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Technology Stocks : Y2K (Year 2000) Stocks: An Investment Discussion -- Ignore unavailable to you. Want to Upgrade?

To: Josef Svejk who wrote (9827)	3/4/1998 8:49:00 AM
From: Risky Business	Respond to of 13949

Micro Focus Announces Record Revenue Results Net Income Increases 201% Over Fourth Quarter of 1997 on 39% Increase in Revenue MOUNTAIN VIEW, Calif.--(BUSINESS WIRE)--March 4, 1998--Micro Focus (NASDAQ:MIFGY - news) today announced record revenue for the quarter and the year ended Jan. 31, 1998. Net revenue for the fourth quarter 1998 increased 39% to USD 52.0 million, from USD 37.4 million for the fourth quarter 1997. Net income grew 201% to USD 5.3 million versus USD 1.8 million for the 1997 fourth quarter. This represents diluted earnings per share of USD 0.32 compared with USD 0.11 for the fourth quarter of 1997. Last year's results include USD 0.5 million of non-recurring after tax charges. Net revenue for the year was USD 167.3 million, a 36% increase over net revenue of USD 123.2 million for 1997. Net income grew to USD 14.6 million in 1998 versus a USD 14.7 million loss for 1997. Diluted earnings per share were USD 0.89 for 1998 compared with last year's USD 0.94 loss. Last year's results include USD 5.8 million of non-recurring after tax charges. Micro Focus' financial results for all periods reported in US dollars have been restated to include the results of XDB Systems, Inc. (XDB) which was acquired on Jan. 20, 1998 and accounted for under US GAAP using the pooling of interest method. Excluding XDB, net revenue for the fourth quarter 1998 increased 44% to USD 50.2 million from USD 34.9 million for the fourth quarter 1997. Net income grew 148% to USD 6.7 million versus USD 2.7 million for the fourth quarter 1997. This represents diluted earnings per share of USD 0.41 compared with USD 0.18 for the fourth quarter of 1997. Net revenue for the year was USD 158.7 million, a 37% increase over net revenue of USD 115.4 million for 1997. Net income grew to USD 15.8 million in 1998 versus a USD 10.5 million loss for 1997. Diluted earnings per share were USD 0.98 for 1998 compared with last year's USD 0.69 loss. Last year's results include USD 5.3 million of non-recurring after tax charges. ''This was an outstanding year for Micro Focus, one that positions the Company strongly for the future,'' said Martin Waters, president and CEO. ''The growth of revenues for the quarter and the full year, compared to prior periods was made up of growth across all of the Company's product lines. We are particularly pleased with the market acceptance of our Year 2000 products and services and we are confident that we will continue to capitalize on that market opportunity over the coming year.'' Waters continued, ''We believe that our prospects for growing the business during the coming year are excellent. The Company is well positioned for profitable growth in its traditional markets, and with that strong platform we believe we can move the Company into new, expanding markets that will fuel future growth.'' In UK sterling terms, revenue for the fourth quarter of 1998 increased 46% to GBP 30.3 million, from GBP 20.8 million for the fourth quarter of 1997. Profit after taxation grew 192% to GBP 4.3 million versus GBP 1.5 million for the 1997 fourth quarter. Diluted earnings per share were 25.8 pence per share in 1998 compared with 9.6 pence per share for the fourth quarter of 1997. Stated in pounds, revenue for the year grew 33% to GBP 97.0 million versus GBP 73.1 million for 1997. Profit after taxation grew to GBP 10.4 million in 1998 compared with a GBP 7.3 million loss for 1997. Diluted earnings per share were 65.0 pence for 1998 compared with last year's 48.0 pence loss.