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BEA Reports Record First Quarter Financial Results as Year-over-Year License Revenue Growth Rate Accelerated to 89 Percent
BEA Delivered 22nd Consecutive Quarter of Record Revenues; Cash Flow from Operations Grew to a Record $88 Million
SAN JOSE, Calif., May 15, 2001 /PRNewswire via COMTEX/ -- BEA Systems, Inc. (Nasdaq: BEAS chart, msgs), one of the
world's leading e-business infrastructure software companies, today announced its 22nd straight quarter of record revenues. For
the first quarter ended April 30, 2001, BEA reported revenues of $257.2 million, up 67 percent from $153.7 million for the
same period in the prior year. BEA reported record first quarter license fees of $161.2 million, up 89 percent from $85.2 million
in the first quarter of last fiscal year. Full details on BEA's reported results are on page four of this release.
BEA had pro forma operating income for the first quarter of $46.0 million, up 246 percent from $13.3 million for the first
quarter of last fiscal year. BEA had pro forma net income for the first quarter of $35.9 million, up 190 percent from $12.4
million for the first quarter of last fiscal year. BEA's pro forma net income per share was $0.08 for the first quarter up 167
percent from $0.03 per share in the first quarter of last fiscal year. BEA had record cash flow from operations of $87.9 million,
up 210 percent from $28.3 million for the first quarter of the prior fiscal year. Pro forma results exclude acquisition-related
expenses, employer payroll taxes on stock option exercises, and net gains on investments in securities. The impact of pro forma
adjustments is summarized on page five of this release. For full details on BEA's reported results, see the financial tables
accompanying this release.
(In thousands, except per share data)
(unaudited) For the Three Months Ended
April 30, Jan. 31, April 30,
2001 2001 2000
Current Prior Year
Quarter Quarter Ago
Revenues $257,163 $256,043 $153,682
License fees $161,193 $158,937 $85,239
Pro forma operating income (a) $45,984 $55,872 $13,288
Pro forma operating margin (a) 17.9% 21.8% 8.6%
Pro forma net income (a)(b) $35,930 $43,768 $12,369
Pro forma net income per
share (a)(b)(c) $0.08 $0.10 $0.03
Pro forma shares
outstanding (b)(c) 424,620 431,620 418,310
(a) Adjusted to exclude acquisition-related charges including amortization
of acquired intangible assets, merger-related costs, and the write-off
of acquired in-process research and development; employer payroll
taxes on stock option exercises; and net gain on investments in
securities (see page five of this release). Without adjusting for
these items, net income (loss) is $20,624, $18,953 and $(12,383), and
income (loss) per share is $0.05, $0.04 and $(0.03) in the periods
presented.
(b) Amounts presented on a pro forma basis, assuming a tax rate of
30 percent.
(c) Adjusted to reflect a two-for-one stock split effected as a stock
dividend on April 24, 2000.
"In the first quarter, our year-over-year license revenue growth rate accelerated to 89 percent, compared to 52 percent in the
first quarter last year," stated Bill Coleman, BEA founder, chairman and CEO. "Demonstrating the continued adoption of
WebLogic as the platform for e-business, the year-over-year growth rate of our WebLogic revenue remained in triple digits, as
we continued to gain market share. These growth rates reflect the continued success of both our direct sales force and our
indirect channels program," said Coleman. "Our indirect channels program once again exceeded our goals. For example, we set
a goal of training 4,000 consultants in four quarters, and we exceeded that goal by training more than 4,200 consultants in
three quarters. As expected, the success of the channels program allowed us to grow our higher margin license revenue faster
than services revenue, by leveraging the consulting capacity of our partners to increase the number of projects built on our
products."
Commenting on the continued success of BEA's direct sales force, Coleman said, "I am extremely proud of our sales force, which
executed very well in our seasonally slower first quarter. Bookings for the quarter were in line with our expectations, based on
our pipeline at the beginning of the quarter. The value our BEA WebLogic E-Business Platform provides to our customers
allowed us to achieve record WebLogic revenues while maintaining our pricing," Coleman added.
Coleman concluded, "With the new and enhanced products we introduced recently, as well as new product introductions
planned for this summer, we are raising the value we provide our customers while increasing our technology lead. We continued
aggressively hiring in our sales force and our R&D teams, and we improved our management structure with promotions and key
hires, which should enhance our ability to capitalize on the market opportunity. We remain excited and confident about our
continued success, as more companies turn to BEA to help them future-proof their businesses by building flexible, personalized,
and reliable Web-based systems."
Key customer and partner deals for the quarter included AGORA S.A., Bear Stearns, BT OpenWorld, CAJA Madrid, Citibank, Cox
Interactive Media, Depository Trust Company, Elf, Franklin Templeton Companies, Knight Ridder, Kredyt Bank, Marsh &
McLennan, Mizuho Securities, Morgan Stanley Online, Nextel, NTT DoCoMo, PeopleSoft, Telefonica Moviles, Unit Trust of India,
United Parcel Service, Verizon, Welfare Case Data Systems, and Wells Fargo. New or expanded relationships were also entered
into with hardware, systems integrator, ASP and ISV vendors such as Agile Software, Armature, Atoga, Atos Origin, B2B
Markets, Broadvision, Captura, Compaq, Deloitte Consulting, eGain Communications, Espial, Exodus, Kana, Peregrine Systems,
SCT, Spotfire, SunGard Data Systems, Synchronoss, and Vendavo. |
