N/R 28/4/99
Speedware announces strong results for second quarter of 1999; Increased revenues produce third consecutive quarter of profitable growth
MONTREAL, QUEBEC--Speedware Corporation (TSE: SPW) announced today
the results for the three and six months ended March 31, 1999. For
the second quarter ended March 31, 1999 net earnings were $409,000
or $0.05 per common share compared to a net loss of $1.8 million
or $0.21 per share in 1998. For the six months ended March 31,
1999, net earnings were $1.1 million or $0.13 per common share
compared to a net loss of $1.8 million or $0.21 per share for the
same period last year.
Revenues rose in the quarter for both the Company's leading edge
software products and for its professional services, growing to
$6.7 million compared to $5.2 million last year. For the six
months ended March 31, 1999 total revenues grew to $13.6 million
compared to $12.3 million in 1998.
Cash flow from operations for the six month period ended March 31,
1999, was $1.0 million compared to a use of cash of $1.5 million
in 1998.
Subsequent to the end of the quarter, Speedware completed the
repayment of its long-term debt.
"This quarter is Speedware's third consecutive period of
profitable growth since we initiated the renewed focus on our core
competencies and began our cost control programs," stated William
Thomson, Chief Executive Officer. "Speedware's transition to a
culture focused on the customer is producing increased revenues
for both our Business Intelligence and Development Tools
products."
Visionyze Corporation, Speedware's subsidiary focused on the
Company's sophisticated Business Intelligence analysis
applications that are targeted at the telecommunications,
utilities and customer service markets, continued to make progress
during the quarter. A reciprocal subcontract arrangement being
developed with IBM is aimed at jointly marketing the Company's
Telecommunications Analytic Applications to Global 1000 customers.
Sales of Business Intelligence applications were made to
Telephonica Larga Distancia, Puerto Rico's long distance telephone
company, to the City and County of San Francisco to solve its
reporting and data analysis needs, and to Pennsylvania's
Department of Transportation. In addition, Nortel has chosen to
use Visionyze's Customer Service Analyzer (CSA) to monitor the
performance of one of its primary call center support operations
in Chicago, IL. Nortel is the second-largest supplier of call
center equipment in North America, with 10 percent of the market.
From this call center, Nortel provides provisioning and
maintenance support to Ameritech, and will showcase CSA's ability
to analyze and monitor customer relationships through the call
center.
Also during the quarter, Speedware announced that it has entered
into a strategic partnership with Hewlett-Packard to jointly
market the Company's Application Development Tools-Speedware
Autobahn and Visual Speedware-to HP 3000 and HP 9000 users.
Speedware Autobahn is the first and only Internet application
development toolset for the HP 3000, allowing users of these
platforms to access to information anywhere via the Internet.
"We continue to be pleased with Speedware's financial
performance," concluded Mr. Thomson. "Looking ahead, we are
confident that our marketing strategies and cost control programs
will produce profitable growth through the balance of this year
and into the future."
/T/
Financial Highlights:
Three Months Six Months
Period Ended March 31, 1999 1998 1999 1998
(in $,000 except per
share amounts)
Revenues 6,737 5,233 13,591 12,332
Expenses 5,636 6,224 11,152 12,673
R&D Expenses 687 743 1,346 1,375
Net Earnings (Loss) 409 (1,798) 1,079 (1,780)
Net Earnings (Loss) per Share 0.05 (0.21) 0.13 (0.21)
/T/
Speedware Corporation (TSE: Symbol SPW) is a global vendor of
client/server and Internet solutions for business intelligence and
development technology. It has sales and marketing centers in six
countries, plus a worldwide network of distributors and
value-added resellers. Speedware's Internet home page
(www.speedware.com) includes detailed corporate information and
interactive demonstrations of Speedware's leading edge technology. |
