BTG Reports 1st Quarter Financial Results; Company Again Meets Consensus Expectations
FAIRFAX, Va.--(BUSINESS WIRE)--July 24, 2001--BTG, Inc. (Nasdaq: BTGI), an information systems and technical services company, today announced unaudited financial results for its fiscal year 2002 first quarter, which ended June 30, 2001.
Revenue from the company's core information systems and technical services business increased 14%, from $56.6 million in last year's first quarter to $64.6 million for this quarter. Total revenue for this quarter was $65.4 million, a 9% increase over the $59.9 million reported in the same period last year. Net income was $1.3 million, compared to $1.4 million in last year's first quarter. Diluted earnings per share for the quarter were $0.15, compared to $0.16 reported in the same quarter of fiscal 2001. Gross profit was $22.9 million, up 18% from the $19.4 million reported last year. Earnings before interest, taxes, depreciation, and amortization were $3.4 million, or a fully diluted cash-flow-per-share of $0.38.
On April 1, 2001, BTG adopted Statements of Financial Accounting Standard No. 141 and No. 142, which relate to business combinations and the amortization of goodwill. In compliance with these recently issued accounting pronouncements, BTG recorded no amortization expense on its goodwill during the quarter ended June 30, 2001.
BTG President and CEO Edward H. Bersoff said he was very pleased with the company's first quarter financial results. "The strategy of expanding our higher margin core information and technical services business is succeeding. Services revenue increased 13% and total revenue 11% from the fourth quarter of last year. Concurrently, our contract backlog increased $37 million and our bid-and-proposal backlog was up $135 million from the previous quarter. Our goal for this year is to continue improving our financial results incrementally, quarter by quarter. We are encouraged by our progress and optimistic about the remainder of fiscal 2002."
Bersoff said that during the first quarter of fiscal 2002, the company began integrating its newest acquisition, Research Planning, Inc. (RPI), a professional services firm with more than 400 employees, the majority of whom hold security clearances required by our government customers. RPI's primary areas of business are emergency preparedness, range technology and base support, and defense programs.
In addition to the RPI acquisition, Bersoff said highlights of the quarter included the announcement of several major contract wins and other significant events:
-- A $60 million, seven-year contract to develop the Integrated
Broadcast Service (IBS) for the Department of Defense. BTG's
team won a year-long competition for the IBS program, which
will integrate four existing intelligence broadcasts into a
single service that will disseminate to U.S. military
commanders time-critical information about allied and enemy
forces.
-- The award to BTG of a Department of Justice contract to help
prepare state and local officials to respond to possible
chemical or biological terrorist attacks. Revenue to BTG is
estimated at $11.2 million over the three-year term of the
contract.
-- The announcement of BTG's selection as a subcontractor to
Anteon Corporation for U.S. Army battle simulation services.
The prime contract is valued at $47 million over nine years,
assuming all options are exercised, with revenue to BTG
estimated at $6 million over its term.
-- A contract to provide Geographic Information Systems (GIS)
support to Air Force installations in Alaska, Hawaii, and Guam.
The $1.4 million contract is in addition to the $12 million in
new GIS contracts announced by the company last fiscal year.
-- The selection of BTG as a member of a team led by EG&G and
Raytheon to provide range technology and base support to Air
Force and Navy training ranges. The total estimated value of
the contract to BTG during its 15-year period of performance,
including all option years, is $85 million.
-- The announcement of a strategic alliance with SAS, the leading
firm in e-intelligence and decision-support software. BTG and
SAS will deliver end-to-end business intelligence technology
and consulting services to customers in the intelligence
community, federal, state and local governments, and K-12
education markets. BTG will be the exclusive new initiative
integrator of SAS(R) solutions to the intelligence community. |
