Centigram Communications Reports Third Quarter '97 Results.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)--Aug. 26, 1997--Centigram Communications 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 :CGRM CGRM Computer Graphics Reference Model (ISO) ), today reported net revenue of $27.0 million and net income of $3.1 million, or $0.45 per share, for the third quarter ended August 2, 1997 which compares to net revenue of $26.5 million and net income of $0.7 million, or $0.10 per share, for the same period last year. Included in this quarter's results is a one-time after-tax gain of $3.4 million from the sale of the Company's TruVoice(R) text-to-speech business. As previously announced, the terms of the sale of the TruVoice business to Lernout & Hauspie was valued at approximately $5 million and included the right to license TruVoice in present and future Centigram cen·ti·gram n. A metric unit of mass equal to one hundredth (10-2) of a gram. centigram one-hundredth of a gram; abbreviated cg. products. "This quarter's results included large order activity in our international sectors, particularly in China where we announced an award from the Ministry of Post and Telecommunications," said Dennis Barsema, Centigram senior vice president and General Manager. "Also, in Latin America Latin America, the Spanish-speaking, Portuguese-speaking, and French-speaking countries (except Canada) of North America, South America, Central America, and the West Indies. we announced a partnership with BellSouth Chile for pre-paid wireless services. However, we continue to see little growth in the Customer Premise Equipment (CPE (Customer Premises Equipment) Communications equipment that resides on the customer's premises. CPE - Customer Premises Equipment ) marketplace overall, and it is reflected in our results during this quarter." "I am pleased to report that we have been successful in reducing our overall expenses this quarter," stated Dennis Wolf Dennis Wolf (born October 30, 1978 in Tokmok, Kyrgyzstan) is an IFBB professional bodybuilder. To date, Dennis Wolf's most notable appearance was in the 2007 Mr. Olympia. He placed fifth in this competition. , Centigram's senior vice president of finance and CFO See Chief Financial Officer. . "Total operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. before restructuring charges restructuring charge The expense of reorganizing a company's operations. A restructuring charge is an infrequent expense that generally results from asset writedowns or facility closings. and other one-time charges were down $800,000 from the prior quarter. Our headcount decreased by 50 people and our capital spending capital spending Spending for long-term assets such as factories, equipment, machinery, and buildings that permits the production of more goods and services in future years. has been reduced from prior spending levels. These reductions, along with the sale of the text-to-speech business, increased our cash reserves Cash reserves See: Cash investments cash reserves Investment funds that are held in short-term assets such as Treasury bills and certificates of deposit until more permanent investment opportunities are available. to $46.7 million at quarter end. During the quarter the Company also purchased 243,000 shares of its common stock at a total cost of approximately $3 million. As previously announced, the Company intends to continue to re-purchase its shares." Centigram is a leading global provider of wireless and wireline messaging and communications solutions. Centigram delivers communications solutions by integrating voice, data and facsimile on its Series 6 communications server See network access server, modem server, terminal server and communications controller. (operating system) Communications Server - IBM's rebranding of ACF. , and by providing access to this multimedia information through a telephone or PC. The Series 6 platform is based on industry-standard hardware and software. Centigram is headquartered at 91 East Tasman Drive, San Jose, Calif., 95134. Phone 408/944-0250, fax 408/428-3732, World Wide Web http://www.centigram.com . Centigram has sales and support offices in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. , Europe, Asia, Latin America, and Australia. -0- Note to Editors: This press 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. regarding the industry and the Company. Actual results could differ materially from those projected in any forward-looking statements. These statements could affect the Company's "Sales and Distribution" risks as reflected in their 10-K document for fiscal year ended November 2, 1996, and filed with the Securities and Exchange Commission. These risks specifically relating to relating to relate prep → concernant relating to relate prep → bezüglich +gen, mit Bezug auf +acc the company's future success will depend in part upon the ability of the Company to continue to introduce new features and products as the Company's markets evolve, new technologies become available, and customers demand additional functionality. All trademarks and registered trademarks are the property of their respective owners. -0-
Centigram Communications Corporation
Consolidated Statements of Operations
(in thousands, except per share data)
Third Quarter
1997 1996
-----------------
Net revenue $ 27,010 $ 26,500
Cost of goods sold 11,549 10,786
Gross profit 15,461 15,714
Operating expenses:
Research and development 4,959 5,114
Sales, general and administrative 11,640 10,500
Total operating expenses 16,599 15,614
Operating income (loss) (1,138) 100
Other income and expense, net 4,437 610
Income before income taxes expense 3,299 710
Provision for income taxes 150 --
Net income $ 3,149 $ 710
Net income per share $ 0.45 $ 0.10
Weighted average common shares outstanding 7,019 6,958
Centigram Communications Corporation
Consolidated Balance Sheets
(in thousands)
Aug. 2, Nov. 2,
1997 1996
-------- --------
Assets
Current assets:
Cash and cash equivalents $ 21,324 $ 12,668
Short-term investments 25,403 29,408
Trade receivables, net 24,928 27,741
Inventories 9,923 11,467
Deferred tax assets 1,424 1,424
Other current assets 2,437 3,108
Total current assets 85,439 85,816
Property and equipment, net 14,206 15,249
Intangible assets, net 1,945 2,004
Deposits and other assets 1,008 940
-------- --------
$102,598 $104,009
Liabilities and Stockholders Equity
Current liabilities:
Accounts payable $ 8,881 $ 9,739
Accrued compensation 4,123 4,202
Accrued expenses and other liabilities 9,264 6,424
Current portion of capital lease obligations 118 154
Total current liabilities 22,386 20,519
Capital lease obligations -- 78
Stockholders equity:
Common stock 7 7
Additional paid-in capital 90,758 88,767
Accumulated deficit (7,467) (4,992)
Unrealized loss on investments (23) (36)
Cumulative translation adjustments (105) (34)
Note receivable from officer -- (300)
Treasury stock (2,958) --
Total stockholders equity 80,212 83,412
-------- --------
$102,598 $104,009
CONTACT: Centigram Communications Corp. Dennis P. Wolf, 408/428-3550 (Sr. VP & CFO) Beverly Rindfleisch, 408/428-3722 (Corp. Comm See comms. .) |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion