SPNSF announces Second Qtr results
Thursday August 7 5:33 PM EDT
Company Press Release
Sapiens International Corporation N.V.
Announces Second Quarter 1997 Results
RESEARCH TRIANGLE PARK, N.C.--(BUSINESS
WIRE)--August 4, 1997--
-- Strong Growth in Operating and Net Income -- -- Net Income of
$1.1 Million --
SAPIENS INTERNATIONAL CORPORATION N.V. (Nasdaq
NM:SPNSF), a leading provider of mission-critical business
solutions, today announced unaudited results for the second
quarter and six months ended June 30, 1997.
Total revenues for the second quarter ended June 30, 1997 were
$10.4 million compared with $9.4 million for the same period last
year. Product revenues increased by 26.4%. Operating income for
the quarter was $1.0 million versus $0.2 million last year, while net
income reached $1.1 million, or $0.02 per share ($0.06 per share
on a fully diluted basis), compared with a net profit of $0.3 million,
excluding an $8.5 million class actions settlement provision.
Total revenues for the six months ended June 30, 1997 were $19.9
million compared with $18.6 million for the same period last year.
The Company reported an operating profit of $1.5 million for the
first six months 1997 compared with $0.4 million in the same
period last year. Net income for the first six months ended June
30, 1997 was $1.5 million or $0.01 per share ($0.08 per share on
fully diluted basis) compared with a net income of $0.6 million,
excluding the class actions settlement, or $0.00 per share, for the
comparable prior year period.
Commenting on the results, Ron Zuckerman, Chief Executive
Officer said, ``We are very pleased to report strong growth in
operating and net income on both a year-over-year and sequential
quarter basis. The majority of our revenues still derive from our
core business while our year 2000 initiative continues to build
strong momentum.
``Our year 2000 offering is generating significant interest. We
recently signed agreements with a number of large companies with
a total value in excess of $10 million. The financial impact from
the year 2000 offering this quarter is minimal, but is expected to
build during the year.''
About Sapiens
Sapiens International (NASDAQ:SPNSF) is a leading provider of
mission-critical business solutions. The Company develops and
markets Rapid Application Development tools and provides
consulting and support services that enable customers worldwide
to build, manage and maintain high-quality business critical
solutions in extraordinarily short time frames. The Company's
installed base worldwide includes General Accident Insurance
Group, Guardian Royal Exchange, Honda, IBM, International
Paper, the Israeli Air Force, Nissan, Norwich Union, Principal
Financial Group and USAA. Information about Sapiens and the
Company's products is available on the World Wide Web at
sapiens.com.
SAPIENS is a registered trademark and ObjectPool, Object
Modeler, ObjectPool X-Platform, SAPIENS Y2K and FALCON
are trademarks of Sapiens International Corporation, N.V. Other
brand and product names are trademarks and/or registered
trademarks of their respective holders. Brand and product names
are mentioned herein for reference purposes only.
Except for historical information contained herein, the matters set
forth in this release are forward-looking statements that are
dependent on certain risks and uncertainties, including such
factors, among others, as market acceptance, market demand,
pricing, changing regulatory environment, changing economic
conditions, risks in new product and service development, the
effect of the company's accounting policies, and other risk factors
detailed in the Company's SEC filings.
SAPIENS INTERNATIONAL CORPORATION N.V.
Condensed Consolidated Statements of Income
(U.S. Dollars in thousands, except per share amounts)
For the For the
three six
months months
ended ended
6/30/97 6/30/96 6/30/97 6/30/96
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
Revenues
Products $4,373 $3,459 $7,590 $6,469
Services 5,999 5,917 12,296 12,118
Total Revenues 10,372 9,376 19,886 18,587
Cost of Revenue
Products 806 366 1,410 726
Services 3,840 4,155 7,997 8,064
Total Cost of Revenue 4,646 4,521 9,407 8,790
Gross Profit 5,726 4,855 10,479 9,797
Expenses
Research and development 725 567 1,335 1,147
Selling, general and
administrative 3,982 4,131 7,688 8,292
Operating Income 1,019 157 1,456 358
Financial income - net 276 64 210 108
Other income/(expenses) -
net (b) (210) (8,462) (175) (8,382)
Net Income/(Loss) $1,085 ($8,241) $1,491 ($7,916)
Earnings/(Loss) per
share (c) $0.02 ($0.66) $0.01 ($0.66)
Weighted average shares
outstanding 14,114 12,927 13,918 12,897
Note: a: Certain prior year's amounts reclassified to conform with
1997 presentation
b: Includes other expenses, tax, an minority interest
c: For the computation of earnings per share, net income is
reduced by dividends to preferred stockholders and by the
discount to the market price on the conversion to common
stock given to preferred stockholders.
SAPIENS INTERNATIONAL CORPORATION N.V.
Condensed Consolidated Balance Sheets
(U.S. Dollars in thousands)
6/30/97 12/31/96
(Unaudited) (Audited)
Assets
Cash $9,206 $6,876
Marketable securities 13,217 13,671
Trade receivables 9,146 8,952
Other receivables 3,401 3,513
Other 990 698
Total current assets 35,960 33,710
Property and equipment, net 4,367 4,766
Other assets 12,131 11,742
Total assets $52,458 $50,218
Liabilities and shareholders' equity
Short-term loans and current maturities
of long-term debt $9,053 $8,191
Trade payables 3,059 3,244
Other liabilities and accrued expenses 7,362 9,219
Deferred revenue 1,962 3,445
Total current liabilities 21,436 24,099
Long-term debt 16,374 16,979
Other 1,937 1,949
Shareholders' equity 12,711 7,191
Total liabilities and shareholders'
equity $52,458 $50,218
Note: Certain prior year's amounts reclassified to conform with 1997
presentation
Contact:
Lauri Hanover
Sapiens International
1-888-710-2600
e-mail: lauri.h@sapiens.com
or
John W. Heilshorn, Jr.
Lippert/Heilshorn & Associates, Inc.
(212) 838-3777
e-mail: john@lhai.com |
