Clarus Announces First Quarter 2001 Results; Results Meet First Call Consensus; New Customer Count and Deferred Revenues Up.Business Editors ATLANTA--(BUSINESS WIRE)--April 25, 2001 Clarus Corporation (www.claruscorp.com; Nasdaq:CLRS CLRS Center for Labor Research and Studies CLRS Central Launch and Recovery Section CLRS Claims Legal Research System ), a leading provider of business-to-business (B2B (Business to Business) Refers to one business communicating with or selling to another. See B2B e-commerce, B2C and B2G. B2B - business to business ) e-commerce e-commerce, commerce conducted over the Internet, most often via the World Wide Web. E-commerce can apply to purchases made through the Web or to business-to-business activities such as inventory transfers. solutions for large to mid-size enterprises (LME See London Metal Exchange. LME See London Metal Exchange (LME). ), today announced financial results for the quarter ended March 31, 2001. Clarus reported revenues of $4.6 million for the first quarter of 2001. Net loss for the quarter excluding non-cash charges Non-Cash Charge A charge off, made by a company against earnings, that does not require an initial outlay of cash. Notes: Non-cash charges are typically against the depreciation, amortization, and depletion accounts on a company's balance sheet. was $15.0 million, or a loss of $0.97 per share, meeting the First Call Consensus estimate. "Clarus has seen yet another strong quarter and has done so amidst a·midst prep. Variant of amid. [Middle English amiddes : amidde; see amid + -es, adverbial suffix; see -s3.] one of the most difficult quarters in the history of the Nasdaq," said Steve Jeffery, president and chief executive officer of Clarus. "Our positive momentum in the areas of customer growth, rapid customer deployments, financial control and the evolution of our business model is proof that our LME focus is achieving traction Traction Definition Traction is the use of a pulling force to treat muscle and skeleton disorders. Purpose Traction is usually applied to the arms and legs, the neck, the backbone, or the pelvis. in the marketplace." "The company has continued to move forward with its transition to a ratable That which can be appraised, assessed, or adjusted through the application of a formula or percentage. Ratable property is that which is taxable or capable of being appraised or assessed. ratable adj. revenue recognition model and I am pleased with the growth in the backlog Backlog The total value of sales orders waiting to be fulfilled. Notes: This figure is used mainly in the manufacturing industry. Increases or decreases in a company's backlog indicate the future direction of sales and earnings. and deferred revenue as well as the financial progress we have made in other areas," said Jim McDevitt, chief financial officer of Clarus. Quarterly Highlights Clarus' recent achievements include the following: Financial Strength -- Clarus gained significant traction in the evolution of its business model, executing more than 70 percent of first quarter direct deals under ratable recognition; -- Increased deferred revenue on the balance sheet; -- Delivered a 24 percent reduction in DSO; -- Proactive expense control maintains path to profitability; Continued Customer Traction -- Quarterly new customer count up 33 percent for a total customer count of 203; -- Continued traction in the rail industry, signing agreements with Burlington Northern Santa Fe Santa Fe, city, Argentina Santa Fe, city (1991 pop. 341,000), capital of Santa Fe prov., NE Argentina, a river port near the Paraná, with which it is connected by canal. Corporation, Norfolk Southern and Union Pacific; -- Cox Enterprises Cox Enterprises is the successor to the publishing company founded in Dayton, Ohio, by James Middleton Cox, who began with the Dayton Daily News. The company is private, 98% controlled by the octogenarian daughter of Cox, Anne Cox Chambers, and the two children of her late selects Clarus to offer a combined procurement The fancy word for "purchasing." The procurement department within an organization manages all the major purchases. platform to its five independent business units including Cox Communications, Cox Newspapers, Cox Broadcasting, Cox Interactive Media and Manheim Auctions Manheim Automotive Services is the largest and highest volume wholesale automobile auction company in the world. As a subsidiary of Cox Enterprises, Inc., Manheim provides services including financing, title work, transportation, recovery, auto body repair, dealership management ; -- International sales in the United Kingdom, South America South America, fourth largest continent (1991 est. pop. 299,150,000), c.6,880,000 sq mi (17,819,000 sq km), the southern of the two continents of the Western Hemisphere. , Italy, Finland and Norway grows to account for 33 percent of deals, resulting in 24 percent of license revenue; Delivered Complete Procurement Solutions -- Teamed with Deloitte & Touche to jointly launch the Rapid Deployment Package (RDP (Remote Desktop Protocol) The presentation services protocol that governs input/output between a Windows terminal client and Windows Terminal Server. It is based on the T.share protocol. See Windows Terminal Server. (protocol) RDP - 1. ), designed to speed ROI (Return On Investment) The monetary benefits derived from having spent money on developing or revising a system. In the IT world, there are more ways to compute ROI than Carter has liver pills (and for those of you who never heard of that expression, it means a lot). of its solutions; -- Delivered and shipped major releases for three of its e-commerce platforms - Clarus eProcurement(TM) 5.1, Clarus eMarket(TM) 3.0, and Clarus Settlement(TM) 3.0; -- Participated in the Microsoft e-Business Acceleration Advisory Council to contribute to the development of Microsoft's Supplier Accelerator accelerator: see particle accelerator. (1) A key combination such as Alt-G or Ctrl-Shift H that