HYPERION SOFTWARE POSTS RECORD NINE-MONTH RESULTS; Revenues and Earnings Exceed Expectations for Third Quarter.
In November 1994, Hyperion acquired Pillar Corporation and accounted for the merger as a "pooling of interests"; consequently, all of the company's prior period results have been restated to include Pillar's financial results. However, Pillar reported on a September year-end basis, while Hyperion's fiscal year ends in June. Therefore, the restatement has the effect of comparing current March quarter results to non-comparable March 1994 results because the March 1994 numbers include Pillar's higher volume June quarter. Thus, net income of $1,397,000 for this March quarter shows a 19% decline. Had the restatement included Pillar's results for its March 1994 quarter, net income would have reflected an increase over the comparable period of the prior year.
Revenues for the first nine months of fiscal 1995 were $86,465,000 and net income was $5,279,000, or $.61 per share. Revenues and net income increased 47% and 48%, respectively, from $58,646,000 and $3,575,000 for the corresponding period ended March 31, 1994. Results for Pillar exceeded company expectations.
Hyperion continues to expand its R&D activities. Product development expenses of $5,471,000 were up 81% over development expenses of the same quarter of the prior year, primarily reflecting stepped-up investment in the company's suite of accounting products, Hyperion Financials. Following the well received launch of Hyperion Financials, which included 10 seminars in 9 cities, a set of new accounting products was made commercially available last month, including Hyperion Admin, Hyperion Ledger, Hyperion Reporting and Hyperion Tools.
During the quarter, Hyperion expanded its international presence by opening offices in The Netherlands and in Singapore. The company reacquired, from independent distributors, exclusive rights to license its products in The Netherlands. This expansion further strengthens Hyperion's international sales and support capabilities. International revenues of $9,115,000 were up 60% over the prior year quarter.
In March, Hyperion Software was honored with the Inc./MCI Positive Performer's 1995 National Award in recognition of Superior Customer Focus. Hyperion Software was selected from over 600 applicants nationwide. The Positive Performer's Award was created to "recognize companies that excel in their effort to put the customer first." Winners represent those who have succeeded in developing and monitoring superior customer relationships through innovative, standard-setting service in a wide range of businesses and industries.
Also in the quarter, the company extended its Enterprise Solutions Partner Program by adding KPMG Peat Marwick LLP to the program to further joint efforts for offering "best of class" client/server accounting solutions for large corporations.
Hyperion Software, with $122 million in sales for the twelve-month period ended March 1995, develops, markets and supports financial management software for large, multinational corporations. The company's client/server-based product suite includes a wide spectrum of accounting, management reporting, financial consolidation, budgeting and information access software. Products include Hyperion Enterprise and Micro Control for enterprise financial management, FYPlan (from Pillar) for budgeting and financial planning, and Hyperion Financials for corporate accounting. With more than 2,000 corporate customers, Hyperion is ranked third in the client/server accounting market by IDC, a leading market research firm in Framingham, Massachusetts. Hyperion Software is headquartered in Stamford, Connecticut.
IMRS Inc. (d/b/a Hyperion Software) common stock trades on The Nasdaq Stock Market under the symbol HYSW. -0-
Hyperion Software Consolidated Financial Data (In thousands, except per share data)
Quarter Ended Nine Months Ended March 31, March 31, 1995 1994(a) 1995 1994(a)
Statement of Income Data:
Revenues $30,082 $21,348 $86,465 $58,646
Net Income $ 1,397 $ 1,723 $ 5,279(b) $ 3,575
Earnings Per Share $.16 $.21 $.61(b) $.43
R&D Spending $ 6,827 $ 4,490 $18,393 $11,485
March 31, June 30, 1995 1994(a) Balance Sheet Data:
Cash and Cash Equivalents $ 39,915 $37,913
Working Capital $ 32,941 $34,829
Total Assets $ 116,004 $94,715
Mortgage Payable $ 9,018 --
Stockholders' Equity $ 63,785 $53,661
(a) Restated (under "pooling of interests" reporting) to include Pillar Corporation's results for the quarter and nine months ended June 30, 1994 as derived from its full year ended September 30, 1994 financial statements. Balance sheet data includes Pillar information as of September 30, 1994.
(b) Includes merger and integration charges relating to the acquisition of Pillar Corporation, which had the effect of reducing net income by approximately $940 or $ .11 per share.
Hyperion, Financial Intelligence, Executive Forum, IMRS, Micro Control and OnRequest are registered trademarks and Hyperion Financials, Hyperion Enterprise, Hyperion Connect, Hyperion Reporting, Hyperion Forms, Hyperion OnTrack, Hyperion Ledger, Hyperion Payables, Hyperion Admin, Hyperion Tools, Hyperion Purchasing, Hyperion Receivables, Hyperion Assets and LedgerLink are trademarks of Hyperion Software Corporation. FYPlan is a registered trademark and FYControl is a trademark of Hyperion Software, Pillar Group Inc., a wholly-owned subsidiary of Hyperion Software Corporation. All other trademarks and company names mentioned are the property of their respective owners.
CONTACT: Hyperion Software
Lucy R. Ricciardi, 203/321-3500
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|Date:||Apr 19, 1995|
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