Acxiom(R) Announces First-Quarter Results.LITTLE ROCK, Ark. -- Acxiom([R]) Corporation (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : ACXM) today announced financial results for the first quarter of fiscal 2008 ended June 30, 2007. Revenue for the three-month period was $338.2 million, an increase of 0.4 percent over $336.7 million for the comparable prior-year period. Income from operations for the three-month period equaled $4.1 million compared to $36.3 million for the quarter ended June 30, 2006. The diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. loss per share of $.15 includes the impact of $20.6 million, or 24 cents per diluted share, in unusual expense items, net of income tax effect, in the quarter detailed below. Charles D. Morgan, Acxiom's company leader and chairman of the board stated, "We remain focused on operating results while we advance the acquisition process with Silver Lake and ValueAct Capital. We continue to believe that successfully completing this deal is in the best interests of Acxiom and its constituents." Details of Acxiom's first-quarter performance include: * Revenue of $338.2 million, up 0.4 percent from $336.7 million in the first quarter a year ago. * Income from operations of $4.1 million, an 88.6 percent decrease compared to $36.3 million in the first quarter last year. * Unusual items that added $20.6 million in expenses in the quarter. Included were costs related to the pending transaction with Silver Lake and ValueAct Capital of $15.1 million, which are non-deductible for tax purposes, and $5.5 million predominantly pre·dom·i·nant adj. 1. Having greatest ascendancy, importance, influence, authority, or force. See Synonyms at dominant. 2. related to the write-off of certain long-term assets Long-Term Assets 1. Reported on the balance sheet, it's the value of a company's property, equipment and other capital assets, less depreciation. 2. A stock, bond or other asset that you plan on holding in your portfolio for a lengthy period of time. related to an amended contract with an information technology outsourcing Information Technology Outsoucing or ITO is a company's outsourcing of computer or Internet related work, such as programming, to other companies. It is used in refence to Business Process Outsourcing or BPO, which is the outsourcing of the work that does not require so much client. These expenses reduced first-quarter diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of by $.24. * Diluted loss per share of $.15, compared to diluted earnings per share of $.20 in the first quarter last year. * Net loss of $11.5 million, compared to net earnings of $17.8 million in the first quarter of fiscal 2007. * Operating cash flow Operating cash flow Earnings before depreciation minus taxes. Measures the cash generated from operations, not counting capital spending or working capital requirements. of $39.1 million and negative free cash flow available to equity of $9.8 million. The free cash flow available to equity is a non-GAAP financial measure, and reconciliation to the comparable GAAP GAAP See: Generally Accepted Accounting Principles GAAP See generally accepted accounting principles (GAAP). measure, operating cash flow, is attached to this press release. Acxiom in fiscal 2008 implemented a new organizational alignment with three operating divisions. First-quarter revenue by division was: * Services Division: The division develops, sells and delivers industry-tailored solutions globally through the integration of products, services and consulting. Revenue for the quarter was $181.0 million, up 4 percent compared to the first quarter a year ago. * Information Products Division: The division develops and sells all global data products, including InfoBase([R]) and Personicx([R]), as well as fraud and risk mitigation MITIGATION. To make less rigorous or penal. 2. Crimes are frequently committed under circumstances which are not justifiable nor excusable, yet they show that the offender has been greatly tempted; as, for example, when a starving man steals bread to satisfy products sold in the U.S., including InsightIdentify. It focuses on product development, product lifecycle Product lifecycle or product life cycle is the course of a product's sales and profits over time. The five stages of each product lifecycle are product development, introduction, growth, maturity and decline. management, data content management and innovation. Revenue for the quarter was $96.7 million, a 2 percent increase over the same quarter last year. * Infrastructure Management Division: The division develops and delivers information technology products and services that improve a company's ability to manage its information technology delivery platform at lower costs and higher efficiencies. Such offerings include traditional IT outsourcing (1) Contracting with outside consultants, software houses or service bureaus to perform systems analysis, programming and datacenter operations. Contrast with insourcing. See netsourcing, ASP, SSP and facilities management. and transformational solutions such as the Acxiom data factory. Revenue for the quarter was $113.5 million, down 6 percent from the same quarter last year. First Quarter Recognition * Computerworld magazine again named Acxiom one of the 100 Best Places to Work in Information Technology, the fourth time in the last six years the company has received the honor. Computerworld's rankings are based on a comprehensive questionnaire that assesses companies' benefits, diversity, career development, training programs and retention rates. * Wells Fargo Wells Fargo armored carriers of bullion. [Am. Hist.: Brewer Dictionary, 1147] See : Protectiveness Wells Fargo company that handled express service to western states; often robbed. [Am. Hist. & Company named Acxiom the winner of the "First Choice" award as part of its Vendor Recognition Program. Acxiom was one of four business partners that Wells Fargo's Technology Information Group recognized during its annual vendor summit in April. About Acxiom Corporation Acxiom Corporation (NASDAQ: ACXM; www.acxiom.com) integrates data, services and technology to create and deliver customer and information management solutions for many of the largest, most respected companies in the world. The core components of Acxiom's innovative solutions are Customer Data Integration (CDI CDI compact disc interactive: a system for storing a mix of software, data, audio, and compressed video for interactive use under processor control ) technology, data, database services, IT outsourcing, consulting and analytics, and privacy leadership. Founded in 1969, Acxiom is headquartered in Little Rock, Ark., with locations throughout the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. and Europe, and in Australia, China, and Canada. For more information, visit www.acxiom.com. Acxiom is a registered trademark of Acxiom Corporation. This release contains forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. that are subject to certain risks and uncertainties that could cause actual results to differ materially. Such statements may include but are not