LONDON, England and CUPERTINO, California, April 23, 2002 Chordiant Software, Inc. (Nasdaq: CHRD), the leader in Dynamically Driven Customer Relationship Management (CRM) today announced revenues of $22.8 million for the first quarter of 2002, an increase of 70 percent over the first quarter of 2001, and at the top end of the companys previously issued guidance of $22 to $23 million for the quarter.
First-quarter license revenues were $11.1 million, up from $6.8 million year over year. Service revenues were $11.7 million, up from $6.6 million a year earlier. First-quarter gross margin was 56 percent. License revenue margins were 95 percent and service revenue margins were 19 percent.
First quarter 2002 pro forma net loss which excludes in-process research and development, stock-based compensation, one-time restructuring costs and amortization of acquired intangible assets, was 6 cents per share, improved from a pro forma net loss of 15 cents per share for the year-ago quarter.
On a U.S. GAAP (Generally Accepted Accounting Principles) basis, first quarter 2002 net loss was $8.2 million, or 15 cents per share, improved from a reported net loss of $9.7 million, or 25 cents per share, for the year-ago quarter.
At March 31, 2002, Chordiant's cash, cash equivalents and short-term investments were $46.6 million. Cash usage for the first quarter was $4.6 million, in line with expectations of $4 to $6 million and improved from $5.2 million in the fourth quarter of 2001.
"For nine quarters, we have consistently met or exceeded our guidance for revenue growth, and met our corporate objectives for expense control, cash management, and progress toward profitability," said Stephen Kelly, Chief Executive Officer of Chordiant. "These results are especially pleasing given the widely recognized difficult business environment."
During the quarter, Chordiant added 20 engagements with new and existing customers, including USAA, Littlewoods, Direct Line Insurance, CVS and BSkyB. Chordiant also announced its Chordiant 5 solution suite providing the industrys first end-to-end J2EE-standard CRM solution delivering real-time, adaptive, process centric applications. A new partnership was announced wth Merit International, a firm with 2,500 trained consultants, who will provide customers with greater access to training on Chordiant's solution suite of products on a worldwide basis.
"We continue to scale the company for growth by putting in place the technology, the strategic partnerships and the corporate infrastructure to take us to the next phase," said Kelly.
"Our assumptions going forward continue to be that that the IT spending outlook remains uncertain. However, we believe companies in financial services, telecommunications and consumer direct will continue to invest in strategic programs with proven return on investment," said Steve Vogel, Senior Vice President and Chief Financial Officer. "Our expectation for 2002 revenue remains in the range of $100 to $107 million. Cash usage for the second quarter is expected to be in a range of $0 to $2 million. We are cautiously optimistic for the second quarter of 2002 and expect revenues to be in the range of $22 to $23 million and anticipate our first half of 2002 growth to be over 40 percent year-over-year, which puts us on track to achieve our annual revenue guidance," Vogel said.
Balance sheets are available on request
Chordiant management has scheduled a teleconference for 7.30 a.m. (PDT), 10:30 a.m. (EDT) and 3.30 p.m. (London) today to discuss financial results and business events for the first quarter of 2002, as well as the current outlook for the second quarter and full-year 2002. This teleconference will be Web-cast live for all investors. Industry analysts and media are invited to attend the conference on a listen-only basis. For more information, please visit the Investor Relations section of Chordiant's Web site at http://www.chordiant.com . From this site, you can listen to the teleconference, assuming that your computer system is configured properly. A phone replay will also be available for seven days after the live call at 303-590-3000 access code # 458274.
ABOUT CHORDIANT SOFTWARE, INC.
Chordiant Software, Inc. ( http://www.chordiant.com) is a worldwide leader in developing and delivering Dynamically Driven CRM solutions for global B2C enterprises.
The Chordiant solution enables enterprises to gain a sustained competitive advantage through more efficient and effective marketing, selling and customer service. Only Chordiant delivers real-time, adaptive, process-centric solutions that provide multidimensional customer interactions. The unique Chordiant JX Architecture leverages existing investments inside the enterprise and beyond, to enable brand consistency throughout the extended enterprise, resulting in a more relevant and consistent customer experience.
Headquartered in Cupertino, California, Chordiant maintains offices in Boston; Chicago; Manchester, N.H.; New York; London; Paris; Amsterdam, Netherlands; Frankfurt and Munich, Germany; Madrid, Spain; Johannesburg, South Africa; Sydney and Melbourne, Australia.
This news release includes "forward-looking statements" that are subject to risks, uncertainties and other factors that could cause actual results or outcomes to differ materially from those contemplated by the forward-looking statements. Forward-looking statements in this release are generally identified by words, such as "believes," "anticipates," "plans," "expects," "will," "would," guidance, projects and similar expressions which are intended to identify forward-looking statements. There are a number of important factors that could cause the results of Chordiant to differ materially from those indicated by these forward-looking statements, including, among others, potential difficulties in the assimilation of operations, strategies, technologies, personnel and products of acquired companies and technologies, the impact of perceived or actual weakening of economic conditions on customers' and prospective customers' spending on Chordiant software and services; quarterly fluctuations in Chordiant's revenues or other operating results; failure by Chordiant to meet financial expectations of analysts and investors, including failure resulting from significant reductions in demand from earlier anticipated levels; risks related to market acceptance of Chordiant's products; customization and deployment delays or errors associated with Chordiant products; impact of long sales and implementation cycles for certain Chordiant products; reliance by Chordiant on a limited number of customers for a majority of its revenues; Chordiant's need to retain and enhance business relationships with systems integrators and other parties; Chordiant's use in its products of third-party software; activities by Chordiant and others regarding protection of intellectual property; and competitors' release of competitive products and other actions. Further information on potential factors that could affect the financial results of Chordiant are included in risks detailed from time to time in Chordiant's Securities and Exchange Commission filings, included without limitation Annual Report on Form 10-K filed on March 29, 2002. These filings are available on a Web site maintained by the Securities and Exchange Commission at http://www.sec.gov . Chordiant does not undertake an obligation to update forward-looking or other statements in this release.
Chordiant and the Chordiant logo are registered trademarks of Chordiant Software, Inc., JX Architecture and Dynamically Driven CRM are trademarks of Chordiant Software, Inc. All other trademarks and registered trademarks are the properties of their respective owners.
For more information, contact:
Senior Director, Investor Relations
Chordiant Software, Inc.
+ 1 408-517-6282
Senior Vice President, Chief Financial Office
+ 1 408-517-6112
+44 (0)771 2020937
Click on the link below to see this news release as it appears on the Brodeur
News Room website and obtain full contact details.
Click the link below to login and update your company and subject preferences,
or personal details.
Click on the link below to have your login details re-sent to you.
This press release was distributed by ResponseSource Press Release Wire on behalf of Pleon in the following categories: Consumer Technology, Personal Finance, Business & Finance, Computing & Telecoms, for more information visit https://pressreleasewire.responsesource.com/about.