Gensym Announces First-Quarter Results; Earnings Conference Call Set for Thursday, May 13, 2004.Business Editors/High-Tech Writers BURLINGTON Burlington, town, Canada Burlington, town (1991 pop. 129,575), SE Ont., Canada, on Lake Ontario. First settled (1798) by Mohawk Loyalist Joseph Brandt, Burlington's economy was built on the shipment of wheat, lumber, and quarried rock by waterway. , Mass.--(BUSINESS WIRE)--May 11, 2004 Gensym Corp. (OTC Bulletin Board OTC Bulletin Board An electronic quotation listing of the bid and asked prices of OTC stocks that do not meet the requirements to be listed on the NASDAQ stock-listing system. : GNSM), a leading provider of software and services for expert operations management Operations management is an area of business that is concerned with the production of goods and services, and involves the responsibility of ensuring that business operations are efficient and effective. , today announced revenues of $4,057,000 and net income of $117,000, or $0.02 per 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. share, for the quarter ended March 31, 2004. For the corresponding quarter of 2003, Gensym had revenues of $3,458,000 and a net loss of $636,000, or ($0.09) per diluted share. "We are very pleased to have achieved our third consecutive increase in quarterly revenues and second consecutive quarter of profitability," said Lowell Hawkinson, Gensym's chairman, president, and 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. . "Our license revenues are up by more than 60 per cent compared with license revenues in the first quarter of 2003, which we see as reflective Refers to light hitting an opaque surface such as a printed page or mirror and bouncing back. See reflective media and reflective LCD. of general improvement in our business. We strengthened our cash position over the quarter. Given that the first quarter is historically our weakest quarter, I view these results as a good indication of growth momentum. "I also view the positive first quarter results as encouraging for our two-year strategic roadmap, as developed in late 2003. Key elements in our roadmap include a next generation of G2(R) and G2-based products, a tightened market focus for our direct sales force, and strengthened partner programs across all of our vertical markets. We are currently testing a pre-release version of our next-generation release of G2, version 8.0, and are receiving excellent feedback from users about its functionality. We are also seeing increased levels of partner activity, both from business generated by existing partners and from recruitment of new partners. "I am optimistic op·ti·mist n. 1. One who usually expects a favorable outcome. 2. A believer in philosophical optimism. op about the remainder of 2004. Our direct and indirect sales pipelines are trending upward. Our next-generation product release plans remain on target, with the next-generation G2, version 8.0, targeted for the end of June. Our annual user group meeting, being held from October 6 to 8, 2004 in Nice, France, is generating good interest from our worldwide user community, which I believe will contribute to greater deployment of our software among our installed base. We continue to see a strong future for our technology, particularly in its next-generation realization." Management will hold a conference call on Thursday, May 13 at 5:00 p.m. EST P.M. also p.m. or p.m. abbr. post meridiem Usage Note: By definition, 12 a.m. to discuss its financial results for the quarter. Individuals who wish to participate should call 866-866-1333 (U.S. and Canada) or +1 404-260-1421 (International). A replay of the call will be available through Tuesday, May 18, 2004 at 866-430-1300 (U.S. and Canada) or +1 404-260-1414 (International). When prompted, please enter pin 8145966#; at system prompt An on-screen symbol that indicates the operating system is ready for a command. See DOS prompt. , enter '4'; when prompted again, enter confirmation number 20040319213200#. About Gensym Corporation (company) Gensym Corporation - A company that supplies software and services for intelligent operations management. Common applications include quality management, process optimisation, dynamic scheduling, network management, energy and environmental management, and process Gensym Corporation (www.gensym.com) is a provider of software products and services that enable organizations to automate To turn a set of manual steps into an operation that goes by itself. See automation. aspects of their operations that have historically required the direct attention of human experts. Gensym's product and service offerings are all based on or relate to Gensym's flagship product A primary product of a company, which is typically why the company was founded and/or what made it well known. For example, MS-DOS, Windows and the Microsoft Office suite have been flagship products of Microsoft. CorelDRAW is a flagship product of Corel Corporation. G2, which can emulate em·u·late tr.v. em·u·lat·ed, em·u·lat·ing, em·u·lates 1. To strive to equal or excel, especially through imitation: an older pupil whose accomplishments and style I emulated. 2. the reasoning of human experts as they assess, diagnose diagnose /di·ag·nose/ (di´ag-nos) to identify or recognize a disease. di·ag·nose v. 1. To distinguish or identify a disease by diagnosis. 2. , and respond to unusual operating situations or as they seek to optimize optimize - optimisation operations. A new generation of Gensym's G2 and G2-based products, fully compatible with the previous generation, has been in the process of release since late 2003, and is expected to be largely complete by the end of 2004. With G2, organizations in manufacturing, communications, transportation, aerospace, and government maximize the performance and availability of their operations. For example, Fortune 1000 manufacturers such as Alcan, ExxonMobil, DuPont, El Paso El Paso (ĕl pă`sō), city (1990 pop. 515,342), seat of El Paso co., extreme W Tex., on the Rio Grande opposite Juárez, Mex.; inc. 1873. , Eli Lilly Eli Lilly can refer to:
Gensym and G2 are registered trademarks of Gensym Corporation This news 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. as that term is defined in the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Such forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those anticipated. Such risks and uncertainties include, but are not limited the intensely competitive market for expert operations systems, the possibility that stockholders may face an illiquid Illiquid An asset or security that cannot be converted into cash very quickly (or near prevailing market prices). Notes: A house is a good example of an illiquid asset. See also: Cash, Liquidity Illiquid In the context of finance. market for our securities, the effectiveness of our indirect distribution channel and strategic relationships and the ability of our partners to effectively market and deliver their Gensym-based solutions, fluctuations in demand for our products, delays in the release of Gensym's next generation of G2 and G2- based products, and the other risks which we describe under the caption "Factors That May Affect Future Results" in our Annual 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, 2003 filed with the Securities and Exchange Commission. Although Gensym believes the expectations reflected in the forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained at·tain v. at·tained, at·tain·ing, at·tains v.tr. 1. To gain as an objective; achieve: attain a diploma by hard work. 2. . Gensym Corporation disclaims any intent or obligation to update any forward- looking statement.
GENSYM CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
In thousands
(Unaudited)
March 31, December 31,
2004 2003
--------- ---------
ASSETS
Current Assets:
Cash and cash equivalents $2,033 $1,818
Accounts receivable, net 3,776 4,015
Other current assets 896 872
--------- ---------
Total current assets 6,705 6,705
Property and equipment, net 774 908
Deposits and other assets 569 673
--------- ---------
Total assets $8,048 $8,286
========= =========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Other current liabilities $2,278 $2,452
Deferred revenue 4,771 4,991
--------- ---------
Total current liabilities 7,049 7,443
Long term deferred revenue 140 150
Other long term liabilities 32 41
Total stockholders' equity 827 652
--------- ---------
Total liabilities and stockholder's equity $8,048 $8,286
========= =========
GENSYM CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
In thousands, except per share data
(Unaudited)
Three Months Ended
March 31,
2004 2003
------- -------
REVENUES:
Product $1,740 $1,044
Services 2,317 2,414
------- -------
Total revenues 4,057 3,458
------- -------
COST OF REVENUES:
Product 141 227
Services 814 707
------- -------
Total cost of revenues 955 934
------- -------
Gross profit 3,102 2,524
------- -------
OPERATING EXPENSES:
Sales and marketing 1,070 1,529
Research and development 857 862
General and administrative 980 715
------- -------
2,907 3,106
------- -------
Operating income (loss) 195 (582)
OTHER INCOME (EXPENSE), NET (53) 23
------- -------
Income (loss) before provision
for income taxes 142 (559)
PROVISION FOR INCOME TAXES 25 77
------- -------
Net income (loss) $117 $(636)
======= =======
Basic earnings (loss) per share $0.02 $(0.09)
Diluted earnings (loss) per share $0.02 $(0.09)
Weighted average common shares
outstanding, basic 7,122 6,860
Weighted average common shares
outstanding, diluted 7,674 6,860
|
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion