earnings release...in case anyone cares (certainly NOT a solicitation to buy or sell shares in this company):
Press Release Source: Spescom Software Inc.
Spescom Software First Quarter Revenue Jumps 33% to $2.3 Million
Thursday February 13, 8:32 am ET
SAN DIEGO--(BUSINESS WIRE)--Feb. 13, 2003--Spescom Software Inc.(OTC BB: ALTS)
License Revenue Soars 190% to $921,000
EBITDA Reaches $186,000 On Track to Achieve
2003 Target EBITDA of $800,000 - $1.0 million
Spescom Software Inc., formerly Altris Software, Inc. (OTC BB: ALTS), a leading provider of integrated document, configuration and records management (iDCR) solutions, today reported financial results for its first quarter of fiscal 2003 that ended December 31, 2002.
Total revenue for the fiscal first quarter 2003 increased 33% to $2.3 million from $1.7 million in the same prior- year quarter. License revenue climbed 190% to $921,000 versus $318,000 in the prior-year first quarter. First quarter services revenue remained relatively flat year-over-year at approximately $1.4 million. Net loss narrowed to ($62,000), or ($0.00) per share for the quarter, compared with a net loss of ($1.9) million, or ($0.06) per share, for the same quarter of fiscal 2002.
Earnings before interest, taxes, depreciation and amortization (EBITDA) for the quarter ended December 31, 2002 improved to $186,000, or $0.01 per share, compared with a net loss of ($1.6) million, or ($0.05) per share, for the same quarter of fiscal 2002. Depreciation and amortization, including amortization expenses related to capitalized software costs, totaled $123,000 for the three months ended December 31, 2002, compared with $251,000 for the three months ended December 31, 2001.
"Our solid first quarter performance marks our third consecutive quarter of improved operating results since we restructured our operations in early 2002," stated Carl Mostert, Chief Executive Officer. "Especially rewarding is our achieving EBITDA of $186,000, which enabled the Company to generate $340,000 in cash from operating activities."
Mostert added, "Our financial achievements are a direct result of the success in growing our license revenue, which jumped 190% year-over-year and 30% sequentially over the fourth quarter of 2002. License revenue growth is key to growing the profitability of the business. Our gross profit margin increased to 63% from 28% in the comparable quarter a year ago and 48% sequentially.
"Moreover, each additional license sold generates future revenues from ongoing annual maintenance contracts. Also, each additional license sale can create new references in a customer account, which can lead to new opportunities to expand into different divisions of a customer's business and increase the deployment of eB. For example, our initial success at Network Rail (formerly called Railtrack) has led to the adoption of eB throughout Network Rail's West Coast Route Modernization Program. It has also led to Network Rail's alliance partners adopting eB, including Transmitton and the Watford and Bletchley Alliance, a consortium formed by Balfour Beatty Rail Projects Ltd, Westinghouse Rail Systems Ltd and Network Rail.
"Given the success to date with our turnaround and the momentum we created with major customers, such as Network Rail, Sempra Energy, Lloyd's Register of Shipping and Bechtel, we are confident that we will meet our 2003 target of between $9 million and $10 million in revenue and EBITDA of between $800,000 and $1.0 million, or $.03 per share on an EBITDA basis."
Notice of Conference Call and Webcast
Management of Spescom Software will host a conference call today at 11:30 A.M. EST to discuss the company's financial results and achievements. Those who wish to participate in the conference call may telephone (888) 335-6674 (domestic) or (973) 935-2100 (international). A digital replay will be available by telephone for one week and may be accessed by dialing (877) 519-4471 (domestic) or (973) 341-3080 (international), PIN# 3728084. To listen to the live webcast, visit Spescom Software's web site at www.spescomsoftware.com and go to the Investor Relations' page and click on the webcast link. Please go to the web site 15 minutes prior to start time to register, download, and install any necessary audio software. A replay will be available on the web site for two weeks following the live call.
About Spescom eB
eB is a registered trademark of Spescom Software Inc. eB comprises an extensive set of software components that together form the foundation for an extremely flexible and powerful information management platform. eB's components include: document management; requirements management; records management; item management; change management; configuration management and workflow components. These components are tightly integrated with CAD, GIS, office and email applications to capture and view information. The full functionality of eB is available via a set of API's that enable the rapid definition and deployment of customer specific solutions and integration with other line-of-business applications including ERP, EAM, SCM and project management products.
