BURLINGTON, Massachusetts,
July 28, 2011 /PRNewswire/ --
ClickSoftware Technologies Ltd. (NasdaqGS: CKSW), the leading
provider of automated workforce management and optimization
solutions for the service industry, today announced results for the
second quarter ended June 30,
2011.
For the second quarter ended June 30,
2011, total revenues were $20.7
million, up 18% from $17.6
million in the second quarter of 2010. Net income for the
second quarter of 2011 was $2.6
million, or $0.08 per fully
diluted share, compared to net income of $2.4 million, or $0.07 per fully diluted share, for the same
period last year.
Non-GAAP net income for the quarter was $3.5 million, or $0.11 per fully diluted share, compared to
$3.3 million, or $0.10 per fully diluted share, for the same
period last year.
Software license revenues for the second quarter of 2011 were
$6.1 million, down 3% compared with
software license revenues of $6.2
million for the same period last year. Service and
maintenance revenues were $14.6
million, up 29% compared with service and maintenance
revenues of $11.3 million in the same
period last year.
Gross profit in the second quarter of 2011 was $13.5 million, or 65% of revenues, compared to
$10.8 million, or 62% of revenues, in
the same period last year.
Cash, cash equivalents and short and long-term investments at
the end of the second quarter of 2011 increased to $56.4 million from $51.9
million at the end of the first quarter of 2011. Net cash
provided by operating activities was $6.6
million during the second quarter of 2011. During this
quarter the Company paid its first quarterly dividend payment in
the amount of $2.5 million.
Management Commentary
"We are pleased with the strong financial performance of the
second quarter. Revenues reached a record level of $20.7 million, and we continued to generate
positive cash flow from operations. We also remain committed to
investing in our business, and the launch of the ClickAppStore
furthered our aim to become a market leader for mobile business
apps," commented Dr. Moshe
BenBassat, ClickSoftware's Chairman and CEO. "We are winning
new business in competitive situations and are confident about our
future prospects. The market's increasing demand for workforce and
service optimization as well as for mobility solutions keeps us
optimistic that we can continue to grow our business and take it to
the next level."
Outlook
The Company reiterates the previously provided full year 2011
guidance of revenues in the approximate range of $81.5 to $85.0 million, representing about 15% to
20% growth over 2010.
Cash Dividend
The Board of Directors, at its meeting on July 25, 2011, set the dates for the second
quarterly dividend payment of $0.08
per ordinary share. The record date will be August 11, 2011 and the payment date will be
August 25, 2011. The dividend will be
paid net of any required tax.
On April 28, 2011, the Company
announced that its Board of Directors approved the distribution of
a $0.32 per share dividend to be
distributed quarterly in four equal payments.
Annual Shareholders Meeting
The Company also today announced that at its Annual Shareholders
Meeting held on July 21, 2011, all
items on the agenda as set forth in the proxy statement furnished
on Form 6-K with the U.S. Securities and Exchange Commission on
June 8, 2011, were approved.
Investors Conference Call
ClickSoftware will host a conference call today at 9:00 a.m. ET to discuss its financial results and
other matters discussed in this press release, as well as answer
questions from the investment community. To participate,
please call (888) 668-9141 and ask for the ClickSoftware conference
call. International participants, please call
+972-3-918-0609. The call will be broadcasted by live webcast
on the internet (in listen mode only) at
http://ir.clicksoftware.com. A replay of this webcast will be
available on the ClickSoftware website. Alternatively, a telephone
replay of the call will be available for a week or by calling (888)
326-9310 (international callers can dial +972-3-925-5901).
About ClickSoftware
ClickSoftware is the leading provider of automated workforce
management and optimization solutions for every size of service
business. Our portfolio of solutions, available on demand and on
premise, creates business value through higher levels of
productivity, customer satisfaction and operational efficiency. Our
patented concept of 'continuous planning and scheduling'
incorporates customer demand forecasting, long and short term
capacity planning, shift planning, real-time scheduling, mobility
and location-based services, as well as on-going communication with
the consumer on the expected arrival time of the service
resource.
As the pioneers of the 'W6' concept more than 20 years ago, we
have perfected solutions for solving a wide variety of problems on
Who does What, for Whom, with What, Where and When. The combination
of proven technology with educational services helps businesses
find the right balance between reducing costs, increasing customer
satisfaction, employee preferences and industry
regulations/legislation. ClickSoftware's solutions manage over
250,000 resources in service businesses across a variety of
industries and geographies. Our flexible deployment approach,
breadth and depth of solutions and strong partnerships with leading
CRM/ERP vendors and system integrators makes us the number one
choice to deliver superb business performance to any organization.
