|
|
Press Release Detail
Ulticom Announces Second Quarter Fiscal 2003 Results
Ulticom Announces Second Quarter Fiscal 2003 Results: Sales of $9,434,000, Earnings Per Diluted Share of $0.03
Mount Laurel, NJ, September 8, 2003 - Ulticom, Inc. (NASDAQ: ULCM),
a leading provider of service enabling signaling software for wireless, wireline, and Internet communications, today announced financial results for the second quarter of fiscal year 2003, ended July 31, 2003. For the quarter, Ulticom had sales of $9,434,000, an increase of 55% over
sales of $6,103,000 in the second quarter of fiscal year 2002. Sales increased
approximately 3% sequentially, compared with $9,129,000 for the first quarter
of fiscal year 2003. The Company posted net income on a generally accepted
accounting principles ("GAAP") basis for the quarter of $1,273,000
($0.03 per diluted share) compared to a net loss of $2,094,000 ($0.05 per
share) for the second quarter of fiscal 2002 and net income of $981,000 ($0.02
per diluted share) for the first quarter of fiscal year 2003. The GAAP results
for the second quarter of fiscal 2003 included a credit of $233,000 resulting
from the reversal of a previously taken workforce reduction and restructuring
charge. The GAAP results for the second quarter of fiscal 2002 included a
charge of $2,290,000 related to the Company's workforce reduction and restructuring
plan. Excluding these credits and charges, on a pro forma basis, the net income
was $1,119,000 ($0.03 per diluted share) in the second quarter of fiscal 2003
and the net loss was $651,000 ($0.02 per share) in the second quarter of fiscal
2002. While capital expenditures on telecommunications equipment remains weak,
Ulticom continues to benefit from targeted spending on services that carriers
view as vital for revenue growth and operational efficiency," said Shawn Osborne,
President and CEO of Ulticom. "The utility of our products and diversity
of their application has allowed us to deliver increased results over the
last four quarters as carriers shift investments among Ulticom's five key
market segments. With wireless services and packet networking as our strategic
guideposts, we believe that Ulticom is well positioned to take advantage of
the eventual recovery and next growth cycle in our industry." The Company ended the quarter with cash, cash equivalents, and short-term
investments of $219,197,000, working capital of $219,397,000, total assets
of $238,983,000, and shareholders' equity of $225,422,000. Financial highlights at and for the six-month and three-month periods ended
July 31, 2003 and prior year comparisons are as follows: Financial Highlights (In thousands, except per share data) Operations Data on a GAAP basis, including certain gains, net of tax, of
$154,000 for the six-month and three-month periods ended July 31, 2003 and
certain charges, net of tax, of $1,443,000 for the six-month and three-month
periods ended July 31, 2002: | Six months ended (Unaudited) | Three months ended (Unaudited) | | July 31, | July 31, | July31, | July 31, | | 2002 | 2003 | 2002 | 2003 | Sales | $13,200 | $ 18,563 | $6,103 | $9,434 | Cost of sales | 5,766 | 5,512 | 2,538 | 2,745 | Gross profit | 7,434 | 13,051 | 3,565 | 6,689 | | | | | | Operating expenses: | | | | | Research and development | 5,792 | 4,608 | 2,550 | 2,346 | Selling, general and administrative | 6,979 | 7,444 | 3,449 | 3,721 | Workforce reduction and restructuring charge (credits) | 2,290 | 233) | 2,290 | (233) | Income(loss) from operations | (7,627) | 1,232 | (4,724) | 855 | Interest and other income, net | 2,590 | 2,182 | 1,400 | 1,073 | Income(loss) before income tax provision(benefit) | (5,037) | 3,414 | (3,324) | 1,928 | Income tax provision (benefit) | 1,864) |
1,160 | (1,230) | 655 | Net income (loss) | $3,173) | $2,254 | $2,094) | $1,273 | | | | | | Earnings (loss) per share: | | | | | Basic | $(0.08) | $0.05 | $(0.05) | $0.03 | Diluted | $(0.08) | $0.05 | $(0.05) | $0.03 | | | | | | Weighted average shares: | | | | | Basic | 41,303 | 41,673 | 41,398 | 41,764 | Diluted | 41,303 | 42,984 | 41,398 | 43,258 | | | | | | |
Ulticom provides pro forma net income (loss) and pro forma earnings (loss)
