[Q4 Earnings Announced]
Industri-Matematik International Announces Year End and Fourth
Quarter Results
STOCKHOLM, Sweden--(BUSINESS WIRE)--May 21, 1997--
New Customers Include Nike, Pioneer-Standard Electronics,
Starbucks, Fel-Pro and Paragon
Industri-Matematik International Corp. (NASDAQ-NM Symbol: IMIC) today announced
unaudited results for the fourth quarter and fiscal year ended April 30, 1997.
Revenues for the three months ended April 30, 1997 increased by 45% to $21,280,000
compared to $14,669,000 for the same period in 1996. License revenue increased by 54% to
$11,514,000 versus $7,483,000 for the fourth quarter in 1996. Net income for the three months
ended April 30, 1997 was $4,107,000, or $0.14 per share, compared to $1,820,000 for the
same period last year.
Revenues for the fiscal year ended April 30, 1997 reached $59,612,000, an increase of 49%
compared to $40,009,000 for 1996. License revenue increased by 69% to $26,147,000 in fiscal
1997 compared to $15,474,000 for the prior year. Net income for fiscal 1997 was $6,902,000,
or $0.25 per share, compared to $1,750,000 in 1996. Excluding income from discontinued
operations and a gain on sale of discontinued operations, net income for fiscal 1997 was
$5,428,000, or $0.19 per share, compared to $1,423,000 in 1996.
Commenting on the results, Stig Durlow, President and Chief Executive Officer of
Industri-Matematik International Corp. stated, "We are very pleased with the results for the fourth
quarter and for the year which reflect increased demand for our solution. We are seeing more
companies recognize that building strong customer relationships is critical to remaining competitive.
As a result, companies with ERP solutions that address internal needs are shifting their focus to
Advanced Order Management and Logistics Systems that meet external, customer-driven needs.
Our core objective for IMI has been, and continues to be, providing solutions that help companies
improve their customer relationships.
"We are moving decisively into new vertical industries to complement our established presence in
the Consumer Packaged Goods (CPG) sector. During the quarter we received orders from Nike,
Starbucks and Paragon, a manufacturer of private label diapers. We also added Pioneer-Standard
Electronics, a large U.S. wholesaler/distributor, and Fel-Pro, an automotive after- market
manufacturer. To support our growth, we continue to invest in building our sales and marketing
infrastructure as well as investing in product development. During the quarter, we began exploring
opportunities in the Pacific Rim and opened an office in Australia." Mr. Durlow continued, "Our
strategic alliance with Oracle Corporation and three other partners to market the CPG Solution
Suite, a best-of-breed enterprise-wide assembled solution for the CPG industry, continues to gain
momentum as evidenced by a healthy build-up of the pipeline and geographic expansion. The
alliance has been extended to include Anderson Consulting and Ernst & Young in the U.S.
resulting in increased sales and implementation services capabilities. We launched the CPG
Solution Suite in the U.K. in April and plan to introduce it in both Germany and France in June. In
addition, we have developed version 2.1 of the Solution Suite and are on track to deliver Version
2.2 in the coming months. We believe there is an increasing demand in the CPG marketplace for
an economic solution that integrates best-of-breed components."
In conclusion, Mr. Durlow said, "We are also starting to see companies investigate the integration
of their existing ERP solutions with IMI's System ESS. We expect to continue to devote significant
development resources to meeting this need. Our customers also want a best-of-breed Advanced
Order Management and Logistics System that incorporates functionality, flexibility and scalability
in order to remain competitive. We are addressing the need for functionality through our own
development efforts, acquisitions or joint venture agreements. During the last quarter we acquired
Ceratina, a Swedish software company, to enhance our advanced Warehouse Management
capabilities and we initiated cooperative agreements with several partners including Frontec in
Electronic Commerce, Metasys in Transportation Management and Calico in Configurator
Software."
Industri-Matematik International Corp. (IMI) is a leading supplier of client/server applications
software that enables manufacturers, distributors, and wholesalers to effectively manage the
"demand chain". IMI's flagship product, System ESS, is a UNIX- based, client/server software
solution that provides capabilities for synchronizing the demand chain, including order
management, promotions management, logistics management, demand replenishment, electronic
commerce, global organizational management, and decision support. |