About Spescom Software Inc.
Spescom Software (OTCBB: ALTS - News) delivers enterprise eBusiness solutions that provide rapid access to accurate information in context to assets, products and processes, resulting in improved customer satisfaction, productivity and safety. It achieves this through a tightly integrated suite of document, configuration and records management technologies that not only allows it to capture and securely store information, but also organizes and structures this information to place it in context.
Key customers include Ocean Energy, Continental Express, AmerenUE, City of Winston-Salem, Sempra Energy, Eastern Municipal Water District, Entergy, Northeast Utilities, London Underground, Railtrack, and many others.
Safe Harbor Statement
Except for historical information contained herein, the matters set forth in this release include forward-looking statements that are dependent on certain risks and uncertainties, including such factors, among others, as market acceptance, market demand, pricing, changing regulatory environment, the effect of the company's accounting policies, potential seasonality and other risk factors detailed in the company's SEC filings
For further information visit us at www.spescomsoftware.com
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SPESCOM SOFTWARE, INC.
Consolidated Statements of Operations
For the three months
ended
December 31,
-------------------------
2002 2001
----------- -----------
Revenues:
Licenses $ 921,000 $ 318,000
Services and other 1,368,000 1,400,000
----------- -----------
Total revenues 2,289,000 1,718,000
----------- -----------
Cost of revenues:
Licenses 217,000 260,000
Services and other 624,000 983,000
----------- -----------
Total cost of revenues 841,000 1,243,000
----------- -----------
Gross profit 1,448,000 475,000
----------- -----------
Operating expenses:
Research and development 351,000 624,000
Marketing and sales 626,000 1,251,000
General and administrative 408,000 435,000
----------- -----------
1,385,000 2,310,000
----------- -----------
Income (loss) from operations 63,000 (1,835,000)
Interest and other income - 3,000
Interest and other expense (125,000) (55,000)
----------- -----------
Net loss $ (62,000) $(1,887,000)
=========== ===========
Basic and diluted net loss per common share $ (0.00) $ (0.06)
=========== ===========
Shares used in computing basic and diluted
net loss per common share 30,842,000 30,842,000
=========== ===========
Calculation of EBITDA
---------------------
Net loss $ (62,000) $(1,887,000)
Add back the following:
Interest and other, net 125,000 52,000
Depreciation and amortization 123,000 251,000
----------- -----------
EBITDA $ 186,000 $(1,584,000)
=========== ===========
EBITDA per common share $ 0.01 $ (0.05)
=========== ===========
Shares used in computing EBITDA per share 30,842,000 30,842,000
=========== ===========
SPESCOM SOFTWARE, INC.
Consolidated Balance Sheets
December 31, September 30,
2002 2002
------------ ------------
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 392,000 $ 87,000
Receivables, net 580,000 1,459,000
Other current assets 69,000 244,000
------------ ------------
Total current assets 1,041,000 1,790,000
Property and equipment, net 209,000 215,000
Computer software, net 335,000 420,000
Other assets 94,000 83,000
------------ ------------
Total assets $ 1,679,000 $ 2,508,000
============ ============
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 556,000 $ 802,000
Payable to Spescom 508,000 495,000
Accrued liabilities 1,090,000 1,294,000
Deferred revenue 1,788,000 2,171,000
------------ ------------
Total current liabilities 3,942,000 4,762,000
Notes payable and accrued interest payable
to Spescom 4,992,000 4,891,000
------------ ------------
Total liabilities 8,934,000 9,653,000
------------ ------------
Shareholders' Equity:
Common stock, no par value, 40,000,000
shares authorized:
30,841,590 issued and
outstanding in 2003 and 2002 74,465,000 74,465,000
Common stock warrants 133,000 133,000
Accumulated other comprehensive loss (204,000) (156,000)
Accumulated deficit (81,649,000) (81,587,000)
------------ ------------
Total shareholders' deficit (7,255,000) (7,145,000)
------------ ------------
Total liabilities and shareholders'
equity $ 1,679,000 $ 2,508,000
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Contact:
Porter, LeVay & Rose, Inc., New York
Michael Porter or Catherine Hay or Christian Pflaumer,
212/564-4700
or
Spescom Software Inc., San Diego
Carl Mostert or John Low, 858/625-3000
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Source: Spescom Software Inc. |
