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Technology Stocks : Sagent Technology, Inc. (SGNT) -- Ignore unavailable to you. Want to Upgrade?

To: Carl R. who wrote (149)	4/26/2000 9:59:00 PM
From: MGV	Respond to of 220

Microstrategy first-quarter loss widens VIENNA, Va., April 26 (Reuters) - Customer management software maker MicroStrategy Inc. (NasdaqNM:MSTR - news) on Wednesday reported a first quarter loss nearly 10 times that of year-ago results that were restated earlier this month. The Vienna, Va-based company said it lost $32.9 million, or 42 cents a share, in the first quarter 2000, compared with a restated loss of $3.8 million, or 5 cents a share the year before. The company reported first-quarter 2000 revenues rose nearly 73 percent to $50.6 million, compared with a restated $29.3 million in the year-ago period. In March, MicroStrategy said it would revise its results for 1998 and 1999 to conform with certain accounting practices and in April, it said it also would revise financial statements for 1997. That sent the stock careening down 140 points. The company, which within the past 52-weeks traded as high as 333, Wednesday closed at 29-11/16 before its earnings were released. The company said the revisions were mainly to address certain software arrangements it had with customers that should have been accounted for over the life of the contract under the subscription method or the percentage of completion method. The Securities and Exchange Commission has started a formal investigation into the restated financial results. In its restatement, the company said it reduced its revenue for 1999 to $151.3 million from $205.3 million, giving it a 44 cent diluted net loss per share, as opposed to a previously reported 15 cent diluted net income per share from the results of operations, according to the annual report. For 1998, MicroStrategy lowered its reported revenue to $95.5 million from $106.4 million, giving it a 3 cent diluted net loss per share instead of an 8 cent diluted net income per share. The company also restated 1997 revenue to $52.6 million from $53.6 million and results of operations to 2 cents diluted net loss per share from not posting a net loss or income based on operations. biz.yahoo.com

To: Carl R. who wrote (149)	4/26/2000 10:09:00 PM
From: MGV	Read Replies (1) \| Respond to of 220

Sagent management did not manage the matter well at all. The stock is dead money for the next 90 days at minimum. Sometime between 90 days (if they deliver on Gardner's representation that revenue will grow 25-30% sequentially in the current quarter) and 180 days (if the CommerceOne product delivers revenue in the 3rd CY quarter) the stock price could move assuming the miss this quarter was no more serious than a one time financial controls oversight and doesnt catalyze sales defections or undermine product acceptance through competitors' FUD tactics. In short, there are many uncertainties extant for this stock. I would be encouraged by a change of the CFO.