Press release
biz.yahoo.com
Tuesday February 24, 4:20 pm Eastern Time
Company Press Release
SSA Announces First Quarter Results
CHICAGO--(BUSINESS WIRE)--Feb. 24, 1998--System Software Associates, Inc. (NASDAQ:SSAX - news) announced today results for its first fiscal quarter ended January 31, 1998, which featured record first quarter revenue and a return to first quarter operating profit.
Revenues for the first quarter were a record $99.0 million. This represents the fifth consecutive corresponding quarter of record revenue results for the Company. Operating income for the first fiscal quarter, prior to special charges, improved to $1.4 million, as compared to an operating loss of ($4.6) million for the first fiscal quarter of the prior year. The first fiscal quarter is traditionally far and away the weakest quarter of the year for the Company. Geographically, revenue growth was strong in North America, the world's most competitive market for enterprise systems. International results were impacted by exchange rate changes during the quarter and weaker than expected sales in Europe.
During the quarter, the Company won 35 new accounts, all manufacturing firms, covering every geography and every target industry sector. Currently over 1,200 major industrial sector firms have implemented or are implementing the Company's BPCS Client/Server version 6.0 product line in over 5,000 sites around the world. By quarter end, over 160 companies had gone live with version 6 for managing their enterprise-wide operations. Almost all of these firms went live in less than a year, with many in less than six months.
Cash balances at quarter end closed at $60.6 million, largely due to one-time factors.
All in US $ Millions Except Earnings Per Share
Quarter Ended
January 31, January 31, %
1998 1997 Change
Total Revenues 99.0 92.2 7.4
License Fees 60.9 65.1 (6.5)
Client Services 38.1 27.1 40.6
and Other
Special Charges 1.1 -- N/A
Operating Income
(Loss) 0.3 (4.6) N/A
Income (Loss)
Before
Income Taxes (2.0) (6.7) N/A
Net Income (Loss) (1.3 (4.3) N/A
Earnings (Loss)
Per Share of
Common Stock $ (0.04) $ (0.10) N/A
-0- |
