BW)(TX-ENTRUST)(ENTU) Entrust Technologies Inc. Reports Record Third Quarter Results
Business Editors
PLANO, Texas--(BUSINESS WIRE)--Oct. 17, 2000--
Revenues up 86% to $42.2 Million; Operating Income(a) of $.02 per Diluted Share; Seventh Consecutive Quarter of Operating Profitability
Entrust(R) Technologies Inc. (Nasdaq:ENTU), the global leader in solutions that bring trust to e-business, today reported financial results for the quarter ended September 30, 2000.
Revenues increased 86% to $42.2 million for the third quarter of 2000 from $22.6 million for the same period in 1999. Net earnings from operations applicable to common shares(a) for the third quarter of 2000 were $1.2 million, or $.02 per diluted share. Including Acquisition Related Costs(a), Entrust Technologies recorded a net (loss) applicable to common shares in the third quarter of 2000 of ($28.8) million or ($.46) per share.
"We are very pleased with our overall performance in the third quarter," said John Ryan, president and CEO of Entrust Technologies. "Our results, which are driven by our global reach and technology leadership, reflect the strength of our business across a broad spectrum of geographies, vertical markets, and application solutions. We are particularly pleased with the third-quarter performance of our core business, which provides customers with trusted e-business infrastructures based on public-key infrastructure (PKI) and authorization solutions. Our new business initiatives, including Entrust.net and wireless, also continued to exceed expectations with record growth and significant new partnerships."
(a) Net earnings from operations applicable to common shares is defined as reported net earnings applicable to common shares before "Acquisition Related Costs" (acquired in-process R&D and the amortization of purchased product rights, goodwill and other intangibles), utilizing a 30% effective tax rate.
Quarterly Highlights
During the third quarter of 2000, Entrust Technologies strengthened its position as the leading player in the global marketplace for trusted e-business infrastructure solutions with gains in several key areas of its business:
--Completed the integration of all major business functions after
the June 26th merger with enCommerce, while achieving record revenues.
--Continued to drive strong International revenue growth with 32%
of third quarter revenues generated outside of North America.
--Experienced continued significant growth for Entrust.net's Web
& wireless server certificates. Entrust.net sold 14,500 Web & wireless
server certificates in the third quarter, up over 1000% from the same
period in 1999 and 45% over the second quarter of 2000.
Entrust also continued to demonstrate leadership and momentum in providing end-to-end trusted e-business infrastructure solutions. Key events in the third quarter for Entrust Technologies included:
--Demonstrated success selling Entrust/getAccess, the authorization
solution acquired as part of Entrust's June 26, 2000 merger with
enCommerce.
--Announced significant customer wins in the financial vertical,
including ING Barings, Sanwa Bank, and The Global Trust Authority.
--Concluded a broad strategic relationship with Motorola for the
development and marketing of wireless security solutions including the
embedding of Entrust.net WAP root CA certificates in Motorola handsets
and wireless Internet gateways.
--Signed partnerships with two additional leading B2B vendors - i2 and
webMethods.
--Signed agreement with PeopleSoft for embedding Entrust/Toolkit for
Java.
--Announced Entrust.net affiliates with Viacode in the U.K., Nettrak
in Korea and Modulo in Brazil.
--Won Network Computing Editor's Choice Award.
About Entrust Technologies
Entrust Technologies, Inc. (Nasdaq: ENTU) is the global leader in solutions that bring trust to e-business relationships by securing and managing the transactions that constitute e-business. Through the industry's most comprehensive portfolio of trusted e-business infrastructure solutions, Entrust Technologies enables customers to secure their B2B, B2C and internal enterprise transactions and communications, as well as to manage the e-business portals through which these transactions take place. Today Entrust serves more than 1,500 customers worldwide. Entrust Technologies was one of the pioneers of the public-key infrastructure (PKI) and digital certificate solutions that provide security for business transactions and communications over the Internet. Entrust Technologies is based in Silicon Valley, Ottawa, Canada and Plano, Texas and has offices around the world. For additional company information please visit www.entrust.com.
Entrust is a registered trademark of Entrust Technologies Inc. in the United States and certain other countries. In Canada, Entrust is a registered trademark of Entrust Technologies Limited.
All Entrust product names are trademarks of Entrust Technologies. All other company and product names are trademarks or registered trademarks of their respective owners.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For this purpose, any statements contained herein that are not historical facts may be deemed to be forward-looking statements. There are a number of important factors that could cause actual results to differ materially from those indicated by such forward-looking statements. These factors include, without limitation, the risk factors detailed from time to time in Entrust Technologies' periodic reports and registration statements filed with the Securities and Exchange Commission, including without limitation Entrust Technologies' Annual Report on Form 10-K. |