The Company is headquartered in the
United States and Israel,
with offices across Europe, and
Asia Pacific.
For more information, please visit
http://www.clicksoftware.com or follow us on Twitter,
the content of which is not part of this press release.
Use of Non-GAAP Financial Results
In addition to disclosing financial results calculated in
accordance with U.S. generally accepted accounting principles
(GAAP), the Company's earnings release contains Non-GAAP financial
measures of net income and net income per share that exclude the
effects of share-based compensation, tax benefit related to the
update of deferred tax asset and the amortization of acquired
intangible assets. The Company's management believes the Non-GAAP
financial information provided in this release is useful to
investors' understanding and assessment of the
Company's on-going core operations and prospects for the future.
Management also uses both GAAP and Non-GAAP information in
evaluating and operating business internally and as such deemed it
important to provide all this information to investors. The
Non-GAAP financial measures disclosed by the Company should not be
considered in isolation or as a substitute for, or superior to,
financial measures calculated in accordance with GAAP, and the
financial results calculated in accordance with GAAP and
reconciliations to those financial statements should be carefully
evaluated. Reconciliations between GAAP measures and Non-GAAP
measures are provided later in this press release.
SafeHarborfor Forward Looking
Statements
This press release contains express or implied
forward-looking statements within the Private Securities Litigation
Reform Act of 1995 and other U.S Federal securities laws. These
forward-looking statements include, but are not limited to, those
statements regarding future results of operations, visibility into
future periods, growth and future rates of growth and expectations
of future cash flows and dividends. For example, when we discuss
our "Outlook" for 2011 revenues, continued
growth in 2011, future prospects and potential market
demand and the Company's market leadership, we are using
forward-looking statements. Such "forward-looking
statements" involve known and unknown risks,
uncertainties and other factors that may cause actual results or
performance to differ materially from those projected. Achievement
of these results by ClickSoftware may be affected by many factors,
including, but not limited to, risks and uncertainties regarding
the general economic outlook, more attractive
investments than dividends that may become
available, the length of or changes in ClickSoftware's sales cycle,
ClickSoftware's ability to close sales to potential customers in a
timely manner and maintain or strengthen relationships with
strategic partners, the timing of revenue recognition, foreign
currency exchange rate fluctuations, and ClickSoftware's ability to
maintain or increase its sales pipeline. The forward-looking
statements contained in this press release are subject to other
risks and uncertainties, including those discussed in the "Risk
Factors" section and elsewhere in ClickSoftware's annual report on
Form 20-F for the year ended December 31,
2010 and in subsequent filings with the Securities and
Exchange Commission. Except as otherwise required by law,
ClickSoftware is under no obligation to (and expressly disclaims
any such obligation to) update or alter its forward-looking
statements whether as a result of new information, future events or
otherwise.
Note: Financial Schedules Attached
ClickSoftware Technologies Ltd.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited. In thousands, except share and per share amounts)
Three Months Ended
June 30, 2011 June 30, 2010
------------------- ------------------
% of % of
$ Revenues $ Revenues
------------------- ------------------
Revenues:
Software license $ 6,066 29% $ 6,249 36%
Services 14,601 71% 11,333 64%
------------------- ------------------
Total revenues 20,667 100% 17,582 100%
------------------- ------------------
Cost of revenues:
Software license 374 2% 338 2%
Services 6,823 33% 6,398 36%
------------------- ------------------
Total cost of
revenues 7,197 35% 6,736 38%
------------------- ------------------
Gross profit 13,470 65% 10,846 62%
------------------- ------------------
Operating expenses:
Research and
development costs,
net 2,291 11% 1,892 11%
Selling and
marketing expenses 6,083 29% 4,812 27%
General and
administrative
expenses 1,761 9% 1,424 8%
------------------- ------------------
Total operating
expenses 10,135 49% 8,128 46%
------------------- ------------------
Operating income 3,335 16% 2,718 15%
Interest income
(expense), net (46) 0% 55 0%
------------------- ------------------
Net income before taxes $ 3,289 16% $ 2,773 16%
Tax expense, net 690 3% 422 2%
------------------- ------------------
Net income $ 2,599 13% $ 2,351 13%
------------------- ------------------
Net earnings per
ordinary share:
Basic $ 0.08 $ 0.08
------------------- ------------------
Diluted $ 0.08 $ 0.07
------------------- ------------------
Shares used in
computing basic
net income per share 30,873,416 30,366,473
------------------- ------------------
Shares used in
computing diluted
net income per share 32,652,099 31,946,699
------------------- ------------------
ClickSoftware Technologies Ltd.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited. In thousands, except share and per share amounts)
Six Months Ended
June 30, 2011 June 30, 2010
------------------- ---------------------
% of % of
$ Revenues $ Revenues
------------------- ---------------------
Revenues:
Software license $ 13,518 34% $ 13,087 37%
Services 26,449 66% 21,978 63%
------------------- ---------------------
Total revenues 39,967 100% 35,065 100%
------------------- ---------------------
Cost of revenues:
Software license 1,031 3% 1,031 3%
Services 13,702 34% 12,224 35%
------------------- ---------------------
Total cost of
revenues 14,733 37% 13,255 38%
------------------- ---------------------
Gross profit 25,234 63% 21,810 62%
------------------- ---------------------
Operating expenses:
Research and
development costs,
net 4,152 10% 3,739 11%
Selling and
marketing expenses 11,595 29% 9,173 26%
General and
administrative
expenses 3,366 8% 2,980 8%
------------------- ---------------------
Total operating
expenses 19,113 48% 15,892 45%
------------------- ---------------------
Operating income 6,121 15% 5,918 17%
Interest income
(expense), net (22) 0% 51 0%
------------------- ---------------------
Net income before taxes $ 6,099 15% $ 5,969 17%
Tax expense, net 1,252 3% 844 2%
------------------- ---------------------
Net income $ 4,847 12% $ 5,125 15%
------------------- ---------------------
Net earnings per
ordinary share:
Basic $ 0.16 $ 0.17
------------------- ---------------------
Diluted $ 0.15 $ 0.16
------------------- ---------------------
Shares used in
computing basic
net income per share 30,767,584 30,314,900
------------------- ---------------------
Shares used in
computing diluted
net income per share 32,376,192 31,994,563
------------------- ---------------------
ClickSoftware Technologies Ltd.
CONSOLIDATED BALANCE SHEETS
(In thousands, except share data)
June 30, 2011 December 31, 2010
(Unaudited) (Audited)
-------------------------------------
ASSETS
CURRENT ASSETS
Cash and cash equivalents $ 21,438 $ 25,749
Short term deposits 24,830 16,747
Marketable securities 9,492 7,839
Trade receivables, net 16,461 14,255
Deferred taxes 1,470 2,220
Other receivables and
prepaid expenses 2,656 2,431
----------- ----------
Total current assets 76,347 69,241
----------- ----------
LONG TERM ASSETS
Property and equipment, net 3,661 3,384
Long term deposits 653 620
Other receivables and
prepaid expenses 311 364
Intangible assets, net 1,600 2,004
Goodwill 2,511 2,511
Severance pay funds 1,886 1,703
----------- ----------
Total long term assets 10,622 10,586
----------- ----------
Total Assets $ 86,969 $ 79,827
=========== ===========
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES
Accounts payable and accrued expenses $ 12,328 $ 12,574
Dividend payable 7,541 -
Deferred revenues 10,274 7,957
----------- ----------
Total current liabilities 30,143 20,531
----------- ----------
LONG TERM LIABILITIES
Accrued severance pay 3,902 3,431
Deferred revenues 2,102 1,777
----------- ----------
Total long term
liabilities 6,004 5,208
----------- ----------
Total liabilities 36,147 25,739
----------- ----------
SHAREHOLDERS' EQUITY
Ordinary shares of NIS 0.02 par value 129 126
Additional paid-in capital 83,098 81,170
Accumulated deficit (32,563) (27,393)
Accumulated other comprehensive
income 201 228
Treasury stock, at cost: 39,000
shares (43) (43)
----------- ----------
Total shareholders'
equity 50,822 54,088
----------- ----------
Total Liabilities and
shareholders' equity $ 86,969 $ 79,827
=========== ==========
ClickSoftware Technologies Ltd.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited. In thousands)
Six Months Ended
June 30, 2011 June 30, 2010
-----------------------------
CASH FLOWS FROM OPERATING ACTIVITIES
Net income $ 4,847 $ 5,125
Adjustments to reconcile net income to
net cash provided by operating activities:
Income and expense items not involving cash
flows:
Depreciation 690 618
Amortization of deferred compensation 712 662
Amortization of acquired intangible assets 404 398
Severance pay, net 288 85
(Gain) Loss on marketable securities (43) 15
Other 10 (1)
Changes in operating assets and liabilities:
Increase in trade receivables (2,206) (198)
Decrease in deferred taxes 750 720
Increase in other receivables (199) (314)
Increase in accounts payable and accrued
expenses (246) (614)
Increase in deferred revenues 2,642 1,503
----------- -----------
Net cash provided by operating activities $ 7,649 $ 7,999
----------- -----------
CASH FLOWS FROM INVESTING ACTIVITIES
Purchase of equipment (976) (1,018)
(Increase) Decrease in deposits (8,116) 2,020
Investments in marketable securities (4,743) (5,266)
Proceeds from sale of marketable securities 3,133 1,057
----------- -----------
Net cash used in investment activities $ (10,702) $ (3,207)
----------- -----------
CASH FLOWS FROM FINANCING ACTIVITIES
Dividend paid (2,476) -
Employee options exercised 1,218 581
----------- -----------
Net cash provided by (used in) financing
activities $ (1,258) $ 581
----------- -----------
(DECREASE) INCREASE IN CASH AND CASH
EQUIVALENTS (4,311) 5,373
CASH AND CASH EQUIVALENTS AT BEGINNING OF
PERIOD 25,749 15,594
----------- -----------
CASH AND CASH EQUIVALENTS AT END OF PERIOD $ 21,438 $ 20,967
----------- -----------
ClickSoftware Technologies Ltd.