per share data as additional information for its operating results. These
measures are not in accordance with, or an alternative for, GAAP and may be
different from pro forma measures used by other companies. The Company believes
that this presentation of pro forma data provides useful information to management
and investors regarding certain additional financial and business trends relating
to its financial condition and results of operations. In addition, the Company's
management uses these measures for reviewing the financial results of the
Company and for budget planning purposes. Financial Highlights (In thousands, except per share data) Operations Data on a pro forma basis, excluding certain gains, net of tax,
of $154,000 for the six-month and three-month periods ended July 31, 2003
and certain charges, net of tax, of $1,443,000 for the six-month and three-month
periods ended July 31, 2002:
|
Six
months ended
(Unaudited)
|
Three
months ended
(Unaudited)
|
|
July31,
|
July 31,
|
July 31,
|
July 31,
|
|
2002
|
2003
|
2002
|
2003
|
Sales
|
$ 13,200
|
$ 18,563
|
$ 6,103
|
$
9,434
|
Cost of sales
|
5,766
|
5,512
|
2,538
|
2,745
|
Gross profit
|
7,434
|
13,051
|
3,565
|
6,689
|
|
|
|
|
|
Operating expenses:
|
|
|
|
|
Research and development
|
5,792
|
4,608
|
2,550
|
2,346
|
Selling, general and administrative
|
6,979
|
7,444
|
3,449
|
3,721
|
Income (loss) from operations
|
(5,337)
|
999
|
(2,434)
|
622
|
Interest and other income, net
|
2,590
|
2,182
|
1,400
|
1,073
|
Income (loss) before income tax provision
(benefit)
|
(2,747)
|
3,181
|
(1,034)
|
1,695
|
Income tax provision (benefit)
|
(1,017)
|
1,081
|
(383)
|
576
|
Pro forma net income (loss)
|
$
(1,730)
|
$
2,100
|
$ (651)
|
$
1,119
|
|
|
|
|
|
Pro forma earnings (loss) per share:
|
|
|
|
|
Basic
|
$
(0.04)
|
$
0.05
|
$ (0.02)
|
$
0.03
|
Diluted
|
$
(0.04)
|
$
0.05
|
$ (0.02)
|
$
0.03
|
|
|
|
|
|
Weighted average shares:
|
|
|
|
|
Basic
|
41,303
|
41,673
|
41,398
|
41,764
|
Diluted
|
41,303
|
42,984
|
41,398
|
43,258
|
|
|
|
|
|
Reconciliation of GAAP basis net income (loss) to
pro forma basis net income (loss):
|
|
|
|
|
|
|
GAAP basis net income (loss)
|
$
(3,173)
|
$ 2,254
|
$ (2,094)
|
$
1,273
|
Adjustments:
|
|
|
|
|
Workforce reduction and restructuring
charges (credits)
|
2,290
|
(233)
|
2,290
|
(233)
|
Income tax provision (benefit)
|
(847)
|
79
|
(847)
|
79
|
Pro forma basis net income (loss)
|
$
(1,730)
|
$ 2,100
|
$
(651)
|
$ 1,119
|
Financial Highlights (In thousands)
Balance Sheet Data:
|
January 31,
2003
|
July 31,
2003
(Unaudited)
|
ASSETS
|
|
|
CURRENT ASSETS:
|
|
|
Cash and cash equivalents
|
$ 102,672
|
$ 92,882
|
Short-term investments
|
116,074
|
126,315
|
Accounts receivable, net
|
4,212
|
5,381
|
Inventories
|
695
|
557
|
Prepaid expenses and other current
assets
|
4,395
|
5,299
|
TOTAL CURRENT ASSETS
|
228,048
|
230,434
|
|
|
|
PROPERTY AND EQUIPMENT, net
|
3,333
|
2,852
|
INVESTMENTS
|
5,550
|
5,550
|
OTHER
ASSETS
|
171
|
147
|
TOTAL
ASSETS
|
$ 237,102
|
$ 238,983
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
CURRENT LIABILITIES:
|
|
|
Accounts
payable and accrued expenses
|
$
8,510
|
$
7,780
|
Deferred revenue
|
3,593
|
3,257
|
TOTAL CURRENT LIABILITIES
|
12,103
|
11,037
|
|
|
|
LONG-TERM
LIABILITIES
|
1,847
|
2,524
|
TOTAL
LIABILITIES
|
13,950
|
13,561
|
|
|
|
SHAREHOLDERS' EQUITY
|
223,152
|
225,422
|
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY
|
$ 237,102
|
$ 238,983
|
About Ulticom: Ulticom provides service-enabling signaling software for wireless, wireline
and Internet communications. Ulticom's products are used by leading telecommunication
equipment and service providers worldwide to deploy mobility, location, payment,
switching and messaging services. Traded on NASDAQ, as ULCM, Ulticom is headquartered
in Mount Laurel, NJ with additional offices in the United States, Europe and
Asia. For more information visit, href="http://www.ulticom.com/">http://www.ulticom.com. Conference Call Information: The Company will be conducting a conference call to discuss results for the
second quarter fiscal year 2003 on Monday, September 8, 2003 at 4:30 p.m.
