BELTSVILLE, Md.--(BUSINESS WIRE)--Aug. 27, 1998--MICROS Systems
Inc., a leading supplier of information systems to the hospitality
industry, Thursday announced the results for its fiscal 1998 fourth
quarter and fiscal year ended June 30, 1998.
Revenue for the quarter was a record $83.3 million, an increase
of $15.3 million, or 22.5%, over the same period last year. Before
an after-tax charge of $1.2 million for the previously announced
closure of MICROS's European headquarters in Munich, Germany, income
for the quarter was $7.4 million, an increase of $1.9 million, or
33.7%, over the year ago fourth quarter.
Corresponding earnings per share, on a diluted basis, were $0.44,
an increase of $0.10 over the year ago result. Net income for the
quarter, including the closure charge, was $6.2 million, an increase
of $0.6 million over the year ago fourth quarter.
Corresponding earnings per share, on a diluted basis, were $0.36,
an increase of $0.02 over the year ago result. Earnings per share
reflect a two-for-one stock split effective June 23, 1998.
For the fiscal year ended June 30, 1998, MICROS's revenue was
$280.2 million, an increase of $52.1 million, or 22.8%, versus last
year. Before the inclusion of the European headquarters' after-tax
closure charge, and a charge for an accounting change in the second
fiscal quarter, income for the year was $21.3 million, an increase of
$5.0 million, or 30.3% over the year ago period.
Corresponding earnings per share, on a diluted basis, were $1.28,
an increase of $0.27 over the year ago result. Net income for the
year, after the effect of the aforementioned charges, was $19.6
million, an increase of $3.3 million, or 20.3%, over the year ago
period.
Earnings per share for the fiscal year, on a diluted basis, after
the effect of the two charges, were $1.18, an increase of $0.17, or
16.8%, over the year ago result.
Tom Giannopoulos, MICROS's President and Chief Executive Officer,
stated, "We are pleased with the record results of the fourth quarter
and the fiscal year. The fourth quarter continued our record of
attaining excellent revenue and profit growth.
"During the quarter, we released the MICROS 3500, a property
management system for midsize hotels, and the first two modules of
our new Restaurant Enterprise Office software suite. Additionally,
we closed our European headquarters in order to reduce expenses and
to centralize Fidelio software development in Naples, Florida.
"The centralization is designed to help facilitate the release of
Opera, the new Fidelio hotel software product suite."
MICROS's stock is traded through NASDAQ under the symbol MCRS.
Some of the statements contained herein not based on historic facts
are forward-looking statements that involve risks and uncertainties.
Some of those uncertainties are: product demand and market
acceptance; adverse economic factors; impact of competitive products
and pricing on margins; product development delays and technological
difficulties; and aggressively controlling expenses.
Other risks are indicated in the MICROS Form 10-K and other
filings with the Securities and Exchange Commission. MICROS assumes
no obligation to update or supplement forward-looking statements that
become untrue because of subsequent events.
*T
MICROS SYSTEMS, INC. CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts)
Three Months Ended Twelve Months Ended
------------------ -------------------
June 30, June 30, June 30, June 30,
1998 1997 1998 1997
---- ---- ---- ----
Revenue:
Hardware and software $ 56,902 $ 43,484 $ 183,045 $ 148,801
Service 26,407 24,502 97,200 79,368
====== ====== ====== ======
Total revenue 83,309 67,986 280,245 228,169
------ ------ ------- -------
Cost of sales:
Hardware and software 29,272 22,590 91,863 72,070
Service 13,955 12,126 50,745 39,921
------ ------ ------ ------
Total cost of sales 43,227 34,716 142,608 111,991
====== ====== ======= =======
Gross margin 40,082 33,270 137,637 116,178
------ ------ ------- -------
Selling, general and
administrative expenses 20,993 19,439 78,640 69,685
Research and development
expenses 3,577 3,454 13,966 11,170
Office closure costs 2,245(a) - 2,245(a) -
Depreciation and
amortization 2,503 2,368 8,709 7,487
----- ----- ----- -----
Total operating expenses 29,318 25,261 103,560 88,342
====== ====== ======= ======
Income from operations 10,764 8,009 34,077 27,836
Non-operating income
(expense), net (842) 434 (862) (210)
---- --- ----- -----
Income before taxes, minority
interests, equity in net
earnings of affiliates and
cumulative effect
of accounting change 9,922 8,443 33,215 27,626
Income tax expense 3,578 2,943 12,894 10,616
===== ===== ====== ======
Income before minority
interests,equity in net
earnings of affiliates
and cumulative effect
of accounting change 6,344 5,500 20,321 17,010
Minority interests and
equity in net earnings
of affiliates (184) 30 (268) (678)
----- -- ----- -----
Net income before
cumulative effect of
accounting change 6,160(a) 5,530 20,053(a) 16,332
Cumulative effect
of change in
accounting principle,
net of tax - - (412)(b) -
Net income $ 6,160 $5,530 $19,641 $16,332
======= ======= ======= =======
===========================================================================
Diluted net income per common
and common equivalent share :
Income before cumulative
effect of accounting
change $ 0.36(a) $ 0.34 $ 1.20(a) $ 1.01
Cumulative effect of
change in accounting
principle - - (.02)(b) -
Net income per common
and common equivalent share $ 0.36 $ 0.34 $ 1.18 $ 1.01
====== ====== ====== ======
===========================================================================
Basic net income per common share:
Income before cumulative
accounting change $ 0.38 $ 0.35 $ 1.25 $ 1.03
Cumulative effect of
change in accounting
principle - - (.02)(b) -
Net income per common share $ 0.38 $ 0.35 $ 1.23 $ 1.03
====== ====== ====== ======
============================================================================
Weighted-average shares outstanding:
Diluted 16,930 16,268 16,690 16,101
Basic 16,069 15,945 16,027 15,918
(a)Excluding an after-tax effect of $1,235 associated with the
closure of the Company's Munich, Germany headquarters in June, 1998,
net income for the quarter would have been $7,395 or $0.44 per
diluted share and net income before the cumulative effect of an
accounting change for the full year would have been $21,288 or $1.28
per diluted share.
(b)Represents a one-time charge relating to compliance with an
accounting ruling effective for the quarter ending December 31, 1997.
*T
CONTACT: MICROS Systems Inc.
Peter J. Rogers, Jr., V.P., Investor Relations
301/210-8059
progers@micros.com |