SUPPLEMENTAL RECONCILIATIONS OF GAAP TO NON-GAAP RESULTS
(Unaudited. In thousands, except per share amounts)
Three Months Ended
June 30, 2011 June 30, 2010
--------------------- ---------------------
% of % of
$ Revenues $ Revenues
--------------------- ---------------------
GAAP Net income $ 2,599 13% $ 2,351 13%
Share-based compensation (1) 401 323
Amortization of
intangible assets (2) 202 199
Deferred taxes 310 380
--------------------- ---------------------
Non-GAAP Net income $ 3,512 17% $ 3,253 19%
--------------------- ---------------------
GAAP Earnings per
share (diluted) $ 0.08 $ 0.07
Share-based compensation 0.01 0.01
Amortization of
intangible assets 0.01 0.01
Deferred taxes 0.01 0.01
--------------------- ---------------------
Non-GAAP Earnings per
share (diluted) $ 0.11 $ 0.10
--------------------- ---------------------
(1)Share-based compensation:
Cost of services 58 43
Research and development
costs, net 49 37
Selling and marketing
expenses 110 85
General and administrative
expenses 184 158
--------------------- ---------------------
$ 401 $ 323
--------------------- ---------------------
(2)Amortization of
intangible assets:
Cost of revenues 173 169
Research and
development costs,
net 29 30
--------------------- ---------------------
$ 202 $ 199
--------------------- ---------------------
ClickSoftware Technologies Ltd.
SUPPLEMENTAL RECONCILIATIONS OF GAAP TO NON-GAAP RESULTS
(Unaudited. In thousands, except per share amounts)
Six Months Ended
June 30, 2011 June 30, 2010
--------------------- ---------------------
% of % of
$ Revenues $ Revenues
--------------------- ---------------------
GAAP Net income $ 4,847 12% $ 5,125 15%
Share-based compensation (1) 712 662
Amortization of
intangible assets (2) 404 398
Deferred taxes 750 720
--------------------- ---------------------
Non-GAAP Net income $ 6,713 17% $ 6,905 20%
--------------------- ---------------------
GAAP Earnings per
share (diluted) $ 0.15 $ 0.16
Share-based compensation 0.02 0.02
Amortization of
intangible assets 0.01 0.01
Deferred taxes 0.03 0.03
--------------------- ---------------------
Non-GAAP Earnings per
share (diluted) $ 0.21 $ 0.22
--------------------- ---------------------
(1)Share-based compensation:
Cost of services 97 87
Research and development
costs, net 83 73
Selling and marketing
expenses 187 173
General and administrative
expenses 345 329
--------------------- ---------------------
$ 712 $ 662
--------------------- ---------------------
(2)Amortization of
intangible assets:
Cost of revenues 345 338
Research and
development costs,
net 59 60
--------------------- ---------------------
$ 404 $ 398
--------------------- ---------------------
ClickSoftware Contact:
Noa Schuman
Investor Relations
+972-3-7659-467
Noa.Schuman@clicksoftware.com
Investor Relations Contact:
Rob Fink /Chi-Chi Millaway
KCSA Strategic Communications
+1-212-896-1206 / +1-212-896-1269
rfink@kcsa.com / cmillaway@kcsa.com
SOURCE ClickSoftware Technologies Ltd