Duke Blue... Thanks for the note that the report was out....For the footprint, I've posted it below. CLKS as a "product" makes sense to me, and that's why I have the stock. However, it is a puzzling company, IMO. Paul Allen has had interest in it since 1984....and the stock just drifts...even being cut in half a couple of weeks ago. The potential is there. But where is the fire in the company?? Time will tell, I guess. Would be nice to see the gains, rather than my great great grandchildren see them someday wwwwwwwwwwwwwaaaaaaaaayyyyyyyyy in the future.
Click2learn Announces Record Fourth Quarter and Year-End Results
Annual Revenue of $42.6 Million Shows Strength in Integrated Solution Approach to e-Learning
BELLEVUE, Wash., Jan 31, 2001 (BUSINESS WIRE) -- Click2learn, (Nasdaq: CLKS chart, msgs), the leading integrated solutions provider to the corporate e-Learning market, today announced its results for the fourth quarter and year ended December 31, 2000.
For the fourth quarter of 2000, click2learn reported total net revenues of $11.2 million, an increase of 16% from $9.6 million in the fourth quarter of 1999. Net loss for the fourth quarter was $4.8 million, or ($0.27) per share, compared to pro forma net loss of $3.2 million, or ($0.20) per share, for the same period of 1999. The results are in line with the expectations the Company announced earlier this month.
For fiscal 2000, total revenue was $42.6 million, up 23% from $34.7 million for fiscal 1999. The pro forma net loss for fiscal 2000 was $14.6 million, or ($0.86) per share, compared to a pro forma net loss of $10.0 million, or ($0.68) per share, for fiscal 1999. Including one time charges, net loss for fiscal 2000 was $16.8 million, or ($0.99) per share.
The Company's revenue growth is a result of strong demand for the Company's integrated solution approach to e-Learning, combining innovative products, services and content to meet customers' business challenges. Product growth has been driven by the Company's two primary platforms: Ingenium, the company's acclaimed Learning Management System (LMS) that can be deployed on an enterprise wide basis, either internally or hosted by click2learn, and the innovative e-Learning Network, the Company's ASP based e-Learning management and delivery solution.
Revenues from Ingenium license sales and associated services were up 98% from fiscal 1999, with 113 new customers adopting it as their learning management platform. Revenues from the e-Learning Network grew to $7.4 million for fiscal 2000, up from $245,000 in 1999 when it was launched in the fourth quarter of that year. 71 new customers implemented an e-Learning site through the e-Learning Network in 2000. Offsetting the growth in revenues from Ingenium and e-Learning Network sales was the expected decline in ToolBook product sales, as well as the loss of revenue from products that were discontinued in 1999.
"During the last year we've seen interest in e-Learning grow tremendously," said Kevin Oakes, President and CEO of click2learn. "In 2000 we closed several client engagements valued at over one million dollars annually -- in fact, twice what we did in 1999. Organizations of all sizes, and across many different industries, are using e-Learning to solve real business problems, improve workforce performance, and create new sources of revenue. Our product offerings reflect our goal of providing comprehensive and practical solutions that directly impact the bottom line and turns learning into a tangible asset."
"Although our fourth quarter results were lower than anticipated, I believe the reorganization and expense reductions we have implemented position us for solid growth in 2001 and beyond. Our customers are telling us that we have the right solution, and our employees are ready to deliver. In coming periods we intend to continue to execute our growth strategy by expanding our marketing and direct sales domestically and internationally, aligning our organization to support and expand our customer base, and continue building strategic partnerships and alliances. We look forward to the upcoming year."
To give better visibility to investors and analysts on business performance, and to better align the Company's financial statements with it's strategic direction, the Company will report revenues in fiscal 2001 in three segments: Tools, Content Services, and Platforms. Tools revenues will consist of ToolBook product sales, support, and training revenue. Historical comparisons for the Tools category include ToolBook related revenues as well as product and service revenues from discontinued products. Content Services revenues will consist of development of custom e-Learning content, Rapid e-Learning Development System (ReDS) licensing, strategic consulting, third party content and other services related to content. Platform revenues will consist of set-up fees, license and subscription fees, and technical support for Ingenium and the e-Learning Network. Income statements for the last two years using the new revenue segments are available at www.click2learn.com on the "Financial Reports" page in the investor relations section.
Click2learn will hold an analyst conference call today at 1:00 PM Pacific (4:00 PM Eastern). The call will be broadcast live via the Internet at www.click2learn.com. A replay of the call will be available via the Internet and also by phone at 800/642-1687, conference ID number 138419.
About Click2learn, Inc.
Founded in 1984, Click2learn (Nasdaq: CLKS chart, msgs) provides organizations with customized e-Learning solutions to improve their workforce performance and commercialize their intellectual property. Working closely with its clients to develop and implement these solutions, click2learn's comprehensive offerings include learning management and delivery systems, course content creation services and tools, and strategic e-Learning design and delivery expertise -- in short, everything from planning to execution. This combination of tools, services, and e-Learning know-how has earned Click2learn clients like Microsoft, Fidelity Investments, Lucent Technologies, Wells Fargo, American Airlines, ADC Telecommunications, Deloitte and Touche, General Motors, and GE.
