Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Citrix Systems (CTXS) -- Ignore unavailable to you. Want to Upgrade?

To: David Lawrence who wrote (6790)	7/20/1999 8:03:00 AM
From: Muthusamy SELVARAJU	Read Replies (2) \| Respond to of 9068

My question to CTXS management is... "Gentlemen, something in the earnings announcement (P&L) doesn't explain your real financial performance during the quarter, as you seem to have had an operational cash inflow (akin to revenues minus all expenses) of some $38m, explained by the following: Cash & ST investments Dec. 98 $184.4m Mar. 99 $456.5m Jul. 99 $366.2m LT Investments Dec. 98 $ 97.1m Mar. 99 $162.8m Jun. 99 $334.9m which when combined together gives you the following results: Cash & All Investments Dec. 98 $281.5m Mar. 99 $619.3m (incl. approx. $292.5m of bonds issue receipts) Jun. 99 $657.1m In other words, how did you folks manage to only increase revenues during Q2 '99 (over Q1) by some $6.3m while your operational cash flow seems to have increased by some $37.8m over the same period. Since you had already gone into Q2 with record levels of Current Liabilities (A/P, Other Current Liabilities), I suspect you've managed to put away some $9m in deferred revenues in "Deferred Stockholder Revenue" (aka Microsoft transfers), and perhaps quite a bit of money in the 3rd party Deferred Revenue line also, which stood at $14.9m at end of Q1. Of course, we won't know the breakout of the "Deferred Stockholder Revenue" and "Deferred Revenues" lines till you've filed your 10Q in about 4-6 weeks, but could I suggest that without some level of cookie-jar accounting (which Microsoft has recently apologised to the SEC for having developed into a black art), in fact your Q2 revenues should have been well in excess of $102m, in which case the Net Income would have been in the order of $32.480m, which should work out to $0.34c per share or $0.36 on an adjusted basis. These EPS figures I come to compare with the $0.29 and $0.32 that you reported yesterday, respectively..." And BTW, what are these LT Investments in, I wonder... All the same, I've stuck with you for quite a few years now, so why break a winning streak...