BEDFORD, Mass., April 17 /PRNewswire/ -- Cayenne Software (Nasdaq: CAYN),
a leading provider of analysis and design solutions, today announced net
income of $24,000, less than $.01 per share, for the quarter ended March 31,
1998 compared with net income of $100,000, also less than $.01 per share, in
the first quarter of 1997. Revenue for the quarter was $10,959,000, compared
with revenue of $13,397,000 in the year ago quarter.
The decline in revenue resulted from declining revenue associated with
Cayenne's UNIX and OS/2-based products, a decline in service revenue as
customers convert to Cayenne's easy-to-use Windows-based products and under
performance in the North American commercial sales territory. Cayenne
continues to manage its operating expenses aggressively, as shown by the $2
million reduction in operating expense since the first quarter of 1997.
Cayenne's first quarter performance included strong license revenue
performance in Europe, which grew 31% over a year ago. The company also
posted 11% overall growth in object-oriented and Windows-based product
revenue. Cayenne's product revenue mix during the first quarter was 57%
Windows and object-oriented and 43% UNIX and OS/2, continuing the shift that
has been in progress for several years now.
John Alexander, Cayenne's Board Chairman and interim President and CEO,
said, "During the quarter, Cayenne's ObjectTeam product received the highest
competitive ratings from OVUM, an independent analysis company, confirming the
superiority of Cayenne's technology. New customer wins during the quarter
included Flight Safety International in the U.S.; ICL (International Computers
Ltd.), SITA and Sphira Ltd. in the UK; and Union Electrica Fenosa S.A. in
Spain. TLC, an existing German customer, confirmed its commitment to
ObjectTeam with a significant purchase of additional seats. Other existing
customers who purchased new Cayenne products during the quarter included
Eastman Kodak, Lockheed Martin, and TRW."
Cayenne Software, Inc., headquartered in Bedford, MA, is a leading global
supplier of modeling, database design and development solutions for
application and database development. Cayenne offers development teams a
scaleable, workgroup-to-enterprise product family for object-oriented, data-
driven and structured application development approaches. The company has
approximately 325 employees. Further information on Cayenne and its products
can be obtained through the Cayenne Web site: cayennesoft.com.
This press release may contain forward-looking statements within the
meaning of the federal securities laws. These statements are subject to risks
and uncertainties that could cause actual results to differ materially. For
further information on factors which could impact Cayenne and the statements
contained herein, please refer to public filings by Cayenne with the
Securities and Exchange Commission. The statements in this press release
should be considered in light of these risks and uncertainties.
Cayenne, Cayenne Software, Cayenne Software, Inc., are trademarks, and
ObjectTeam is a registered trademark, of Cayenne Software, Inc. All other
products and company names may or may not be trademarks or registered
trademarks of their respective companies.
Cayenne Software, Inc.
Consolidated Statements of Operations
(in thousands, except per share data)
Three months ended
March 31,
1998 1997
Revenues:
Software license $4,887 $5,071
Consulting and education services 2,023 2,503
Maintenance 4,049 5,823
Total revenues 10,959 13,397
Costs and Expenses:
Cost of revenues:
Cost of software licenses 368 578
Cost of consulting and
education services and maintenance 1,987 2,119
Sales and marketing 5,256 6,322
Research and development 1,832 2,817
General and administrative 1,403 1,461
Non-recurring costs 0 (375)
Total costs and expenses 10,846 12,922
Income from operations 113 475
Interest/other income (expense), net (26) (262)
Income before provision for income taxes 87 213
Provision for income taxes 63 113
Net income 24 100
Dividend on Preferred Stock 62 38
Income (loss) applicable
to common shareholders (38) 62
Basic earnings per share $0.00 $0.00
Weighted average number of common
shares outstanding 20,075 17,714
Diluted earnings per share $0.00 $0.00
Weighted average number of common
dilutive shares 20,075 18,805
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
March 31, December 31,
1998 1997
Assets
Cash $7,808 $9,225
Accounts receivable 11,045 12,200
Other assets 5,284 4,899
$24,137 $26,324
Liabilities & Stockholders' Equity
Accounts payable $1,851 $2,456
Accrued expenses 4,446 4,850
Deferred revenue 7,676 7,914
Other liabilities 4,183 5,083
18,156 20,303
Stockholders' equity 5,981 6,021
$24,137 $26,324
SOURCE Cayenne Software, Inc.
/CONTACT: Investor: Julie Doyle, 781-505-3230, doylej@cayennesoft.com or
Media: Laurie McKinnon, 781-505-3665, mckinnol@cayennesoft.com, both of
Cayenne Software, Inc. or Kristin Kane of Sterling Hager, Inc., 617-926-6665,
ext. 248, kristin@sterlinghager.com/
/Web site: cayennesoft.com |
