Press Releases
Press Release
| AXS-One Reports Net Income For the Quarter Ended December 31, 2001; Road to Profitability Established in Second Half of 2001 |
| RUTHERFORD, N.J., Jan 31, 2002 (BUSINESS WIRE) -- AXS-One Inc. (AMEX: AXO)
today announced its results for the quarter and year ended December 31, 2001.
The Company reported fourth quarter revenues of $9.3 million, operating income of $0.8 million, net income of $0.9 million and diluted net income per share of $0.04; compared to revenues totaling $11.3 million, operating loss of $(1.3) million, net loss of $(1.2) million and diluted net loss per share of $(0.05) for the comparable period in 2000. For the year ending December 31, 2001, the Company reported revenues of $40.0 million, operating loss of $(4.1) million, net loss of $(4.7) million and diluted net loss per share of $(0.19), compared to revenues in 2000 of $48.8 million, operating loss of $(0.2) million, net loss of $(0.3) million and diluted net loss per share of $(0.01). Reflected in the results of the year ended December 31, 2001 are restructuring and other costs of $0.8 million, which includes a reduction of $140,000 in these costs for the three months ended December 31, 2001. The results for the quarter and year ended December 31, 2001 reflect a state tax benefit from the sale of New Jersey net operating losses of approximately $256,000 compared to $304,000 in 2000. Revenues and operating results of the Polish subsidiary sold in September 2001 which have been included in the Company's operating results through the date of sale were as follows (in thousands):
Results of Subsidiary Sold During 2001
Three Months Ended Year Ended
December 31, December 31,
2000 2001 2000 2001
------- ------- ------- -------
License fees $ 60 $ - $ 570 $ 205
Services 388 - 1,452 1,208
------- ------- ------- -------
Total revenues 448 - 2,022 1,413
Operating expenses 761 - 2,674 1,745
------- ------- ------- -------
Operating loss $ (313) $ - $ (652) $ (332)
======= ======= ======= =======
Commenting on the results, Chief Executive Officer John Rade noted, "During the
first half of 2001, AXS-One recognized that the economy was weak and took
concerted actions during the second quarter to return the Company to
profitability by bringing expenses in line with anticipated revenue. The effort
paid off and I'm pleased to report that for the second half of 2001, the Company
had a net profit of $1.4 million and generated $1.8 million of cash flow from
operating activities. Services revenue decreased compared to last year due to
several external factors such as the terrorist attacks and clients extending
their holiday leave at the end of the year. " Rade continued, "We look forward
to 2002 as the acceptance of our new e-Cellerator(TM) solutions remains strong
and our economy begins to emerge from the recession."
About AXS-One Inc.AXS-One (AMEX: AXO) is a provider of e-Business solutions for global 2000 companies, professional service organizations (PSOs) and financial managers. AXS-One, formerly known as Computron Software, Inc., has implemented high-volume, scalable and secure business solutions for hundreds of customers across the globe. AXS-One has approximately 300 employees in offices worldwide, including Asia, Australia, Canada, United Kingdom, United States and South Africa. AXS-One was founded in 1978, and is based in Rutherford, New Jersey. For further information on AXS-One, visit the AXS-One web site at http://www.AXS-One.com. This press release contains forward-looking statements. Such statements are only predictions and actual events or results may differ materially. All forward-looking statements involve risks and uncertainties, including, without limitation, the risks detailed in the company's documents and reports filed from time to time with the Securities and Exchange Commission. AXS-One, "Access Tomorrow Today", e-Cellerator, AXSPoint, AXS Desk and Tivity are trademarks of, and TransAXS is a registered trademark of, AXS-One Inc., in the U.S. All other company and product names are trademarks or registered trademarks of their respective companies.
AXS-One Inc.
Consolidated Statements Of Operations
(In thousands, except per share data)
Three Months Ended Year Ended
December 31, December 31,
----------------------- -----------------------
2000 2001 2000 2001
----------- ----------- ----------- -----------
(Unaudited)
Revenues:
License fees $ 1,639 $ 1,407 $ 8,765 $ 5,421
Services 9,637 7,775 40,011 34,056
Other - related
parties - 126 - 542
----------- ----------- ----------- -----------
Total revenues 11,276 9,308 48,776 40,019
----------- ----------- ----------- -----------
Operating expenses:
Cost of license
fees 224 298 1,245 1,355
Cost of services 5,194 3,445 21,005 17,177
Sales and marketing 2,951 1,741 10,546 9,504
Research and
development 1,751 1,691 6,926 7,029
General and
administrative 2,461 1,447 9,242 8,303
Restructuring costs - (140) - 797
----------- ----------- ----------- -----------
Total operating
expenses 12,581 8,482 48,964 44,165
----------- ----------- ----------- -----------
Operating income
(loss) (1,305) 826 (188) (4,146)
----------- ----------- ----------- -----------
Other income
(expense):
Interest income 15 10 71 109
Interest expense (126) (103) (423) (456)
Equity in earnings
(losses) in joint
ventures - 55 - (121)
Other expense (58) (109) (63) (223)
----------- ----------- ----------- -----------
Other expense,
net (169) (147) (415) (691)
----------- ----------- ----------- -----------
Income (loss) before
income tax benefit,
net (1,474) 679 (603) (4,837)
Income tax benefit,
net 304 212 304 182
----------- ----------- ----------- -----------
Net income (loss) $ (1,170) $ 891 $ (299) $ (4,655)
=========== =========== =========== ===========
Basic and diluted net
income (loss) per
common share $ (0.05) $ 0.04 $ (0.01) $ (0.19)
=========== =========== =========== ===========
Weighted average
basic common shares
outstanding 24,785 24,785 24,624 24,785
=========== =========== =========== ===========
Weighted average
diluted common
shares outstanding 24,785 24,908 24,624 24,785
=========== =========== =========== ===========
The unaudited financial information included in this document is intended only
as summary provided for your convenience, and should be read in conjunction with
the complete consolidated financial statements of the Company (including the
Notes thereto, which set forth important information) contained in its Reports
on Form 10-K and 10-Q filed by the Company with the U.S. Securities and Exchange
Commission (SEC). Such reports are available on the public EDGAR electronic
filing system maintained by the SEC.
This press release contains forward-looking statements. Such statements are only predictions, and actual events or results may differ materially. All forward-looking statements involve risks and uncertainties, including, without limitation, the risks detailed in the Company's documents and reports filed from time to time with the Securities and Exchange Commission.
CONTACT: AXS-One Inc.
Investor Relations
William G. Levering III, 201/935-3400
wlevering@axsone.com |
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| "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding AXS-One Inc's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year. |