Hi jeff....not my new home...just keeping track of this Q's earnings slaughter....oops, i mean season....
DTHK ($10-$7)..P/E none...
16-Jan-02
16:05 ET DigitalThink (DTHK) 9.72 +0.72: Reports a Q3 pro forma loss of $0.06, in line with the Multex consensus; revenues rose 28% year/year to $13.8 mln, below the consensus of $15.6 mln; CEO says early indications are that more customers are budgeting larger dollar amount for e-learning.
Wednesday January 16, 4:01 pm Eastern Time
Press Release
SOURCE: DigitalThink, Inc.
DigitalThink Announces Financial Results for Third Quarter of Fiscal 2002
Third Quarter Revenue of $13.8 Million, Up 28% Year to Year; Loss Narrows
SAN FRANCISCO, Jan. 16 /PRNewswire-FirstCall/ -- DigitalThink, Inc. (Nasdaq: DTHK - news), the leading provider of e-learning business solutions to Global 2000 companies, today announced results for its third quarter of fiscal year 2002, ended December 31, 2001.
Revenues for the third quarter of fiscal year 2002 increased 28% to $13.8 million from $10.8 million for the same quarter of the prior fiscal year. Including non-cash and acquisition related charges, the reported net loss for the third quarter was $7.8 million or a net loss of $0.20 per share compared to a net loss of $11.1 million or $0.32 per share in the quarter ended December 31, 2000. Excluding non-cash and acquisition related charges totaling $5.3 million, the net loss for the quarter was $2.5 million or $0.06 per share, compared to a net loss of $6.0 million or $0.17 per share for the comparable period last year.
Revenues for the nine months ended December 31, 2001 were $44.1 million, up $18.3 million from the same period last year or an increase of 71%. Reported net loss for the nine months ended December 31, 2001 was $30.3 million, or a loss of $0.81 per share, compared to a loss of $42.3 million, or a loss of $1.23 per share for the nine months ended December 31, 2000. Excluding non-cash and acquisition related charges totaling $20.8 million, the net loss for the nine months ended December 31, 2001 was $9.5 million, or $0.25 per share, compared to a loss for the comparable period last year of $18.0 million or $0.52 per share. Non-cash and acquisition related charges include write-off of in-process research and development, amortization of goodwill and other intangibles, amortization of warrants, and stock-based compensation.
``The third quarter was filled with both significant challenges and accomplishments,'' said Jon Madonna, president and chief executive officer at DigitalThink. ``Clearly, the near-term economic weaknesses and budget constraints delayed new orders and negatively affected our results. Despite this weakness, we are pleased with our ability to manage expenses to meet earnings expectations. Our acquisition of LearningByte's operations in India played a pivotal role in our ability to lower the overall expense structure. We are also pleased that we were able to strengthen key customer relationships, build new order pipeline in both our direct and indirect channels, and make significant advances in our technology during the quarter. As we enter 2002, early indications are that more customers are budgeting larger dollar amounts for e-learning, and we fully expect to benefit from these customer initiatives.''
Significant customer accomplishments in the quarter included:
-- Circuit City entered into a multimillion dollar three-year agreement
with DigitalThink, marking the second major expansion of the original
contract which was signed in February 2000. This agreement includes new
custom course development, as well as access to DigitalThink's
extensive catalog of IT, desktop and business skills courses. Circuit
City has also added DigitalThink's E-Learning Platform, a fully
integrated solution designed to manage every component of learning,
with a robust learning management system and extensive reporting and
analysis. This new deal represents a significant expansion for Circuit
City, which has provided e-learning to over 80,000 Circuit City
employees.
-- Cisco expanded its relationship with DigitalThink, adding new
sales-focused courseware for their Worldwide Sales Force Development
group to provide training on solutions, industry verticals and sales
skills. Cisco has also continued to add new IT catalog courses from
DigitalThink.
-- Mitsubishi Caterpillar Forklift of America (MCFA) contracted for sales
product training courseware development designed to help dealers and
salespeople more effectively understand and sell forklifts. A former
LearningByte customer, MCFA is now using DigitalThink's content
development deployment model to deliver courses via their third-party
LMS.
-- KPMG Consulting successfully completed the migration to DigitalThink's
E-Learning Platform, which now allows the global consulting firm to
easily manage large, complex e-learning initiatives -- delivering more
learning to more employees more rapidly than ever before, as well as
track and measure the contribution of its e-learning initiatives to the
company's core business objectives. In fiscal 2001, KPMG Consulting
delivered 450,000 hours of workforce training, with 75 percent of it
delivered in digital format, freeing up consultants to devote more time
to client engagements. |
