Cadence Design Systems reports strong revenue and earnings growth for first quarter of 1995.SAN JOSE San Jose, city, United States San Jose (sănəzā`, săn hōzā`), city (1990 pop. 782,248), seat of Santa Clara co., W central Calif.; founded 1777, inc. 1850. , Calif.--(BUSINESS WIRE)--April 18, 1995--Cadence Design Systems, Inc. today reported revenue of $116.0 million for the first quarter ended April 1, 1995 and net income of $13.6 million, or $0.32 per share. Revenues for the first quarter increased 20% from $96.8 million reported in the first quarter of 1994. Net income increased 170% and earnings per share increased 167% from the $5.0 million and $0.12 per share, respectively, reported for the same quarter of 1994, excluding the effect of the provision for 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. settlement of $12.1 million or $0.21 per share in 1994. "The first quarter of 1995 continued the strong track record of financial results we have established over the last 8 quarters," said Joseph B. Costello, Cadence cadence, in music, the ending of a phrase or composition. In singing the voice may be raised or lowered, or the singer may execute elaborate variations within the key. president & CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "We again exceeded our targets for the quarter and maintained a book-to-bill ratio Book-to-Bill Ratio The technology industry's demand-to-supply ratio for orders on a "firm's book" to number of orders filled. Notes: This ratio tells whether the company has more orders than it can deliver (if greater than 1), has the same amount of orders that it can of greater than 1. These results are particularly noteworthy given that the first quarter is typically the weakest for our industry." "The first quarter of 1995 also marks a watershed watershed, elevation or divide separating the catchment area, or drainage basin, of one river system or group of river systems from another system or group of systems. The term is also often used synonymously with drainage basin. event for Cadence and for the EDA (1) (Electronic Design Automation) Using the computer to design, lay out, verify and simulate the performance of electronic circuits on a chip or printed circuit board. industry," said Costello. "On March 6, we announced an agreement to assume substantial portions of Unisys' internal silicon design operation. The significance of this five- year, $75 million 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. agreement is that it fundamentally changes the business model for electronic design automation." "We actually started the evolution to a services-oriented model through Spectrum Services almost two years ago," remarked Costello, "but the Unisys agreement is a turning point in market acceptance of a new way of doing business in EDA." In the new model, Cadence will provide Unisys and other electronics companies with product design expertise, methodologies, and advanced software necessary to create leading-edge electronic product development environments (PDEs). "A number of significant deliverable milestones were achieved under Spectrum Services contracts during the first quarter, most notably at Intel, IBM (International Business Machines Corporation, Armonk, NY, www.ibm.com) The world's largest computer company. IBM's product lines include the S/390 mainframes (zSeries), AS/400 midrange business systems (iSeries), RS/6000 workstations and servers (pSeries), Intel-based servers (xSeries) , Motorola and Texas Instruments See TI. (company) Texas Instruments - (TI) A US electronics company. A TI engineer, Jack Kilby invented the integrated circuit in 1958. Three TI employees left the company in 1982 to start Compaq. ," said Costello. "Worldwide demand for Spectrum Services continues to outpace out·pace tr.v. out·paced, out·pac·ing, out·pac·es To surpass or outdo (another), as in speed, growth, or performance. outpace Verb [-pacing, supply as customers increasingly see the advantages of Cadence's new approach." In addition to these important customer agreements, the first quarter included several noteworthy technology and financial achievements: - Announcement of Vampire vampire, in folklore, animated corpse that sucks the blood of humans. Belief in vampires has existed from the earliest times and has given rise to an amalgam of legends and superstitions. , a breakthrough integrated circuit integrated circuit (IC), electronic circuit built on a semiconductor substrate, usually one of single-crystal silicon. The circuit, often called a chip, is packaged in a hermetically sealed case or a nonhermetic plastic capsule, with leads extending from it for (IC) physical verification Physical verification A procedure auditors use to ensure that inventory recorded in the book is correct by actually checking out the physical inventory. product which will enable customers to speed the delivery of sub-micron and deep submicron ICs to market; - Introduction of Interleaved Native Compiled-code Architecture (INCA), a revolutionary new approach to simulation affording customers greater simulation flexibility and an enhanced verification process; - Repurchase re·pur·chase tr.v. re·pur·chased, re·pur·chas·ing, re·pur·chas·es To buy (something) again. n. The act of buying something that one previously sold or owned. Noun 1. of nearly one million Cadence shares for approximately $21 million; - A $14.3 million increase in cash and short-term investment balances to over $111 million; and - Increase in deferred revenues balance to an all-time high of over $79 million. Cadence Design Systems (company) Cadence Design Systems - A company that sells electronic design automation software and services. http://cadence.com/. See also Verilog. , Inc. is the worldwide leader in the development and marketing of design automation software and services that accelerate and advance the process of designing electronic systems. Cadence combines leading-edge technology with a complementary set of services that enable customers to improve the quality and time-to-market performance of innovative electronic products. Cadence is based in San Jose, CA with research and development, sales and support locations worldwide. The Company is listed on the New York Stock Exchange New York Stock Exchange (NYSE) World's largest marketplace for securities. The exchange began as an informal meeting of 24 men in 1792 on what is now Wall Street in New York City. under the symbol CDN (Content Delivery Network) A system of distributed content on a large intranet or the public Internet in which copies of content are replicated and cached throughout the network. . -0-
Cadence Design Systems, Inc.
Condensed Consolidated Balance Sheets
(in 000's)
April 1, December 31,
1995 1994
(Unaudited) (Audited)
CASH AND SHORT-TERM INVESTMENTS $ 111,195 $ 96,876 ACCOUNTS RECEIVABLE, NET 63,429 78,629 INVENTORIES 5,867 5,137 OTHER CURRENT ASSETS 12,491 11,293 TOTAL CURRENT ASSETS 192,982 191,935 PROPERTY AND EQUIPMENT, NET 124,407 122,064 SOFTWARE DEVELOPMENT COSTS, NET 27,393 27,832 PURCHASED SOFTWARE & OTHER INTANGIBLES, NET 12,708 10,557 OTHER ASSETS 9,945 8,660 TOTAL ASSETS $ 367,435 $ 361,048 CURRENT PORTION OF LONG-TERM DEBT $ 26,176 $ 26,412 ACCOUNTS PAYABLE AND ACCRUED LIABILITIES 62,510 68,881 INCOME TAXES PAYABLE 6,494 7,944 DEFERRED REVENUE 79,406 61,205 TOTAL CURRENT LIABILITIES 174,586 164,442 LONG-TERM DEBT 1,942 2,098 LEASE LIABILITIES 8,348 9,040 DEFERRED INCOME TAXES 1,380 904 OTHER NONCURRENT LIABILITIES 9,884 8,501 STOCKHOLDERS' EQUITY 171,295 176,063 TOTAL LIABILITIES & STOCKHOLDERS' EQUITY $ 367,435 $ 361,048
Cadence Design Systems, Inc.
Condensed Consolidated Statements Of Income
For The Quarter Ended April 1,
(in 000's, except per share amounts)
(Unaudited)
1995 1994
PRODUCT REVENUE $ 62,110 $ 56,407 SERVICE REVENUE 10,477 4,740 MAINTENANCE REVENUE 43,446 35,631 TOTAL REVENUE 116,033 96,778
COSTS AND EXPENSES:
COST OF PRODUCT 11,853 13,759
COST OF SERVICE 9,213 4,564
COST OF MAINTENANCE 3,897 3,993
SALES AND MARKETING 42,220 39,024
ENGINEERING 20,863 18,214
GENERAL AND ADMINISTRATIVE 9,498 10,599
UNUSUAL ITEMS 0 12,104
TOTAL COSTS AND EXPENSES 97,544 102,257
INCOME (LOSS) FROM OPERATIONS 18,489 (5,479) OTHER INCOME (EXPENSE), NET (423) 347
INCOME (LOSS) BEFORE PROVISION FOR
INCOME TAXES 18,066 (5,132)
PROVISION (BENEFIT) FOR INCOME TAXES 4,516 (1,283) NET INCOME (LOSS) $ 13,550 $ (3,849) NET INCOME (LOSS) PER SHARE $ .32 $ (.09) WEIGHTED AVERAGE COMMON AND COMMON EQUIVALENT SHARES OUTSTANDING 42,103 41,208 Certain prior year balances have been reclassified to conform with current year presentation. -0-Note to Editors: Vampire and INCA are trademarks of Cadence Design Systems, Inc. CONTACT: Cadence Design Systems, Inc. H. Raymond Bingham, 408/944-7503 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion