Corillian Reports First Quarter Results.Business Editors PORTLAND Portland, town, England Portland, town (1991 pop. 12,945), Dorset, S England. It is on the Isle of Portland, a small rocky peninsula. Portland stone has been used in St. Paul's Cathedral and other important London buildings. Lobsters and crabs are harvested. , Ore.--(BUSINESS WIRE)--April 24, 2002 Corillian Corp. (Nasdaq:CORI), a leading global provider of eFinance solutions, today reported financial results for its first fiscal quarter ended March 31, 2002. Revenue for the first quarter was $10.1 million, compared to $13.7 million for the same quarter of 2001. Pro forma As a matter of form or for the sake of form. Used to describe accounting, financial, and other statements or conclusions based upon assumed or anticipated facts. The phrase pro forma net loss for the first quarter was $3.7 million, and pro forma net loss per share was $0.11 on 35.2 million weighted shares outstanding, compared to a pro forma net loss per share of $0.21 on 34.3 million weighted shares outstanding for the first quarter of 2001. Net loss for the quarter was $4.0 million, including 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. of $0.3 million related to the amortization of deferred stock-based compensation, resulting in a net loss per share of $0.11 on 35.2 million weighted shares outstanding. The net loss per share for the comparable prior year period was $0.29 on 34.3 million weighted shares outstanding. An explanation of Corillian's practice on reporting pro forma and adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become results is described below. A table detailing the differences between Corillian's reported net loss, pro forma results and adjusted EBITDA is included in the consolidated statements of operations attached to this release. "We are extremely pleased with our performance during the first quarter," said Ted Spooner  This biographical article or section is written like a resume.Please help [ improve this article] by revising it to be and encyclopedic. , chief executive officer of Corillian. "We signed our 5th top 10 U.S. financial institution, which solidifies our position as the leading provider of retail and small business 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 banking solutions to the largest financial institutions in 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. . Eight of the top 25 U.S. financial institutions have now chosen to use Corillian Voyager Voyager, airplane Voyager, the first airplane to circumnavigate the earth nonstop on a single load of fuel. Designed by Burt Rutan and flown by Dick Rutan and Jeana Yeager, Voyager took off from California on Dec. to deliver Internet banking services to their customers. We executed on our sales opportunities, cost containment cost containment, n the features of a dental benefits program or of the administration of the program designed to reduce or eliminate certain charges to the plan. initiatives, and implementation projects during the quarter, enabling us to significantly increase our 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 preserve our cash." Recent Highlights -- Corillian signed another top 10 U.S. financial institution, which will use Corillian Voyager to deliver financial services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. to its retail and small business banking customers. -- Corillian joined together with NCR (NCR Corporation, Dayton, OH, www.ncr.com) A technology company specializing in financial terminal transactions, retail systems and data warehousing. Until the late 1990s, NCR was heavily invested in the hardware side of the industry, known worldwide as a major manufacturer of computers to sign SouthTrust SouthTrust Corporation was a banking company headquartered in Birmingham, Alabama. In 2004, SouthTrust reached an agreement to merge with Wachovia in a stock-for-stock deal. At the time of the merger with Wachovia was completed, SouthTrust had $53 Billion in assets. Bank, a $48.8 billion asset financial institution. This was the first financial institution win from Corillian's partnership with NCR. -- Corillian gained momentum in its Voyager SE market by signing three new Voyager SE customers. -- Boeing (language) BOEING - An early system on the IBM 1130. [Listed in CACM 2(5):16, May 1959]. Employees' Credit Union, Corillian's 5th top 10 U.S. credit union, licensed Corillian Voyager as an on-premise solution. -- Corillian partnered with e-Bank to successfully convert Huntington Bancshares Huntington Bancshares Inc. (NASDAQ: HBAN) is a $53 billion Midwestern bank holding company headquartered in Columbus, Ohio.[1] It is the 24th largest American bank. to the Corillian Voyager platform. -- Corillian launched the subscription-based DevNet Online, a secure, Web-based knowledge management system to aid organizations in deploying, augmenting and enhancing the Corillian Voyager platform and Corillian applications. -- Corillian Voyager remains the number one retail Internet banking platform with more end users than any of its competitors. As of the end of the first quarter, there were more than 6.5 million end users on Corillian Voyager platforms, compared to 2.0 million end users as of March 31, 2001, an increase of more than 229 percent. Business Outlook Based on our current backlog of projects in implementation and sales pipeline, we anticipate that second quarter 2002 revenue will be in the range of $10 to $11 million. Based on this revenue estimate and continued expense containment containment Strategic U.S. foreign policy of the late 1940s and early 1950s intended to check the expansionist designs of the Soviet Union through economic, military, diplomatic, and political means. It was conceived by George Kennan soon after World War II. , we anticipate adjusted EBITDA loss to range from $0.06 to $0.08 per share for the second quarter, and we expect to achieve adjusted EBITDA breakeven breakeven 1. The level of output or sales necessary to cover fixed expenses. Companies in industries that have high fixed costs and, consequently, high breakevens, such as automobile and steel manufacturing, are likely to exhibit large fluctuations on a quarterly basis during 2002. Pro Forma Results Pro forma results, which generally measure operating profitability by excluding certain non-cash and unusual items, are provided as a complement to Corillian's reported net loss, which is provided using accounting principles generally accepted in the United States of America UNITED STATES OF AMERICA. The name of this country. The United States, now thirty-one in number, are Alabama, Arkansas, Connecticut, Delaware, Florida, Georgia, Illinois, Indiana, Iowa, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Mississippi, Missouri, New Hampshire, (or GAAP GAAP See: Generally Accepted Accounting Principles GAAP See generally accepted accounting principles (GAAP). ). Adjusted EBITDA results, which generally measure operating cash earnings by excluding interest, taxes, depreciation, amortization and unusual items, are provided as a complement to Corillian's reported net loss. A table detailing the differences between Corillian's reported net loss under GAAP, pro forma results and adjusted EBITDA is included in the consolidated statements of operations below. Corillian measures the progress of its business using pro forma operating results, which exclude the following items from its consolidated statements of operations: -- Other income (expense), net; -- Depreciation and amortization; -- Restructuring charges; -- Merger-related charges; and -- Impairment charges related to acquisition-related intangible assets. Corillian also measures the progress of its business using adjusted EBITDA results, which exclude non-cash and unusual items as follows: -- Other income (expense), net; -- Depreciation and amortization; -- Restructuring charges; -- Merger-related charges; and -- Impairment charges related to acquisition-related intangible assets. About Corillian Corporation Based in Oregon Oregon, city, United States Oregon, city (1990 pop. 18,334), Lucas co., NW Ohio, a suburb adjacent to Toledo, on Lake Erie; inc. 1958. It is a port with railroad-owned and -operated docks. The city has industries producing oil, chemicals, and metal products. , and with international offices in Europe Europe (y  r`əp), 6th largest continent, c.4,000,000 sq mi (10,360,000 sq km) including adjacent islands (1992 est. pop. 512,000,000). , Asia and
Australia Australia (ôstrāl`yə), smallest continent, between the Indian and Pacific oceans. With the island state of Tasmania to the south, the continent makes up the Commonwealth of Australia, a federal parliamentary state (2005 est. pop. , Corillian Corporation is an award-winning Adj. 1. award-winning - having received awards; "this award-winning bridge spans a distance of five miles" provider of
eFinance-enabling software for the financial services industry. Built on
the Microsoft Windows See Windows. (operating system) Microsoft Windows - Microsoft's proprietary window system and user interface software released in 1985 to run on top of MS-DOS. Widely criticised for being too slow (hence "Windoze", "Microsloth Windows") on the machines available then. 2000 platform, Corillian applications support Internet banking, bill delivery and payment, wealth management, customer relationship management, enhanced data aggregation, personalization Custom tailoring information to the individual. On the Web, personalization means returning a page that has been customized for the user, taking into consideration that person's habits and preferences. and small business transactions. Corillian Voyager can be deployed on-site at the financial institution or in Corillian's data center. Corillian also offers Corillian Voyager SE, a subscription-based Web service that leverages Corillian Voyager technology in a hosted environment. Corillian technology also enables Open Financial Exchange (OFX OFX Open Financial Exchange OFX Outer Fix OFX Open Effects ) access by finance management software packages such as Quicken A popular financial management program for PCs and Macs from Intuit, Inc., Mountain View, CA (www.intuit.com). It is used to write checks, organize investments and produce a variety of reports for personal finance and small business. (r), QuickBooks(r), Microsoft(r) Money and Microsoft(r) Money Explorer. For more information about Corillian Corporation, visit the company's Web site at http://www.corillian.com. Note: Quicken and QuickBooks are registered trademarks of Intuit in·tu·it tr.v. in·tu·it·ed, in·tu·it·ing, in·tu·its Usage Problem To know intuitively. [Back-formation from intuition. , Inc. Corillian Corp. will hold a conference call at 5:00 p.m. EST P.M. also p.m. or p.m. abbr. post meridiem Usage Note: By definition, 12 a.m. on April 24, 2002 to discuss the quarterly results and business outlook. Investors and other interested parties can listen to the conference call over the Internet at Corillian's corporate Web site at http://investor.corillian.com. Matters discussed in this release may include 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 involve risks and uncertainties, and actual results may be materially different. For example, statements regarding Corillian's business outlook and prospects for success in the Internet banking software industry are forward-looking. Factors that could cause actual results to differ include the risk that Corillian's solutions do not continue to gain market acceptance, that Corillian faces pricing pressure in winning new deals or fails to sign new customers, that Corillian raises additional financing on burdensome terms or conditions or is unable to raise additional financing at all, if necessary, that Corillian does not recognize an increased mix of license and maintenance revenues, that Corillian encounters significant problems in installing its software at its existing customers, that Corillian incurs significant legal expenses or losses in lawsuits brought against Corillian, that Corillian is not successful in managing the capital and human resources The fancy word for "people." The human resources department within an organization, years ago known as the "personnel department," manages the administrative aspects of the employees. necessary for the development of its new Voyager SE business and that financial institutions do not continue to demand Internet banking solutions or are affected by adverse government regulations or market conditions. Other risks include those stated in Corillian's reports and other documents filed from time to time with the Securities and Exchange Commission including its report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended December 31, 2001.
CORILLIAN CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(unaudited)
For the Quarter Ended
March 31, December 31, March 31,
2002 2001 2001
Revenue $ 10,063 $ 9,914 $ 13,690
Cost of revenue 5,323 5,745 8,304
-------- -------- --------
Gross profit 4,740 4,169 5,386
-------- -------- --------
Operating expenses:
Sales and marketing 3,277 4,056 5,320
Research and
development 1,862 2,364 3,753
General and
administrative 3,031 3,459 3,832
Amortization of
goodwill and other
intangible assets -- -- 2,029
Amortization of deferred
stock-based
compensation 325 473 791
Restructuring and
impairment charges -- 18,097 --
-------- -------- --------
Total operating
expenses 8,495 28,449 15,725
-------- -------- --------
Loss from operations (3,755) (24,280) (10,339)
Other income
(expense), net (275) (396) 276
-------- -------- --------
Net loss $ (4,030) $(24,676) $(10,063)
========= ========= =========
Basic and diluted
net loss per
share $ (0.11) $ (0.71) $ (0.29)
Pro forma basic and
diluted net loss
per share $ (0.11) $ (0.17) $ (0.21)
Shares used in computing
basic and diluted net
loss per share and pro forma
basic and diluted net
loss per share 35,181 34,927 34,335
Net loss per GAAP $ (4,030) $(24,676) $(10,063)
Amortization of
goodwill and
other intangible
assets -- -- 2,029
Amortization of
deferred stock-
based compensation 325 473 791
Restructuring and
impairment charges -- 18,097 --
-------- -------- --------
Pro forma net loss (3,705) (6,106) (7,243)
Other (income)
expense, net 275 396 (276)
Depreciation and
amortization 1,290 1,254 1,013
-------- -------- --------
Adjusted EBITDA $ (2,140) $ (4,456) $ (6,506)
========= ========= =========
CORILLIAN CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
March 31, 2002 December 31, 2001
ASSETS
Current assets:
Cash and investments $ 17,459 $ 17,703
Accounts receivable 8,042 9,427
Other current assets 8,051 7,839
------------------- --------------------
Total current assets 33,552 34,969
Property and equipment, net 11,985 12,995
Other assets 2,108 2,279
------------------- --------------------
Total assets $ 47,645 $ 50,243
=================== ====================
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable and
accrued liabilities $ 4,633 $ 5,133
Deferred revenue 10,657 8,881
Current portion of
long-term debt and
capital lease
obligations 2,912 2,599
Other current liabilities 685 597
------------------- --------------------
Total current liabilities 18,887 17,210
Long-term debt and capital lease
obligations, less current portion 2,899 3,730
Other long-term liabilities 1,168 1,199
------------------- --------------------
Total liabilities 22,954 22,139
------------------- --------------------
Shareholders' equity:
Common stock 125,318 125,069
Deferred stock-based
compensation (803) (1,169)
Unrealized translation loss (17) (19)
Accumulated deficit (99,807) (95,777)
------------------- --------------------
Total shareholders' equity 24,691 28,104
------------------- --------------------
Total liabilities and
shareholders' equity $ 47,645 $ 50,243
=================== ====================
CORILLIAN CORPORATION
KEY OPERATING DATA
(unaudited)
March 31, 2002 December 31, 2001 March 31, 2001
Revenue backlog(1) $37,847,000 $28,955,000 $25,372,000
Live end users 6,545,000 5,279,000 1,987,000
Total Corillian Voyager
Internet banking
customers 61 56 48
Live Internet banking
customers 45 43 30
(1) Contractual customer commitments, including fees for licenses,
professional services, maintenance, hosting and subscriptions.
Maintenance and hosting agreements have a term of one to three
years and are renewable at the option of the customer. Revenue
backlog is not necessarily indicative of revenue to be
recognized in any given future period.
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