INS achieved 100% VP retention, engr mgmt, nw consultants after LU merger announcement
INS Announces Record First Quarter Fiscal Year 2000
Results
SUNNYVALE, Calif., Oct. 13 /PRNewswire/ -- International Network Services (INS) (Nasdaq: INSS - news), a global provider of
network consulting and software solutions, today announced record revenue and earnings per share for the company's first fiscal
quarter ended September 30, 1999.
Total revenue for the first quarter was a record $100.0 million, a 55% increase from revenue of $64.4 million for the same period a
year ago. Net income for the quarter was $10.9 million, an 85% increase from net income of $5.9 million a year ago. Fully diluted
earnings per share for the quarter were $0.17, a 70% increase from earnings per share of $0.10 a year ago.
The results mark INS' last full quarter as a public company. On August 10, 1999 Lucent Technologies (NYSE: LU - news) announced
it had signed a definitive agreement to merge with INS. Under terms of the agreement, each share of INS will be converted into
0.8473 shares of Lucent common stock. The INS stockholder special meeting is scheduled to be held on October 15, 1999.
``I am very pleased with the outstanding response that INS has received from our employees, clients and partners regarding our plans
to merge with Lucent Technologies,' said John Drew, President and Chief Executive Officer of INS. ``The broader capabilities that
our merged companies promise to deliver have already attracted more business opportunities to INS, both in terms of network
consulting engagements and software contracts.'
During the quarter, INS added 113 new clients, including a significant number of new VitalSuite software customers such as Cable &
Wireless (UK), Cabletron Systems, Convergent Communications, and Dayton Hudson.
``Total software revenue recorded during the quarter was $14.2 million, a 116% increase over the prior year,' stated Jim Goetz,
INSoft Vice President and General Manager, ``Not only did we post record software revenue and continue to gain market share in the
performance management market, but VitalSuite was also named the best application performance monitoring solution by Network
Computing magazine in August.'
``Since the merger was announced, more than 300 new employees have signed on to join INS and become part of Lucent NetCare,'
said Drew. ``In addition, since the merger was announced we have achieved 100% retention of our vice presidents, 100% retention of
our top two levels of engineering management, 97% retention of our third level of engineering management, and 100% retention of our
top level of network consultants. This is a clear validation of the compelling opportunity that our merger with Lucent offers our
employees.'
``The intense focus on the execution of our business plan and the quality of our deliverables throughout this quarter is a true testament
to the strength and commitment of our employees and management team,' said David Butze, Chief Operating Officer at INS.
``I would like to take this opportunity to thank our employees, clients, stockholders and analysts for their support over the past eight
years,' added Mr. Drew. ``Everyone at INS is looking forward to building upon our success in helping clients use their complex
multi-vendor networks to gain competitive advantage.' |