EDT. The dial-in number is 973-582-2732 and the conference ID number is 4151981.
A live webcast of the call will be available by visiting the Ulticom website
at href="http://www.ulticom.com/">www.ulticom.com. The web cast will be archived
on the Ulticom website and available for replay for 7 days. A digital replay
of the call will be available for 72 hours, the replay dial-in number is 877-519-4471,
and the replay PIN number is 4151981. Note: Certain statements concerning Ulticom's future results or prospects
are "forward-looking statements" under the Private Securities Litigation Reform
Act of 1995. There can be no assurances that future results or prospects
will be achieved, and actual results could differ materially from forecasts
and estimates. Important among the factors that could cause actual results
to differ materially from forecasts and estimates are: risks associated with
the current weakness in the world economy generally, and in the telecommunications
industry in particular; risks associated with rapid technological changes
in the telecommunications industry; risks associated with making significant
investments in the expansion of our business and with increased expenditures;
risks associated with holding a large proportion of our assets in cash equivalents
and short-term investments and the reduction of prevailing interest rates;
risks associated with our products being dependent upon their ability to operate
on new hardware and operating systems of other companies; risks associated
with our dependence on sales of our Signalware products; risks associated
with future networks not utilizing signaling systems and protocols which our
products are designed to support; risks associated with the development and
acceptance of new products and product features; risks associated with our
dependence on a limited number of customers for a significant percentage of
our revenues; risks associated with our products having long sales cycles
and our limited ability to forecast the timing and amount of product sales;
risks associated with the integration of our products with those of equipment
manufacturers and application developers and our ability to establish and
maintain channel and marketing relationships with leading equipment manufacturers
and application developers; risks associated with our reliance on a limited
number of independent manufacturers to manufacture boards for our products
and on a limited number of suppliers for our board components; risks associated
with becoming subjected to, defending and resolving allegations or claims
of infringement of intellectual property rights of others; risks associated
with others infringing on our intellectual property rights and the inappropriate
use by others of our proprietary technology; risks associated with prevailing
economic conditions and financial trends in the public securities markets
in general, and in the recent decline in the stock prices of technology companies
in particular, including Ulticom; risks associated with the need for the Company
to attract and retain key personnel and risks associated with the increased
difficulty in relying on equity incentive programs to attract and retain talented
employees and with any associated increased employment costs. These risks
and uncertainties, as well as others, are discussed in greater detail in the
filings of Ulticom with the Securities and Exchange Commission, including
our most recent Annual Report on Form 10-K and its subsequent Quarterly Reports
on Form 10-Q. All documents are available through the SEC's Electronic
Data Gathering Analysis and Retrieval system (EDGAR) at href="javascript:openExtLink('http://www.sec.gov')">www.sec.gov or from Ulticom's
web site at www.ulticom.com. Ulticom makes no commitment to revise or update
any forward-looking statements in order to reflect events or circumstances
after the date any such statement is made. Ulticom, Signalware and Programmable Network are trademarks or registered trademarks
of Ulticom, Inc. ###
About Ulticom, Inc.
Ulticom provides service essential signaling component and system solutions for wireless, wireline, and Internet communications. Ulticom's products are used by leading telecommunication equipment and service providers worldwide to deploy broadband mobile access, multimedia transport control, subscriber data management and enhanced communication services. Ulticom is headquartered in Mount Laurel, NJ with additional offices in the United States, Europe, and Asia.
|
 About Ulticom Investors Investor Events Investor FAQs Financial Press Releases Product Press Releases Stock Quote Request Information Contact
|