necessarily limited to the following: that we expect to remain focused on improving operating results, that we are advancing the acquisition process with ValueAct Capital and Silver Lake and that we continue to believe that completing the anticipated transaction is in the best interest of Acxiom and all of its constituents. The following are important factors, among others, that could cause actual results to differ materially from these forward-looking statements: The possibility that certain contracts may not be closed, or may not be closed within the anticipated time frames; the possibility that the anticipated transaction may not be closed, or may not be closed within the anticipated time frames; the possibility that clients may attempt to reduce the amount of business they do with the Company; the possibility that in the event of a change of control of the Company that certain of the clients of the Company would invoke To activate a program, routine, function or process. certain provisions in their contracts resulting in a decline in the revenue and profit of the Company; the possibility that certain contracts may not generate the anticipated revenue or profitability; the possibility that negative changes in economic or other conditions might lead to a reduction in demand for our products and services; the possibility of an economic slowdown or that economic conditions in general will not be as expected; the possibility that the historical seasonality of our business may change; the possibility that significant customers may experience extreme, severe economic difficulty; the possibility that the integration of acquired businesses may not be as successful as planned; the possibility that the fair value of certain of our assets may not be equal to the carrying value Carrying Value Also know as "book value," it is a company's total assets minus intangible assets and liabilities, such as debt. Notes: This is different than market value, as it can be higher or lower depending on the circumstances. of those assets now or in future time periods; the possibility that sales cycles may lengthen length·en tr. & intr.v. length·ened, length·en·ing, length·ens To make or become longer. length  en·er n. ;
the possibility that we may not be able to attract and retain qualified
technical and leadership associates, or that we may lose key associates
to other organizations; the possibility that we won't be able to
properly motivate our sales force or other associates; the possibility
that we won't be able to achieve cost reductions and avoid
unanticipated costs; the possibility that we won't be able to
continue to receive credit upon satisfactory terms and conditions; the
possibility that competent, competitive products, technologies or
services will be introduced into the marketplace by other companies; the
possibility that we may be subjected to pricing pressure due to market
conditions and/or competitive products and services; the possibility
that there will be changes in consumer or business information
industries and markets that negatively impact the Company; the
possibility that changes in accounting pronouncements may occur and may
impact these projections; the possibility that we won't be able to
protect proprietary information and technology or to obtain necessary
licenses on commercially reasonable terms; the possibility that we may
encounter difficulties when entering new markets or industries; the
possibility that there will be changes in the legislative, accounting,
regulatory and consumer environments affecting our business, including
but not limited to litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute.When a person begins a civil lawsuit, the person enters into a process called litigation. , legislation, regulations and customs relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc our ability to collect, manage, aggregate and use data; the possibility that data suppliers might withdraw data from us, leading to our inability to provide certain products and services; the possibility that we may enter into short-term contracts which would affect the predictability of our revenues; the possibility that the amount of ad hoc For this purpose. Meaning "to this" in Latin, it refers to dealing with special situations as they occur rather than functions that are repeated on a regular basis. See ad hoc query and ad hoc mode. , volume-based and project work will not be as expected; the possibility that we may experience a loss of data center capacity or interruption INTERRUPTION. The effect of some act or circumstance which stops the course of a prescription or act of limitation's. 2. Interruption of the use of a thing is natural or civil. of telecommunication telecommunication Communication between parties at a distance from one another. Modern telecommunication systems—capable of transmitting telephone, fax, data, radio, or television signals—can transmit large volumes of information over long distances. links or power sources; the possibility that we may experience failures or breaches of our network and data security systems, leading to potential adverse publicity, negative customer reaction, or liability to third parties; the possibility that postal rates may increase, thereby leading to reduced volumes of business; the possibility that our clients may cancel or modify their agreements with us; the possibility that we will not successfully complete customer contract requirements on time or meet the service levels specified in the contracts, which may result in contract penalties or lost revenue; the possibility that we experience processing errors which result in credits to customers, re-performance of services or payment of damages to customers; the possibility that the services of the United States Postal Service postal service, arrangements made by a government for the transmission of letters, packages, and periodicals, and for related services. Early courier systems for government use were organized in the Persian Empire under Cyrus, in the Roman Empire, and in medieval , their global counterparts and other delivery systems may be disrupted dis·rupt tr.v. dis·rupt·ed, dis·rupt·ing, dis·rupts 1. To throw into confusion or disorder: Protesters disrupted the candidate's speech. 2. ; and the possibility that we may be affected by other competitive factors. Other factors are detailed from time to time in our periodic reports and registration statements filed with the United States Securities and Exchange Commission. We believe that we have the product and technology offerings, facilities, associates and competitive and financial resources for continued business success, but future revenues, costs, margins and profits are all influenced by a number of factors, including those discussed above, all of which are inherently difficult to forecast. We undertake no obligation to update the information contained in this press release or any other forward-looking statement. Acxiom, InfoBase and Personicx are registered trademarks of Acxiom Corporation. [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] |
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