is used to activate a task. (2) An incubator that expects to develop the company considerably faster than normal. See incubator. offering; Expands Market Reach Through Direct and Indirect Channel Growth -- Reseller An organization that sells hardware and software to the general public. Resellers purchase products from software publishers and hardware manufacturers. production grows to represent 33 percent of new customers during the quarter; -- Signed a partnership and reseller agreement with Silver Oak Partners combining Clarus technology with the people and expertise required for strategic sourcing, extending the cost savings and improving the management of supplier relationships for LMEs. A conference call for investors will be held today, April 25, at 5:00 p.m. EST P.M. also p.m. or p.m. abbr. post meridiem Usage Note: By definition, 12 a.m. . Steve Jeffery, president and chief executive officer, Jim McDevitt, chief financial officer, and Steve Hornyak, executive vice president Americas and chief strategy officer will host the call. Interested parties can access the audio conference via webcast at www.claruscorp.com/investor. About Clarus Atlanta-based Clarus Corporation (www.claruscorp.com; Nasdaq: CLRS), a leader in business-to-business (B2B) e-commerce, provides B2B procurement software Procurement software is business software that helps to automate the purchasing function of organizations. Activities including raising and approving purchase orders, selecting and ordering the product or service, receiving and matching the invoice and order, and paying the bill is and trading services that exploit the global marketplace of the Internet Internet Publicly accessible computer network connecting many smaller networks from around the world. It grew out of a U.S. Defense Department program called ARPANET (Advanced Research Projects Agency Network), established in 1969 with connections between computers at the to manage corporate purchasing and enable digital marketplaces. Clarus solutions provide a complete online procurement solution from sourcing to procurement to payment settlement. Clarus delivers open, interoperable The ability for one system to communicate or work with another. See interoperability. software solutions designed to make transacting business online more efficient for its customers. Clarus solutions are built on the latest Microsoft technology platforms and were recognized for technology excellence by being named the Microsoft Global eCommerce Solution of the Year. Clarus solutions are being deployed at customer sites including Burlington Northern Santa Fe Corp., Comcast Corporation, Gjensidige NOR Gjensidige NOR was a Norwegian bank and insurance company that was in existence between 1999 and 2003. The company was created when the two savings banks Sparebanken NOR (bank) and Gjensidige (insurance) were merged in 1999. , MasterCard International, MetLife, Parsons Brinckerhoff Parsons Brinckerhoff (PB) is a planning, engineering, program and construction management organization. The company has been involved in planning and designing some of the world's largest public works projects, such as Boston's Big Dig, Britain's rail system Network Rail; , Smurfit-Stone Container Smurfit-Stone Container Corporation (NASDAQ: SSCC) is an American paperboard and paper-based packaging company based in Chicago, Illinois. It has approximately 38,600 employees. Smurfit-Stone was formed in 1998 as a result of the merger between Jefferson Smurfit Corp. Corp. and Wachovia Corp. Note to Editors: Clarus, Clarus eProcurement, Clarus eMarket and Clarus Auctions are trademarks of Clarus Corporation. Throughout this release, software and hardware products are mentioned by name. In most, if not all, cases, these product names are claimed as trademarks by the companies that manufacture the products. It is not our intention to claim these names or trademarks as our own. This news release includes 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. which are subject to the "Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. " created by Section 27A of the Securities Act of 1933, as amended a·mend v. a·mend·ed, a·mend·ing, a·mends v.tr. 1. To change for the better; improve: amended the earlier proposal so as to make it more comprehensive. 2. , and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements, which involve the company's plans, beliefs and goals, refer to estimates or use similar terms, involve certain risks and uncertainties, including the risks and uncertainties associated with rapidly changing technologies such as the Internet, the Internet, the, international computer network linking together thousands of individual networks at military and government agencies, educational institutions, nonprofit organizations, industrial and financial corporations of all sizes, and commercial enterprises risks of technology development and the risks of competition that can cause actual results to differ materially from those in the forward-looking statements. These forward-looking statements represent only the views of certain members of management and do not necessarily represent a consensus of all employees and managers within the company. Moreover, those forward-looking statements are based on limited information available to the company now, which is subject to change. It should be clearly understood that the factors and perceptions on which these forward-looking statements are based are highly likely to change over time and that the company has no current plans to update these statements. Actual results may differ substantially from what the company says today and no one should assume at a later date that the forward-looking statements provided herein are still valid. They speak only as of today. For more information about these risks and uncertainties, see the SEC filings of Clarus Corporation, which is available from the company on request and on the Internet at the SEC's Web site, www.sec.gov.
