The company you're searching for is Radisys.
Radisys and the Intel x86 architecture have grown from 20% of the embedded
systems market in 1995 to 34% today, and the trend is continuing. Wind River
revenues come mainly from Motorola and RISC processors and are on the wrong
side of history. Radisys earns more money and is growing faster, and the
shares cost 1/3 the price of Wind River. The financial results speak for
themselves.
Radisys Financial Data
(In thousands, except per share data) Year Ended December 31,
1993 1994 1995 1996
---- ---- ---- ----
Consolidated Statement of Operations Data:
Revenues $15,351 $20,241 $35,025 $81,043
Gross profit 5,938 8,336 12,033 33,655
Income from operations 663 1,334 2,018 13,603
Net income 767 1,365 1,516 9,546
Net income per share 0.20 0.35 0.35 1.30
Weighted average shares outstanding 3,823 3,884 4,355 7,362
Consolidated Balance Sheet Data:
Working Capital $ 6,804 $ 7,917 $31,808 $45,830
Total Assets 9,712 12,367 39,112 80,253
Long term obligations, excluding 884 648
current portion
Total shareholders' equity 8,126 9,649 34,819 56,778
Wind River Financial Data
YEARS ENDED JANUARY 31, In thousands, except per share data
1997 1996 1995 1994
-------------------------------------------------------------------------------------
Revenues $ 64,000 $ 44,000 $ 32,100 $ 27,341
Net income 11,280 5,383 2,460 332
Earnings per share .41 .23 .11 .02
Working capital 55,346 27,817 24,220 21,486
Total assets 128,661 45,480 39,183 33,880
Long-term debt -- -- 73 583
Stockholders' equity $108,749 $ 32,813 $ 28,345 $ 24,612
As you've noticed, Wind River has never been able to finance growth
via earnings because they've never made much money. The big jump in
shareholder equity in 1997 was due to the $50m secondary offering.
The number of shares has increased dramatically (~50%) during the
time revenues doubled. That's why they don't list the number of
outstanding shares in the 10K data above, but you can find it in the
secondary offering prospectus. |
