Sagent Announces Q4 and FY2000 Financial Results
Microsoft, IBM, Yahoo!, Fujitsu, Volkswagen key customer wins during Q4
biz.yahoo.com
MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--Feb. 5, 2001--Sagent (Nasdaq:SGNT - news), a leading provider of Business Intelligence solutions, today announced fourth-quarter and fiscal 2000 financial results. Both periods ended December 31, 2000. The company also announced today that it is nearing completion of a transaction to provide significant additional funding to Sagent.
Sagent's revenues for the fourth quarter of 2000 were $12.3 million, compared with revenues of $16.0 million reported in the fourth quarter of 1999. Sagent's net loss for the fourth quarter of 2000, excluding non-recurring charges, was $11.0 million, or a loss of $0.37 per share, compared with a net loss of $6.1 million or $0.22 per share in the fourth quarter of 1999. Non-recurring charges of $4.2 million in the fourth quarter included costs associated with the recruiting of senior management, completion of an agreement to restructure the company's IT outsourcing that will dramatically reduce its long term IT costs, amicable settlement of a patent infringement suit, and charges for write-offs of accounts that were deemed to be uncollectable. Including these non-recurring charges, the net loss for the fourth quarter of 2000 was $15.2 million, or a loss of $0.51 per diluted share.
Revenues for the year ended December 31, 2000, were $58.2 million, compared with revenues of $48.0 million reported in fiscal 1999, representing a 21.3 percent increase. Sagent's net loss for the year was $23.7 million, or a loss of $0.82 per share, compared with a net loss of $12.1 million, or a loss of $0.55 per share in 1999.
``During my first five months at Sagent, I have devoted a significant amount of time and energy re-building and revitalizing the sales and marketing organizations,'' said Ben Barnes, president and CEO, Sagent. ``We have been very successful in recruiting some of the industry's most talented business intelligence sales and marketing individuals. Our new team is now fully staffed and engaged in the marketplace.''
``In addition to changes in the direct sales team, we have established a new telemarketing organization to market to our vast customer base and a new business development organization to establish partnerships with industry leaders,'' Barnes added.
``We're already beginning to see the benefits of our reorganization and recruiting efforts,'' Barnes said. ``Sagent's new accounts in the United States during the fourth quarter included wins at IBM, Microsoft, Yahoo!, U.S. National Gallery, and the City of Santa Clara, among others.''
``Internationally, we are gaining traction,'' Barnes said, ``particularly in Asia Pacific, where we won 26 new accounts in the fourth quarter alone, including Japan Telecom, Fujitsu and Singapore Health. We also just brought on a new executive vice president and president for Europe, who previously led IBM's European business intelligence solutions division, to help us further penetrate market opportunities in Europe.''
``In addition to growing revenues during fiscal 2001, a key objective continues to be maximizing shareholder value,'' said David Eliff, executive vice president and CFO, Sagent. ``As a result, we've recently taken steps to streamline our operations and significantly reduce our operating costs. This should speed our return to profitability.''
``We are also pleased to announce that we are in final negotiations for significant additional funding to be completed in the next few weeks, which includes a group of influential financial investors and a strategic partner,'' Eliff said. ``This additional funding improves our cash position and strengthens our balance sheet, providing the working capital to allow our new management team to execute as planned.''
``Additionally, we are beginning to see the results of our recently developed analytical solutions framework in such markets as financial services and insurance, including a Q4 win at Provident Federal Credit Union,'' Barnes said. ``Business intelligence and analytic applications represent a large market opportunity, and we intend to take full advantage of this in 2001.''
Significant Highlights of 2000 include:
- Added more than 255 new customers during the year. New customers
in Q4 include Banco Itau, City of Santa Clara (CA), Fujitsu, IBM,
Japan Telecom, Microsoft, Provident Federal Credit Union, Singapore
Health, Telekom South Africa, U.S. National Gallery, Volkswagen and
Yahoo!.
- Recruited a new seasoned executive team, with nearly a
century-and-a-half of combined business intelligence sales and
management experience. New executives include:
Ben Barnes, President and CEO
David Eliff, Executive Vice President and CFO
Arthur Parker, Executive Vice President and President, Europe
Jack Peters, Senior Vice President, Sales, The Americas
Bob Flynn, Senior Vice President, Marketing and Strategy
Larry Scroggins, Senior Vice President, Business Development
Steve van den Berg, Vice President, Business Development
Tom Whitelaw and Ken Cairns, Area Vice Presidents, Sales
- Re-built the sales organization in the United States, and
established new indirect sales channels for the company.
- Released significant new product capabilities, including Sagent
Solution version 4.2 for international support; the Sagent Portal for
customized Web-based applications; and Sagent Solution version 4.5,
the company's first UNIX port that supports Solaris. This new support
for UNIX enables a much broader group of high-end customers to use
Sagent's solution.
- Introduced Centrus Real-Time(TM), the first XML-based
information service that dynamically delivers value-added information
at the point of customer interaction to help companies make smarter
business decisions.
- Integrated the Centrus householding, geocoding and spatial
analytics into Sagent Solution, providing Sagent's customers a unique,
"complete view of the customer" solution.
- Entered into new alliances and partnerships with Sun
Microsystems, Advent, Commerce One, SAIC, NEC, Sequoia Software and
Smart Online.
Conference Call
Sagent's executive management will hold a conference call at 1:30 p.m. PT, today, February 5, 2001, to discuss these results. In order to access the call, please dial 630.395.0018 by 1:20 p.m. PT. Callers will need to reference the passcode ``Sagent.'' A replay of the call will be available starting one hour after the completion of the call through February 12, 2001. In order to access the replay, please dial 402.220.3843. A live Webcast is available by visiting www.sagent.com, then clicking on the conference call link shown on the company home page. |
