in 1988, i2's vision is
to add $50 billion of value for its customers by the year 2005. i2
is headquartered in Dallas, TX, has approximately 2,400
employees and maintains offices worldwide. For additional
information, visit i2 on the web at i2.com or attend
PLANET 99 in Las Vegas, October 10-13, planet.i2.com. |
