LBMS announces fourth quarter results
Reports increase in operating profit and license revenue
HOUSTON--(BUSINESS WIRE)--May 28, 1997--Learmonth & Burchett Management Systems Plc (NASDAQ:LBMSY - news) (``LBMS'') today reported fourth-quarter financial results featuring increases in operating profit and license revenue over the third quarter.
For the three months ended April 30, 1997, the company reported total revenue of $6.2 million. Net income was $1,074,000, or $0.08 per American Depositary Share (``ADS'') ($0.04 per ordinary share).
The company's results compare favorably with the previous quarter ended January 31, 1997. Operating margins increased from 11% in the third quarter of fiscal 1997 to 16% in the fourth quarter, and license revenue increased 18% from the third quarter of fiscal 1997 to the fourth quarter.
For the nine months ended April 30, 1997, which represents the company's three fiscal quarters subsequent to its restructuring and the implementation of its new business strategy, the company reported total revenue of $16.6 million. Net income was $2.1 million, or $0.16 per ADS ($0.08 per ordinary share), before consideration of net restructuring charges of $14.1 million. For the twelve months ended April 30, 1997, the company reported total revenue of $21.9 million and a net loss of $2.2 million, excluding the net restructuring charges of $14.1 million. Including the net restructuring charges, the company reported a loss per ADS of $1.28 ($0.64 per ordinary share) for the twelve months ended April 30, 1997.
Michael Bennett, president and CEO of LBMS, stated, ``Our accomplishments during the fourth quarter were significant as we continued to achieve improved profitability and to increase license revenue. The successful fourth quarter results, my third quarter with the company, clearly validate the company's strategic decision to focus our resources on the process management marketplace.''
During the quarter, the company continued to expand its distinguished customer base through the addition of new strategic customers such as Texaco Group Inc., Spyglass Inc., First Union National Bank, Northwest Airlines, Hill-Rom, Harcourt Brace & Company and Checkfree Corporation.
Also, the company announced a major release of its market-leading process management toolset - Process Engineer (``PE'') 7.0. This product release provides new capabilities that enhance LBMS' established position of leadership in the process management marketplace while continuing to broaden the overall market opportunity for PE.
Additionally, the introduction of Deliverables Manager, a complementary product to PE, has been well received by current and prospective customers. The Deliverables Manager product provides facilities to store, manage and reuse project deliverables.
``As we begin a new fiscal year, I believe we have an excellent opportunity to continue to build on the success of fiscal 1997 following our restructuring,'' said Bennett. ``While growing our revenue in the process management marketplace will continue to be our primary focus, we believe our Deliverables Manager product provides additional opportunities for growth.''
``Our goal for fiscal 1998 is to demonstrate year-on-year license revenue growth and sustain consistent profitability. We are aware that the company has historically experienced a seasonal downturn in revenue and profits in its first fiscal quarter; however, we are optimistic that we can begin to make progress toward changing this trend.''
``With the completion of my first fiscal year with LBMS, I would like to thank our customers and shareholders for their support and the LBMS employees for their hard work and dedication,'' added Bennett. |
