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Technology Stocks : Edify (EDFY) IPO -- Any Comments? -- Ignore unavailable to you. Want to Upgrade?

To: OSHANL who wrote (98)	6/8/1998 3:57:00 PM
From: TQR	Read Replies (1) \| Respond to of 355

I picked this up from the EDIFY Web Site. SANTA CLARA, Calif. - April 6, 1998 - Edify Corporation (NASDAQ: EDFY) today announced that, based on a preliminary analysis of its results of operations, it expects to report revenues for the first quarter ended March 31, 1998 between $13.5 million and $14 million, representing an increase of approximately ten percent over the first quarter of 1997. The company also expects to report a net loss for the first quarter of 1998 in the range of $1.3 million to $1.7 million, or approximately $0.08 to $0.10 net loss per share for the first quarter. The slower than expected revenue growth resulted from delays in anticipated orders, especially from larger financial services and call center customers. In addition, revenue from Edify's domestic and international channel partners fell below the company's expectations, due to various factors relating to transitions to the company's Windows NT-based software delivered in the fourth quarter of 1997. "Frankly, we executed poorly during the first quarter," commented Jeffrey M. Crowe, Edify's president and CEO. "We began several sales force initiatives, including a reorganization to expand our focus on financial services companies. These initiatives are expected to benefit us in future quarters, but they affected our ability to close business within the first quarter. At the same time, we saw sales of our older OS/2-based software begin to diminish as our domestic and international channel partners began to sell our new NT-based software. However, this transition has not resulted in a seamless flow of revenues and we continue to work closely with these partners to achieve the expected growth of NT revenues over the coming quarters." "We see several factors which should enable a resumption of growth in software license revenue," continued Crowe. "We are pleased with the performance and quality of our new Windows NT-based software as we expand our customer base. We have significant new releases of high value functionality across all three of our product lines slated for introduction throughout the rest of the year. With the recent introduction of our Windows NT-based software, we are now in the midst of new sales cycles where we are able to address a broader market with products that are not limited to OS/2."