Ansoft Corporation First Quarter Results
PITTSBURGH--Aug. 21, 2002--Ansoft Corporation today announced financial results for its first quarter of fiscal 2003 ended July 31, 2002.Revenue for the first quarter totaled $9.3 million, a decrease of 17% compared to $11.2 million reported in the previous fiscal year's first quarter. Net loss for the first quarter was $3.3 million, or $0.28 per diluted share, as compared to a net loss of $498,000, or $0.04 per diluted share in fiscal 2002.
"We are clearly disappointed in these results. Our first quarter is typically the toughest of the fiscal year, with this quarter's results being impacted by the struggling tech economy. Although we are cautious as to the timing of a turnaround, we believe our fundamental growth opportunities remain strong," said Nicholas Csendes, President and CEO.
Ansoft is a leading developer of high-performance electronic design automation (EDA) software. Engineers use Ansoft software to design state-of-the-art electronic products, such as cellular phones, Internet-access devices, broadband networking components and systems, integrated circuits (ICs), printed circuit boards (PCBs), automotive electronic systems, power electronics, and fuel-cell technology. Ansoft markets its products worldwide through its own direct sales force and has comprehensive customer-support and training offices throughout North America, Asia, and Europe.
This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Act of 1995. These forward looking statements involve risks and uncertainties about the Company's business that are detailed from time to time in the Company's SEC reports, including the reports on Form 10-K for the year ended April 30, 2002.
ANSOFT CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
Three months
ended July 31,
2002 2001
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Revenues
License $ 5,045 $ 7,559
Service and other 4,243 3,662
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Total revenue 9,288 11,221
Costs and expenses
Sales and marketing 6,524 6,181
Research and development 4,041 3,002
Research and development
- Altra Broadband 1,103 938
General and administrative 1,032 1,031
Amortization 1,009 1,183
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Total costs and expenses 13,709 12,335
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Income (loss) from operations (4,421) (1,114)
Other income, net 242 402
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Income (loss) before income taxes (4,179) (712)
Income tax benefit 836 214
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Net income (loss) $ (3,343) $ (498)
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Basic net income (loss) per share $ (0.28) $ (0.04)
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Diluted net income (loss) per share $ (0.28) $ (0.04)
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Weighted average shares used in calculation
Basic 11,940 11,722
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Diluted 11,940 11,722
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ANSOFT CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
July 31, April 30,
2002 2002
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Assets
Current assets
Cash and cash equivalents $ 4,292 $ 5,269
Accounts receivable 11,401 15,044
Deferred income taxes 236 236
Prepaid expenses and other assets 1,046 1,005
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Total current assets 16,975 21,554
Equipment and furniture 5,601 5,714
Marketable securities 21,397 22,479
Other assets 374 367
Deferred taxes - non current 5,320 4,484
Intangible assets 12,617 13,626
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Total assets $ 62,284 $ 68,224
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Liabilities and stockholders' equity
Current liabilities
Accounts payable and accrued expenses $ 2,284 $ 3,292
Note payable 1,850 1,850
Deferred revenue 8,726 8,915
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Total current liabilities 12,860 14,057
Line of credit 10,000 10,000
Other liabilities 439 520
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Total liabilities 23,299 24,577
Stockholders' equity
Preferred stock - -
Common stock 122 122
Additional paid-in capital 55,074 54,939
Treasury stock (2,006) (1,671)
Other accumulated comprehensive loss (2,823) (1,704)
Accumulated deficit (11,382) (8,039)
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Total stockholders' equity 38,985 43,647
Total liabilities and stockholders' equity $ 62,284 $ 68,224
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