A Wired World(TM) company, Click2learn (www.click2learn.com) is based in Bellevue, Wash., and employs approximately 400 people in 12 offices in the United States and Europe.
This announcement contains forward-looking statements that involve risks and uncertainties, including information contained in this document where statements are preceded by, followed by or include the words "believes," "plans," "intends," "expects," "anticipates" or similar expressions. For such statements, The Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from the results predicted, and reported results should not be considered as an indication of future performance. Factors that could cause actual results to differ from those contained in the forward-looking statements include market acceptance of internet based training and the click2learn.com e-Learning Network, the ability to successfully implement click2learn.com virtual universities and strategic relationships with content providers and other web-based companies, the ability of those relationships to result in increased users and increased revenues and the risk factors set forth in filings The Company has made with the SEC.
click2learn.com, click2learn.publisher, click2learn.author, click2learn.manager, Ingenium, ToolBook II Instructor and ToolBook II Assistant are trademarks of click2learn.com, inc. All other company and/or product names are the property of their respective owners.
CLICK2LEARN.COM, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
Three Months Twelve Months
Ended December 31, Ended December 31,
----------------- ------------------
2000 1999 2000 1999
----------------- ------------------
Unaudited Unaudited
----------------- ------------------
Revenue:
Product revenue:
Enterprise products $ 3,305 $ 3,509 $ 12,442 $ 12,897
Other products 22 90 166 1,309
-------- -------- --------- --------
Total product
revenue 3,327 3,599 12,608 14,206
Enterprise Services 5,279 5,787 22,476 20,281
E-learning Network 2,589 246 7,472 246
-------- -------- --------- --------
Total revenue 11,195 9,632 42,556 34,733
Cost of Revenue:
Product revenue:
Enterprise products 204 220 830 882
Other products 1 240 47 751
-------- -------- --------- --------
Total cost of
product revenue 205 460 877 1,633
Enterprise Services 4,206 3,813 15,356 14,311
E-learning Network 2,193 133 5,951 133
-------- -------- --------- --------
Total cost of
revenue 6,604 4,406 22,184 16,077
Gross Margin 4,591 5,226 20,372 18,656
Operating Expenses:
Research and
development 2,558 2,383 9,535 7,425
Sales and marketing
exclusive of costs
in connection with
acceleration of
marketing agreement 4,570 4,925 18,352 15,977
General and
administrative 2,011 1,213 6,623 5,227
-------- -------- --------- --------
Total operating
expenses 9,139 8,521 34,510 28,629
Amortization of
goodwill 239 210 944 888
Loss from operations (4,787) (3,505) (15,082) (10,861)
Other income 200 279 985 856
Loss from affiliate (170) -- (510) --
-------- -------- --------- --------
Net loss $ (4,757) $(3,226) $(14,607) $(10,005)
-------- -------- --------- --------
Proforma earnings per
share, basic and
diluted $ (0.27) $ (0.20) $ (0.86) $ (0.68)
Non cash dividend
associated with
preferred stock -- (2,754) -- (2,754)
Costs in connection
with acceleration of
marketing agreement -- -- (2,179) --
-------- -------- ------- --------
Net loss attributable
to common stockholders
for EPS purposes $ (4,757) $ (5,980) $(16,786) $(12,759)
======== ======== ======== ========
Earnings per share,
basic and diluted $ (0.27) $ (0.37) $ (0.99) $ (0.87)
Weighted average of
shares, basic and
diluted 17,516 16,067 16,957 14,626
CLICK2LEARN.COM, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
December 31, December 31,
2000 1999
(unaudited)
----------- -----------
Assets
Current assets:
Cash and cash equivalents $ 15,321 $ 19,481
Accounts receivable, net
of allowance for returns
and doubtful accounts
of $962 and $945 14,969 13,717
Inventories 192 203
Other current assets 1,142 2,376
----------- -----------
Total current assets 31,624 35,777
Property and equipment,
net 2,695 2,583
Goodwill and other
intangible assets, net 10,006 10,475
Other assets 555 571
----------- -----------
Total assets $ 44,880 $ 49,406
=========== ===========
Liabilities and Stockholders'
Equity
Current liabilities $ 9,823 $ 7,959
----------- -----------
Total current liabilities 9,823 7,959
Noncurrent liabilities 4 92
----------- -----------
Total liabilities 9,827 8,051
----------- -----------
Stockholders' equity 35,053 41,355
----------- -----------
Total liabilities and
stockholders' equity $ 44,880 $ 49,406
=========== ===========
Contact:
Click2learn, Inc.
Investor Relations
Jeff Howlett, 425/637-1581
or
Public Relations
Sara Brittion, 425/657-5872 |
