TARRYTOWN, N.Y.--(BUSINESS WIRE)--Feb. 5, 1999-- Industri-Matematik International Corp. (NASDAQ-NM Symbol: IMIC - news) today announced preliminary results for the third quarter ended January 31, 1999.
Based on an analysis of the unaudited results for the third quarter, the Company expects total revenues of approximately $20 million and a net loss in the range of $0.28 to $0.30 per share, including a one-time charge for in-process R&D related to the Abalon acquisition. License revenues are expected to be approximately $4 million.
Commenting on the results, Stig Durlow, President and Chief Executive Officer of Industri-Matematik stated, ''We are obviously extremely disappointed with our license revenue performance this quarter. After seeing steady improvement in the license revenues during the first half of our fiscal year, we have found the marketplace dynamics to be increasingly difficult this quarter as potential customers are taking longer to make decisions. We remain hopeful that we will be able to close deals that were pending at the end of this quarter in the near future.
''In addition, we expect an under-performance in service revenues primarily due to a longer than expected start-up process in some of the new projects. Despite the shortfall in service revenues, we expect to break-even on the service business as we took steps during the quarter to realign expenses with revenues.''
Industri-Matematik International Corp., with worldwide revenues for the fiscal year ended April 1998 of $95 million, is a leading supplier of customer-driven supply chain management solutions for manufacturers, distributors and third-party logistics providers of fast-moving, high-volume products. Industri-Matematik has offices in Australia, Canada, France, Germany, The Netherlands, Sweden, United Kingdom and United States. Industri-Matematik has more than 200 logistics management systems implemented worldwide at organizations such as Ahlsell, Black & Decker, British Airways, Campbell Soup, Canon, Carlton and United Breweries, Hartz Mountain, Kellogg's, VWR, Skyway Freight Systems, Spicers and Starbucks.
The statements contained in this release that are not historical facts contain forward-looking information with respect to plans, projections or future performance of Industri-Matematik and further versions of System ESS (R), the occurrence of which involve certain risks and uncertainties, including, but not limited to, product demand and market acceptance risks, the effect of economic conditions, the impact of competitive products and pricing, product development, commercialization and technological difficulties and other uncertainties detailed in Industri-Matematik's filings with the Securities and Exchange Commission, particularly the Form 10-K filed in July 1998.
Company Contact:
Stig Durlow, e-mail: stdu@im.se
Lars-Goran Peterson, e-mail: lgpe@im.se
Industri-Matematik International Corp. |
