J.D. Edwards Announces Preliminary Results for The Second Quarter of Fiscal 2000
License Fee Revenue Expected to Grow Approximately 20% in Quarter
DENVER, May 4 /PRNewswire/ -- J.D. Edwards & Company (Nasdaq: JDEC) today announced preliminary results for the second fiscal quarter ended April 30, 2000. For the quarter, the company expects to report total revenue in the range of $225 million to $235 million, compared to total revenue of $232 million in the second quarter of fiscal 1999. License fee revenue is projected to grow approximately 20% over the same period last year.
The Company expects to record a net profit after gains from the sale of equity investments, excluding amortization of intangible assets. The Company also expects to report an operating loss, excluding amortization of intangible assets, of $20 million to $25 million mainly due to lower than anticipated margins on license fee revenue, and investments in sales and marketing activities. Financially, the Company remains very healthy with approximately $400 million in cash and investments.
"As expected, this has been a transitional quarter for J.D. Edwards and the enterprise software market," said Ed McVaney, President and Chief Executive Officer. "As the market continues to recover post-Year 2000, I am pleased that we were able to record such healthy license fee growth and stronger growth than most of our competitors."
Final results for the quarter will be released on May 24, 2000.
The information in this press release regarding expected total revenue, license fee revenue, operating income, and net profit is forward-looking and preliminary in nature. Words such as "expects," "projects" and similar expressions have been used to identify these forward-looking statements, but are not the exclusive means of identifying such statements. These statements reflect J.D. Edwards' current beliefs and are based on information currently available to J.D. Edwards. Actual results could differ materially depending on a number of factors, including the failure of contracts to meet revenue recognition rules, the large component of business partner services revenue that is still being reported to the Company and other adjustments that may arise as results are finalized. For a more detailed discussion of information regarding these and other risks that affect the company's operating results, please refer to J.D. Edwards & Company's Annual Report on Form 10-K for the fiscal year ended October 31, 1999, the 10-Q for the quarter ended January 31, 2000 and future quarterly reports on Form 10-Q. The Company undertakes no obligation to update or revise these forward-looking statements.
About J.D. Edwards
J.D. Edwards is a leading provider of agile business-to-business software solutions that make new business models work. The Company's integrated ActivEra(TM) Solutions deliver supply chain collaboration and fulfillment, and enable business-to-business trading communities in the consumer products, industrial and services industries. The Company's solutions are web-enabled and operate in multiple computing environments.
Founded in 1977, J.D. Edwards is headquartered in Denver and posted fiscal 1999 revenues of $944.2 million. Additional information can be obtained by contacting the Company via the Internet at www.jdedwards.com or at 1-800-727-5333.
J.D. Edwards is a registered trademark of J.D. Edwards & Company. The names of all other product and services of J.D. Edwards used herein are trademarks and registered trademarks of J.D. Edwards World Source Company.
SOURCE J.D. Edwards & Company
CO: J.D. Edwards & Company
ST: Colorado
IN: CPR
SU: ERN
05/04/2000 16:02 EDT prnewswire.com |
