Here is a news release from Maximus which is a Company that HCI just teamed with. MAXIMUS stock trades in the 31 point range at this time.
(COMTEX) B: MAXIMUS Reports First Quarter Results; Company Reports Re
B: MAXIMUS Reports First Quarter Results; Company Reports Record Revenues, Up
26% Over Last Year
RESTON, Va., Feb 1, 2001 (BUSINESS WIRE) -- MAXIMUS (NYSE: MMS), the leading
provider of program management and consulting services for state and local
government, today announced earnings for the fiscal first quarter ended December
31, 2000.
Maximus reported record revenues for the first quarter of $112.9 million
compared to $89.7 million for the same period in fiscal year 2000, an increase
of 26%. Net income for the first quarter was $8.7 million or $0.40 per diluted
share, compared to $7.7 million or $0.36 per diluted share for the first quarter
of the prior year. If the amortization of goodwill and other intangibles were
excluded, net income per diluted share would have been $0.44 this quarter
compared to $0.37 per diluted share for the same quarter last year, an increase
of 19%. Gross profit for the first quarter was $35.7 million, up 29% from $27.6
million for the same quarter of last year.
"We are pleased to be able to once again report record revenues for the first
quarter. In addition, contract wins totaled $189 million for the quarter versus
$113 million from the fourth quarter of 2000. Our sales and business prospects
continue to be very strong. Submitted contract proposals under evaluation by the
government total $195 million versus $153 million in the previous quarter; and
we are preparing bids for approximately $246 million in new business versus $176
million in the last quarter. We believe these comparisons demonstrate the
growing demand for MAXIMUS' services," stated Dr. David V. Mastran, Maximus CEO.
"This quarter we secured a number of important contract wins. In the Government
Operations Group, two states this quarter recognized our solid performance and
awarded MAXIMUS a $46.9 million health care services re-bid (New Jersey) as well
as a $4.3 million contract extension for similar services (Kansas). In the
Consulting Group, we were successful in our bid for one of our largest human
services consulting contracts, valued at $7.2 million, with the State of
Pennsylvania. In addition, we were awarded a SACWIS (Statewide Automated Child
Welfare Information System) consulting contract valued at $4.9 million in
Louisiana. This is of particular significance because Louisiana is the twentieth
state in which we are providing these types of services. As we continue to grow
our experience base and maintain our superior track record, we increase the
probability that MAXIMUS will be chosen for similar projects in other states.
"Our reputation for excellence and our extensive capabilities, which cover a
wide range of government services work, give us a strong competitive edge and
enhance our ability to capitalize on new opportunities. We have been successful
entering a number of new markets. One such new opportunity arose in the Systems
Group, where we were very pleased to be the first selected for a $3.6 million
smart card contract with the U.S. Department of Veterans Affairs under the
auspices of the $1.5 billion GSA Smart Identification Card Program. While the
initial dollar amount is small, it opens up a new source of business for MAXIMUS
and one with significant revenue potential. We also secured a contract with the
U.S. Department of Education to collect on delinquent student loans. In the
Commonwealth of Massachusetts we have been selected to assist the state with its
HIPAA (Health Insurance Portability and Accountability Act) compliance. We
believe HIPAA represents a significant avenue for additional consulting work.
This small sample of contract wins, along with the many more we have announced
this past quarter, are the outcome of our focus on results, our efforts to
assemble a talented and experienced group of associates, our nationwide presence
and reputation, and the wide breadth of resources at our disposal which enable
us to be a leading services provider in the government marketplace."
"Looking forward," concluded Dr. Mastran, "we expect second quarter results to
be in-line with consensus estimates."
MAXIMUS is one of America's largest government services companies devoted to
providing state and local governments with program management, consulting and
software systems services. The Company has 4,300 employees located in more than
160 offices across the United States. In 1999 MAXIMUS was selected by Forbes
Magazine as one of the Ten Best Small Companies in America for that year.
MAXIMUS was also selected by Business Week Magazine as one of the Hottest Small
Cap Growth Companies for the past two years, and was included in the Russell
2000 Index and the S&P SmallCap 600 Index.
The earnings conference call scheduled for February 1, 10:30 am ET can be
accessed through www.maximus.com.
Statements that are not historical facts, including statements about the
Company's confidence and strategies and the Company's expectations about
revenues, results of operations, profitability, future contracts, market
opportunities, market demand or acceptance of the Company's products are
forward-looking statements that involve risks and uncertainties. These
uncertainties could cause the Company's actual results to differ materially from
those indicated by such forward-looking statements and include reliance on
government clients; risks associated with government contracting; risks involved
in managing government projects; legislative changes and political developments;
opposition from government unions; challenges resulting from growth; adverse
publicity; and legal, economic, and other risks detailed in Exhibit 99.1 to the
Company's most recent Quarterly or Annual Report filed with the Securities and
Exchange Commission (file number 001-12997). The Company undertakes no
obligation to release publicly any revisions to these forward-looking statements
that may be made to reflect events or circumstances after the date hereof or to
reflect the occurrence of unanticipated events. The inclusion of any statement
in this release does not constitute an admission by MAXIMUS or any other person
that the events or circumstances described in such statement are material.
MAXIMUS, Inc.
Statements of Income (In thousands, except per share data)
(Unaudited)
Three Months Ended
December 31,
1999 2000
------- -------
Revenues
Government Operations Group $51,180 $60,483
Consulting Group 27,141 35,539
Systems Group 11,362 16,894
------- -------
Total revenues 89,683 112,916
Cost of revenues 62,085 77,254
Gross profit
Government Operations Group 11,167 12,786
Consulting Group 11,327 15,076
Systems Group 5,104 7,800
------- -------
Total gross profit 27,598 35,662
Selling, general and administrative 15,426 19,751
Amortization of goodwill and other
acquisition-related intangibles 274 1,392
Operating income
Government Operations Group 4,961 5,547
Consulting Group 5,172 7,092
Systems Group 1,765 1,880
------- -------
Total operating income 11,898 14,519
Other income, net 1,050 288
------- -------
Income before income taxes 12,948 14,807
Provision for income taxes 5,288 6,145
------- -------
Net income $7,660 $8,662
======= =======
Earnings per share:
Basic $0.36 $0.41
======= =======
Diluted $0.36 $0.40
======= =======
Shares used in computing
EPS:
Basic 21,001 21,145
======= =======
Diluted 21,323 21,615
======= =======
Summary Balance Sheet Data (Dollars in thousands)
Sept 30, Dec 31,
2000 2000
(Audited) (Unaudited)
------- -------
Cash and short-term investments $38,334 $29,706
Working capital 127,812 135,481
Total Assets 256,903 267,768
Total Liabilities 47,970 49,544
Total Shareholders' Equity 208,933 218,224
CONTACT: MAXIMUS
Russell Beliveau, 916/485-8102
or
Morgen-Walke Associates, Inc.
Betsy Brod/Karen Pagonis
Media: Greg Q. Tiberend
212/850-5600
URL: businesswire.com
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Copyright (C) 2001 Business Wire. All rights reserved.
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KEYWORD: VIRGINIA
INDUSTRY KEYWORD: SOFTWARE
GOVERNMENT
EARNINGS
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