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Technology Stocks : Exodus Communications, Inc. (EXDS) -- Ignore unavailable to you. Want to Upgrade?

To: MulhollandDrive who wrote (885)	7/21/1999 5:06:00 PM
From: Eric	Respond to of 3664

42.5 M

To: MulhollandDrive who wrote (885)	7/21/1999 5:07:00 PM
From: Nick	Read Replies (1) \| Respond to of 3664

Exodus Communications Reports Second Quarter Results Eleventh Consecutive Quarter of More than 40% Sequential Revenue Growth SANTA CLARA, Calif.--(BUSINESS WIRE)--July 21, 1999--Exodus Communications(TM), Inc. (NASDAQ:EXDS - news) today reported second quarter 1999 revenues of $42.5 million, a 41 percent increase over the first quarter of 1999 revenues of $30.1 million, and a 322 percent increase over the comparable period of the previous year. Revenues for the first six months of 1999 increased 323 percent to $72.6 million compared to $17.2 million for the same period in the prior year. Exodus(TM) reported a net loss of $20.9 million for the second quarter, or $0.51 per share, compared with a net loss of $22.2 million, or $0.55 per share, in the first quarter of 1999, and a net loss of $14.1 million, or $0.36 per share, in the second quarter of 1998. EBITDA loss (loss before interest, taxes, depreciation, amortization and other non-cash charges) was $7.2 million for the second quarter of 1999, compared to $10.8 million for the first quarter. ''Our outstanding quarterly results reflect marked achievements in a number of key metrics in our business,'' said Ellen M. Hancock, president and CEO of Exodus. ''In the second quarter, we added 327 customers, our largest quarterly increase, and our average annualized revenue per hosting customer grew from $148,000 in the first quarter to $157,000 in the second quarter -- which reflects increasing strong demand for our services. At the same time, 46 percent of our new customers in the second quarter were enterprises. These significant achievements illustrate Exodus' strong leadership position as enterprises continue to increase their focus on e-commerce and other mission critical Internet strategies.'' ''The second quarter also marked the successful opening of our first international Internet Data Center (IDC),'' said K.B. Chandrasekhar, chairman of the board of Exodus. ''The London IDC opening went extremely well, which demonstrates our ability to extend Exodus' expertise into international markets. We expect to further expand into international markets such as Germany and Japan, and anticipate approximately one-third of our sites to be located overseas in the next few years.'' ''In order to meet growing market demands, we opened five IDCs, with approximately 435,000 gross square feet, in the second quarter,'' said Dick Stoltz, chief operating officer and chief financial officer of Exodus. ''In the second half, we expect to open six additional IDCs - one more than previously announced -- or approximately 700,000 gross square feet, in both new and existing markets. At the end of 1999, Exodus will have 22 IDCs and sites, with over 1.5 million gross square feet under lease. ¶ "As for improvement to our bottom line performance, gross margins jumped to approximately $8 million in the second quarter compared to approximately $2 million in the first quarter. This significant achievement reflects continued improved economies of scale and is evidence of our ability to leverage our business model,'' noted Stoltz.