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Technology Stocks : i2 Technologies -- Ignore unavailable to you. Want to Upgrade?

To: elmatador who wrote (1759)	10/17/2000 6:04:55 PM
From: Bruce Brown	Read Replies (3) \| Respond to of 2339

• 118% y/y revenue growth and 32% sequential growth • Planet 2000 has been the most successful yet of the Planet projects • leading e-business company in Europe with big wins of Siemens and Volkswagen • 2 for 1 stock split • 80,000 suppliers signed up for TradeMatrix™ • TradeMatrix™ 5.0 released. No other product like it available in the industry. • Partnering has enabled 5 times the ability of any other trading exchange service • Delivered $16 Billion of Value to customers. New goal has been increased to deliver $75 Billion of value to customers by 2005 • New Board Member from Enron • Average sales price of $1.7 Million • EPS doubled • Losses due amortization of intangibles and due to the acquisition of Supply Base and Aspect • law suit settlement of former employee who launched his own IPO company. One time charge of 22.4 Million for the stock options • Siemens license is a multi year contract in excess of $100 Million. Some of that revenue did get counted in Q3, but more will be in Q 4 and Q 1 of next year. • Not relying on market places for significant growth. Relying on software license/maintenance/services • operating margin expanded to 12% • less hiring during Q 4, 55 net sales reps in Q3, but they have the ability to hire 125 if they need to hire that many going forward. They had a very successful recruiting year. • payroll taxes due to stock options of 1.5%. Expense will be broken out beginning Q4. Can not predict the expense due to the employees right exercise options. • $1 Million investment gain reported in other income • DSO down to 76 days. They expect DSO will return to 80 - 90 in Q 4. • EPS is 4 times last year. • 1/3 of license fees came from the 3 major deals in the quarter • Lots of opportunity overseas - especially in Europe for the high tech revenues • Discussions with Enron about market place opportunities • Growth in new product areas • High expectations on both the buy and the sell side • Leap frogging of ERP by many customers. Wow!!!! • Even in a weak economy, the customers need and want the software. It's an urgency to spend that i2 is seeing. • European sales unit is doing very well • Deferred revenues have increased • SCM competitive dynamics - SCM market place is getting really hot. Market is getting strong for SCM in addition to full business suite. Most of the larger deals, i2 sees little competition. Very rarely do the compete on a SCM only deal these days. • Large deals see customers in a hurry to transition their company. • Congratulations on a great quarter were said by every analyst (except for the first analyst question) • Partnering directly with the public market place companies. They expect this will give them traction to close deals on other i2 solutions with these companies. • Order management solution. Unique new ERP solution order management for the enterprise, makes all the disparate ERP solutions act as one and this solution can work over several companies in the market places. No other product like it is available. • Private market places have come to the fore over the public market places. i2 is partnering with these private market places. • End to End connectivity for companies. TradeMatrix™ 5.0 is the only solution on the market that is total integration. • Won the largest SAP account in the world right in SAP's back yard - Siemens. i2 thinks SAP is focused on the wrong thing and not with what the customers or industry is demanding. • Integration requirements are changing. i2 has the right solutions for companies to deploy. It's a really new ERP vision and the market is swarming around i2's solutions. • Clear one stop shop for e-business solutions. BB