OK, gang---I just got off the phone from the conference call and let me tell
you things are MORE BULLISH THAN EVER out of SYSF !!!!
Earnings checked in at 6 cents/share vs. 4 last year...right in line with
expectations...would have been a bit higher if a large receivable would have
been paid on time...was a little late and fell into the next quarter.
Nonetheless, the important stuff was the discussion in the conference call:
Key points: -- Core business still growing at a 55% annual rate...no signs of
slowing down.
-- USB (Serial Bus) products way out in front of competition
and should annouce several big customers over the next few
weeks...this software is somewhat parallel to PCMCIA but covers
any hardware peripherals such as keyboards, printers, etc, that
interface with the PC.
-- SystemWizard business is right on track...6 of the top 10
desktop PC manufacturers have just finished an evaluation of
the product and all 6 came back with an A+ grade of the product.
They expect at least 3 of the 6 to be on board by the end of
the year, hinting that IBM and/or HP may be first, followed by
Compaq.
-- 7 of the top technology folks on Intel's staff and 10 of the
top ones on Microsoft's staff evaluated the product for 5 weeks
and came back with the annoucement that "SystemWizard will be
the most important product we will see this year".
-- There are lots of companies developing products for unveiling
at the fall Comdex show which will feature Systemsoft technology
and "blow everybody away up there"
-- Now for the REALLY GOOD news....CEO of Intel, Andy Grove is
slated to deliever 2 keynote addresses related to where personal
computing is headed (new frontiers of technology and afforda-
bility, etc)...the 1st one is Sept. 24th at Madison Square
Garden. I didn't get the exact audience, but I think it is
mainly a technical audience (technology company CEO's, etc will
be there). Then the 2nd one is Sept. 30th in Chicago to an
audience of over 2500 retailers (consumer side of the business).
He announced today (and I think this is what made the stock move
as word leaked out) that he will make SystemWizard the center of
his presentation !!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!
I personally feel this is just simply HUGE news.
-- Angeolo (Systemsoft CEO) then said that they have already been
told to "strap down and get ready for the onslaught of business"
that will be generated from these 2 presentations...he then said
"and I guess you guys should be ready to do the same"...and he
is addressing this comment to the analysts/investors who are
involved in the conference call...in other words, pretty much
predicting this thing will generate lots of interest in the
stock.
-- He says SystemWizard will also be marketed to the existing
installed base of PC's...."if you are running Windows 95,
Windows N/T, or O/S2, you are a target of ours"...it will be
available approx. end of September for $24.95 download through
the Internet or $49.95 as a packaged product in computer stores.
-- He says other products like Cybermedia's FirstAid and OilChange
products have gotten lots of attention but are nowhere near as
comprehensive and robust as SystemWizard....there is "still
really no head-to-head competition for this product".
-- They have already had 10 customers sign up for the newly
released CardWizard for N/T product revealed a month or so
ago (IBM, Compaq, and HP are among the 3).
-- Systemsoft has now turned in 27 consecutive quarters of
50% or greater revenue growth (annual comparisons), 9 since
they came public, and they expect to significantly increase
that number to well over 50% going forward thanks to System-
Wizard.
-- Says that anaylst Paul Bloom "knows this company as well as
I do" and refers and questions of projected revenue growth to
Paul Bloom's report...This report is the one with the 10-month
price target of $45 (conservatively) on Systemsoft.
-- Says that Intel and Compaq have "left a space in their
frameworks for SystemWizard to plug into"
-- Says that SystemWizard is "the right product attacking the
right problem at the right time"
-- Says that the response from software vendors wanting to make
SystemWizard a key feature of their technical support has been
far greater and faster than they could have anticipated.
-- Says top hardware OEM's are starting to make their key suppliers
sign up to turning all their various knowledge-bases over to
Systemsoft as a prerequisite for even doing business with these
OEM's.
-- There was lots more good news and some discussions of the
royalties for USB, SystemWizard, and other products, but I
think you get the idea by now.
This is just one heck of a company being managed by some real sharp folks.
Let's just hope they keep their focus and keep steering this ship in the right
direction.
Mark. |
