San Francisco, CA, Thursday, July 21, 2005 - Advent Software, Inc. (NASDAQ: ADVS) today announced its financial results for the second quarter ended June 30, 2005.
Net revenues for the second quarter of 2005 were $41.2 million, compared with $39.6 million in the first quarter, and $36.0 million in the same quarter last year.
Expenses, including cost of revenues, for the second quarter of 2005 were $41.8 million, compared with $39.7 million in the first quarter, and $45.2 million in the same quarter last year. Expenses in the second quarter included $1.6 million in amortization of intangibles, and a $1.5 million restructuring charge relating to the sub-lease of one floor of the Companyâs New York City office space.
Net income for the second quarter of 2005 was $3.3 million or $0.10 per diluted share, compared with a net income for the first quarter of $785,000, or $0.02 per diluted share. The same quarter last year recorded a net loss of $9.2 million, or $0.28 per share. Interest and other income includes a $3.6 million gain on the sale of a private equity investment.
Cash, cash equivalents and short-term investments totaled $133.8 million as of June 30, 2005. This compares to $131.1 million at March 31, 2005. During the second quarter, Advent repurchased 0.6 million shares of its common stock at a cost of $10.7 million. Operating cash flow for the quarter was $8.1 million.
"Iâm pleased to report on a very successful quarter, where we saw our highest year-over-year quarterly revenue growth rate since Q1 2002, our second consecutive quarter of positive earnings per share, our seventh consecutive quarter of positive cash flow, solid expense management, progress on the term pricing transition, new client wins, and successful product launches," said Stephanie DiMarco, Chief Executive Officer of Advent.
Advent issued the following guidance:
Â· Q3 2005 revenues are projected to be in the range of $40 million to $42 million;
Â· Full year 2005 revenues are projected to be in the range of $162 million to $165 million;
Â· Q3 2005 expenses, including cost of revenues, are projected to be in the range of $39 million to $40 million;
Â· Full year 2005 expenses are projected to be in the range of $160 million to $163 million, including amortization of intangibles;
Â· Amortization of intangibles included in cost of revenues will be approximately $600,000 per quarter, and that related to other intangibles will be approximately $1.1 million per quarter;
Â· Common shares outstanding will increase by roughly 1 percent from the second quarter ending share count of 30.4 million, excluding the possible effect of any stock repurchases; and
Â· Assuming the price of our common stock remains unchanged during Q3 2005, weighted average common shares outstanding on a diluted basis for Q3 2005 will be approximately 900,000 shares higher than on a basic basis.