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Technology Stocks : SEEC, Inc. (SEEC) -- Ignore unavailable to you. Want to Upgrade?

To: TLindt who wrote (943)	10/26/1998 1:09:00 PM
From: Ron Sirch	Read Replies (1) \| Respond to of 1031

I agree that SEEC had a solid quarter. Much better look and feel than last quarter. Conference Call this morning was solid in every respect. Business model is evolving in a positive way from both a business viewpoint and from a Wall Street perspective. SEEC is no longer just a software company with a primary emphasis on selling Y2K software products. (As you know, the Street has been quite negative recently on Y2K service companies but VERY negative on Y2K software companies.) SEEC is positioning itself as a "solution provider" and as such has geared up the service side of their business. About 30% of their revenues this quarter were from services. Margins on the service side are lower (44% vs 90% from product side this quarter) but the net outcome is a much better business model. I've always felt the high margin business was the key to success at SEEC but that turned out to be faulty analysis on my part (and SEEC's, IMO). To Ravi's credit, he is now building the business on what the market has told him they want. I still believe he is the key to SEEC's future and I continue to rank him as one of the top CEO's around. Non Y2K revenues were about 20% in the quarter vs about 5% just a year ago. International revenues increased to 40% in the quarter vs about 20% a year ago. Virtually all contracts are dollar denominated. The Re-engineering Workbench and Euro conversion business look like they could be real winners. I strongly recommend giving the conference call a check. It will be up for 72 hours on 402-220-2147, passcode "SEEC" (7332). Disclosure: In case you haven't guessed by now, I re-entered SEEC this morning. Please do not give this fact any weight whatsoever. :-) Best regards to all, Ron Sirch