Starbase Announces Preliminary First Quarter Fiscal 2003 Results
SANTA ANA, Calif., July 9 /PRNewswire-FirstCall/ -- Starbase Corporation (Nasdaq: SBAS - News), a leading provider of enterprise application management solutions designed to speed the software development lifecycle, today announced preliminary results for its fiscal first quarter ended June 30, 2002. Starbase expects to report revenue of approximately $9.1 million. Based on this estimated revenue, the Company expects to report a pro forma net loss of approximately $0.01 - $0.02 cents per share. Pro forma net loss excludes amortization of intangibles, non-cash equity based compensation and non-cash interest expense.
"Starbase's financial performance this quarter was adversely impacted by the continuing global economic downturn for IT software spending," stated Jim Harrer, president and CEO of Starbase. "While we are disappointed in missing our revenue objective, we are very pleased with our focused cost containment efforts which resulted in an EPS slightly below our guidance. In addition, we are pleased to report that we generated positive cash flow during the quarter, without utilizing our credit facility. Despite the current difficult economic environment, we have a strong financial position with our current cash resources, our available $4 million credit facility and our pending $12 million financing.
"During the quarter we were able to close two transactions over $900,000 which continues to reinforce the marketability of our StarTeam Elite enterprise solution," continued Harrer. "However, this quarter we did experience a sharp unexpected reduction of $100k deals as CIO's deferred these transactions. We believe we will see these transactions resurface as spending improves. Finally, we were disappointed in the performance of our international division, especially Europe, which produced significantly lower numbers than forecasted. The worldwide pipeline continues to look good as we believe customers have delayed their purchases instead of canceling them altogether."
The company will provide additional information when it reports first quarter fiscal 2003 results at the close of market on Tuesday, July 30, 2002 at 2:00 p.m. (PDT)/5:00 p.m. (EDT). Investors are invited to listen to Starbase's quarterly conference call on the investor relations section of our Web site at starbase.com / or by dialing 719-457-2692, a toll call and the confirmation code is 332495. For those unable to participate in the live call, or for those who have no access to the Internet, the call will be available on telephone replay approximately two hours after the call ends and will remain available for seven days. The replay number is a toll call. The telephone replay number is 719/457-0820 and the confirmation code is 332495.
About Starbase
Starbase Corporation provides enterprise management solutions that address the full software development lifecycle. The company leverages its enterprise software solutions and key partnerships with established industry leaders to deliver an end-to-end management solution. The combined approach of leading technology, best-fit solutions and professional implementation services enables Starbase customers to speed the application development process, resulting in improved bottom-line performance.
More than 4,000 customers, including AIG, CAE and Hutchison 3G have embraced the Starbase solutions and services methodology to meet their business objectives. For more information about Starbase and its 11 year history, please visit the company's website at www.starbase.com .
Forward Looking Statements
When used in the preceding discussion, the words "believes, expects, or intend to" and similar conditional expressions are intended to identify forward-looking statements. Such statements are subject to certain risks and uncertainties and actual results could differ materially from those expressed in any of the forward-looking statements. Such risks and uncertainties include, but are not limited to, (i) conditions in the general economy or the software industry, (ii) the timely development and market acceptance of products and technologies, (iii) competitive factors, (iv) demand for team productivity software products, (v) sell-through of products in the sales channel, and (vi) other risks described in Starbase Corporation's SEC reports and filings.
Contact for investor inquiries: Doug Norman, Chief Financial Officer of Starbase Corporation, +1-714-445-4445, doug.norman@starbase.com; or investors, Carolyn Bass, or Jocelyn Hunter, of Market Street Partners, +1-415-321-2444, starbase-ir@marketstreetpartners.com, for Starbase Corporation.
SOURCE: Starbase Corporation |