CLARUS CORPORATION
Selected Operating Data
(in thousands, except per share data)
(unaudited)
Three months ended
March 31
---------------------
2001 2000
REVENUES:
License fees $ 2,310 $ 5,796
Services fees 2,262 1,210
---------------------
TOTAL REVENUES 4,572 7,006
COST OF REVENUES:
License fees 44 39
Services fees 4,060 1,572
---------------------
TOTAL COST OF REVENUES 4,104 1,611
OPERATING EXPENSES:
Research and development, exclusive of
stock-based compensation 5,006 3,084
Sales and marketing, exclusive of stock-based
compensation 8,069 6,463
General and administrative, exclusive of
stock-based compensation 4,749 2,626
Depreciation and amortization 2,865 700
Stock-based compensation 1,800 4,765
---------------------
TOTAL OPERATING EXPENSES 22,489 17,638
---------- ----------
Operating loss $ (22,021)$ (12,243)
Loss on impairment of investments (3,098) -
Interest income, (net) 2,358 812
---------- ----------
Net loss $ (22,761)$ (11,431)
========== ==========
Weighted average shares outstanding 15,508 12,247
========== ==========
Net loss per share $ (1.47)$ (0.93)
========== ==========
Net loss before non-cash charges (1) $ (14,998)$ (5,966)
========== ==========
Net loss per share before non-cash charges (1)$ (0.97)$ (0.49)
========== ==========
(1) Non-cash charges are defined as depreciation and amortization,
stock-based compensation and loss on impairment of investments.
CLARUS CORPORATION
SUMMARY BALANCE SHEET
(in thousands)
March 31, December 31,
2001 2000
(unaudited)
---------- ----------
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 114,481 $ 118,303
Marketable securities 36,518 50,209
Accounts receivable, net 8,454 8,126
Deferred marketing expense, current 3,890 5,321
Prepaid and other current assets 3,494 2,731
---------- ----------
Total current assets 166,837 184,690
PROPERTY AND EQUIPMENT - net 8,497 7,619
OTHER ASSETS:
Deferred marketing expense, non-current 2,251 2,508
Intangible assets, net 54,740 58,214
Investments 10,520 13,619
Deposits and other long-term assets 248 254
---------- ----------
Total other assets 67,759 74,595
---------- ----------
TOTAL ASSETS $ 243,093 $ 266,904
========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable and accrued liabilities $ 10,549 $ 11,059
Deferred revenue 2,831 2,295
Current maturities of long-term debt, net - -
---------- ----------
Total current liabilities 13,380 13,354
NON-CURRENT LIABILITIES:
Deferred revenue 1,031 881
Long-term debt, net of current maturities 5,000 5,000
Other non-current liabilities 852 847
---------- ----------
Total liabilities 20,263 20,082
STOCKHOLDERS' EQUITY :
Common stock 2 2
Additional paid in capital 361,085 362,415
Accumulated deficit (137,530) (114,769)
Treasury stock, at cost (2) (2)
Foreign currency translation adjustment 71 (19)
Unrealized loss on marketable securities (656) (553)
Deferred compensation (140) (252)
---------- ----------
Total stockholders' equity 222,830 246,822
---------- ----------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 243,093 $ 266,904
========== ==========
|
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion