To: Jenna who wrote (34713 ) 4/19/1999 5:18:00 PM From: Jenna Read Replies (2) | Respond to of 120523
USWB beats by 5, ENTU had positive instead of negative $0.1 instead of $ -0.01, GALT beat by 1, CTXS beats by 3 and MUSE beats by a cent USWeb/CKS Reports Record Revenues for First Quarter 1999 Record Quarterly Revenue of $84.1 Million, Sequential Quarterly Revenue Increases 16%; Company Reaches Significant Integration Milestones SANTA CLARA, Calif., April 19 /PRNewswire/ -- USWeb/CKS, (Nasdaq: USWB - news) a leader in strategic Internet and marketing communications services today reported its financial results for the first quarter of 1999. Revenues for the first quarter of 1999 were $84.1 million, a 16% increase over revenues of $72.6 million reported in the quarter ended December 31, 1998. Revenues increased $44.8 million or 114% over revenues of $39.3 million in the first quarter of 1998. The Company reported a net loss for the quarter of $51.7 million or $0.73 per share, which included non-cash and merger-related charges, compared with a net loss of $84.1 million, or $1.26 per share in the previous quarter, and a net loss of $15.3 million or $0.29 per share in the first quarter of 1998. Net income before non-cash and merger-related charges was $10.9 million or $0.13 per diluted share, compared with net income before non-cash and merger-related charges of $5.9 million or $0.07 per diluted share in the previous quarter and a loss before non-cash charges and merger-related charges of $0.5 million or $0.01 per share in the first quarter of 1998. Non-cash charges include provision for contract loss, which represents the value of certain warrants granted in a strategic relationship and stock compensation, acquired in-process technology, amortization of intangible assets, depreciation and amortization, and an impairment charge associated with goodwill that was recognized in the fourth quarter of 1998. During the fourth quarter of 1998, the merger between USWeb Corporation and CKS Group was completed. The merger was accounted for as a pooling of interests. During the first quarter of 1999, the Company recognized costs directly associated with the merger of $5.3 million, which, combined with merger costs incurred in the fourth quarter of 1998, brings the total of merger and integration costs to $34.2 million. ''The first quarter of 1999 demonstrates the momentum USWeb/CKS has created in the market. We grew the business 16% sequentially while at the same time accomplishing major integration milestones that are the foundation for building an Internet professional services powerhouse,'' said Robert Shaw, CEO of USWeb/CKS. ''And, the work we do for clients represents the magnitude of how companies are using the Internet to transform or create businesses in the digital economy.'' Q1 Client Highlights