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Technology Stocks : New Era of Networks (NEON) -- Ignore unavailable to you. Want to Upgrade?

To: JakeStraw who wrote (1032)	1/5/2000 3:52:00 PM
From: Neil H	Read Replies (2) \| Respond to of 1222

January 5, 2000 3:30pm New Era of Networks takes off on strong 4Q sales By Larry Barrett ZDII Shares of New Era of Networks Inc. (Nasdaq: NEON) shot up 5 5/16, or 11 percent, to 55 Wednesday after announcing that it expects its fourth-quarter sales to easily outpace most analysts' estimates. New Era of Networks now expects sales of between $37 million to $39 million, with software licensing revenue growing more than 50 percent compared to the year-ago quarter. "We are very pleased with our strong revenue growth, much of it driven by e-Business," said CEO Rick Adam in a prepared release. "We saw substantial sequential improvement in key financial metrics such as software revenues and DSO, and expenses declined as we realized the benefit of the restructuring initiatives we announced in July." Company officials also credited the acceptance of its e-Biz Integrator and e-Biz 2000 software from sparking overall sales in the quarter. First Call consensus expects New Era of Networks to lose 3 cents a share in its fourth quarter and 28 cents a share in the fiscal year. Its shares moved up to a high of 78 3/8 in April before falling to a low of 12 3/16 in July following a second-quarter profit warning. "E-Business is our most important strategic growth market, and it continued to grow as a proportion of our business in the fourth quarter," Adam said in the release. "We estimate revenue from e-Business will total more than half of fourth-quarter revenues." Seven of the eight analysts tracking New Era of Networks shares maintain either a "buy" or "strong buy" recommendation.