Announces New Major Contracts Not Included in the Results
BURLINGTON, Massachusetts, November 2 /PRNewswire-FirstCall/ --
ClickSoftware Technologies, Ltd., (NasdaqSC: CKSW), the leading
provider of workforce and service optimization solutions, today
announced results for the third quarter ended September 30, 2005.
For the third quarter ended September 30, 2005, total revenues were
$6.1 million, with net loss of $307,000, or $0.01 per share. This
compares with revenues of $5.5 million and net income of $183,000,
or $0.01 per share, for the same period last year, and revenues of
$6.1 million and net loss of $307,000, or $0.01 per share, for the
second quarter of 2005. Software license revenues for the third
quarter of 2005 were $1.8 million, while service revenues were $4.3
million. This compares to software license revenues of $2.5 million
and service revenues of $3.0 million for the same period last year,
and $2.1 million and $4.0 million, respectively, in the second
quarter of 2005. Gross profit in the third quarter was $3.5
million, or 58% of revenues, compared to $3.7 million, or 67% of
revenues, in the same period last year, and $3.6 million, or 60% of
revenues, in the second quarter of 2005. Cash, cash equivalents and
short and long-term investments decreased to $13.1 million at the
end of the third quarter, down from $15.2 million at the end of the
second quarter of 2005. Net cash used in operating activities was
$2.1 million in the third quarter of 2005. Deferred revenues as of
the end of the third quarter of 2005 decreased to $4.5 million,
compared to $5.8 million at the second quarter of 2005. "The third
quarter and the beginning of the fourth quarter brought an
impressive list of several new wins of large clients, such as
Pacific Gas & Electric, announced today, and others to be
announced in coming weeks," said Dr. Moshe BenBassat,
ClickSoftware's Chairman and CEO. "While the revenues associated
with these wins are not yet included in our financial results for
the third quarter, they will contribute substantially to our
revenue stream in the upcoming quarters". Outlook For the fourth
quarter the company currently projects revenues ranging between
$6.7 to $7.2 million. This would bring the total annual revenues to
the range of $24.9 to $25.4 million, representing an annual growth
rate of 10% to 12% relative to 2004. The third quarter results
announced today do not include 2 recent major wins (including
PG&E). There are 3 additional major contracts the company
believes are likely to sign over the next several weeks. "We are
finally seeing the traction in the marketplace that we have been
working hard to develop and we believe the company is now ready to
reap the benefits of its leadership position in the service
delivery management sector," said Dr. BenBassat. Investor
Conference Call ClickSoftware will host a conference call today at
9:30 a.m. ET to discuss these results and answer questions from the
investment community. To participate, please call 1-(800)-936-9754
and ask for the ClickSoftware conference call. International
participants, please call +1-(973)-935-2048. The conference call
will be simultaneously webcast (in listen mode only) and is
available via the Internet at http://www.clicksoftware.com/. A
replay of this call will be available on the ClickSoftware website,
or by calling 1-(877)-519-4471 (international callers can dial
+1-(973)-341-3080. The passcode for the replay is 6598308. About
ClickSoftware ClickSoftware is the leading provider of workforce
and service optimization solutions that maximize workforce
productivity and customer satisfaction while minimizing operations
costs. ClickSoftware's ServiceOptimization Suite provides an
integrated, intelligent solution for automatic, efficient, and
effective decisions over the entire service decision-making chain.
It includes reliable customer demand and workload forecasting,
strategic and tactical capacity planning, daily service scheduling,
troubleshooting and repair support, wireless workforce management,
and business analytics, connecting all organizational levels and
functions. The company has offices in Burlington, MA; Tel-Aviv,
Israel; North America; Europe; and Asia Pacific. For more
information about ClickSoftware, call +1-(781)-272-5903 or
1-(888)-438-3308 or visit http://www.clicksoftware.com/ This press
release contains express or implied forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Exchange Act. These forward-looking
statements include, but are not limited to, those regarding future
results of operations, visibility into future periods, continued
growth and rate of growth, and expectations regarding future
closing of contracts, recognition of revenues and deferred
revenues. Such "forward-looking statements" involve known and
unknown risks, uncertainties and other factors, which may cause
actual results or performance to be materially different from those
projected. Achievement of these results by ClickSoftware and its
subsidiaries may be affected by many factors, including among
others, the following: risks and uncertainties regarding the
general economic outlook; the length of or change in the company's
sales cycle; the company's ability to close sales to potential
customers in a timely manner; the company's ability to maintain or
increase relationships with strategic partners; and the company'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 ClickSoftware's annual report on Form 10-K for the year ended
December 31, 2004 and subsequent filings with the Securities and
Exchange Commission. The Company 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 BALANCE SHEETS (In
thousands, except share data) September 30 December 31
--------------------------- 2005 2004 ---------------------------
ASSETS CURRENT ASSETS Cash and cash equivalents $ 4,317 $ 4,196
Short-term investments 8,551 7,533 Trade receivables, net 4,151
5,317 Other receivables and prepaid expenses 1,495 982
--------------------------- Total current assets 18,514 18,028
--------------------------- FIXED ASSETS Cost 3,316 3,713 Less -
accumulated depreciation 2,342 2,646 ---------------------------
974 1,067 --------------------------- Long-term investments 264 264
Severance pay deposits 928 890 --------------------------- Total
Assets $ 20,680 $ 20,249 =========================== LIABILITIES
AND SHAREHOLDERS' EQUITY CURRENT LIABILITIES Accounts payable and
accrued expenses 4,464 4,731 Deferred revenues 4,539 2,969
--------------------------- Total current liabilities 9,003 7,700
--------------------------- LONG TERM LIABILITIES Accrued severance
pay 1,751 1,677 --------------------------- Total long-term
liabilities 1,751 1,677 --------------------------- Total
liabilities 10,754 9,377 --------------------------- SHAREHOLDERS'
EQUITY Ordinary shares of NIS 0.02 par value 111 110 Additional
paid-in capital 71,177 70,930 Deferred Stock Compensation (250)
(309) Accumulated deficit (61,069) (59,816) Treasury stock, at
cost: 39,000 shares (43) (43) --------------------------- Total
shareholders' equity 9,926 10,872 --------------------------- Total
liability and shareholders' equity $ 20,680 $ 20,249
=========================== ClickSoftware Technologies Ltd.
CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except share
and per share amounts) Three Months Ended September 30, 2005
September 30, 2004 ------------------ ------------------- % of % of
$ Revenues $ Revenues ------------------ -------------------
Revenues: Software license $ 1,848 30% $ 2,478 45% Services 4,257
70% 2,979 55% ------------------ ------------------- Total revenues
6,105 100% 5,457 100% ------------------ ------------------- Cost
of revenues: Software license 388 6% 210 4% Services 2,173 36%
1,572 29% ------------------ ------------------- Total cost of
revenues 2,561 42% 1,782 33% ------------------ -------------------
Gross profit 3,544 58% 3,675 67% ------------------
------------------- Operating expenses: Research and development
costs, net 820 14% 612 11% Selling and Marketing expenses 2,286 37%
2,218 41% General and administrative expenses 807 13% 727 13%
Amortization of deferred stock-based compensation 5 0% 3 0%
------------------ ------------------- Total operating expenses
3,918 64% 3,560 65% ------------------ ------------------- (Loss)
income from operations (374) (6)% 115 2% Interest and other income,
net 67 1% 68 1% ------------------ ------------------- Net (loss)
income $ (307) (5)% $ 183 3% ------------------ -------------------
Net (loss) income per ordinary share: Basic $ (0.01) $ 0.01
------------------ ------------------- Diluted $ (0.01) $ 0.01
------------------ ------------------- Shares used in computing
basic Net (loss) income per share 27,545,943 27,296,008
------------------ ------------------- Shares used in computing
diluted Net (loss) Income per share 27,545,943 27,964,757
------------------ ------------------- ClickSoftware Technologies
Ltd. CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands, except
share and per share amounts) Nine Months Ended September 30, 2005
September 30, 2004 ------------------ ------------------- % of % of
$ Revenues $ Revenues ------------------ -------------------
Revenues: Software license $ 6,552 36% $ 6,660 42% Services 11,656
64% 9,224 58% ------------------ ------------------- Total revenues
18,208 100% 15,884 100% ------------------ ------------------- Cost
of revenues: Software license 1,095 6% 586 4% Services 6,051 33%
4,630 29% ------------------ ------------------- Total cost of
revenues 7,146 39% 5,216 33% ------------------ -------------------
Gross profit 11,062 61% 10,668 67% ------------------
------------------- Operating expenses: Research and development
costs, net 2,305 13% 1,953 13% Selling and Marketing expenses 7,640
42% 6,226 39% General and administrative expenses 2,379 13% 2,101
13% Amortization of deferred stock-based compensation 14 0% 6 0%
------------------ ------------------- Total operating expenses
12,338 68% 10,286 65% ------------------ ------------------- (Loss)
income from operations (1,276) (7)% 382 2% Interest and other
income, net 23 0% 103 1% ------------------ ------------------- Net
(loss) income $ (1,253) (7)% $ 485 3% ------------------
------------------- Net (loss) income per ordinary share: Basic $
(0.05) $ 0.01 ------------------ ------------------- Diluted $
(0.05) $ 0.01 ------------------ ------------------- Shares used in
computing basic Net (loss) income per share 27,482,857 27,176,170
------------------ ------------------- Shares used in computing
diluted Net (loss) income per share 27,482,857 28,066,292
------------------ ------------------- Contacts: Shmuel Arvatz
Chief Financial Officer +972-3-7659467 Howard Kalt Kalt Rosen &
Co. +1-(415)-397-2686 DATASOURCE: ClickSoftware Technologies Ltd
CONTACT: Contacts: Shmuel Arvatz, Chief Financial Officer,
+972-3-7659467, or Howard Kalt, Kalt Rosen & Co.,
+1-(415)-397-2686,
Copyright