Articles
Packeteer, Inc. News
Packeteer(R), Inc. Announces Fourth Quarter and Full Year Financial Results
CUPERTINO, Calif.,
Net revenues for the fourth quarter 2007 were
Non-GAAP net income for the fourth quarter 2007 was
Total cash and investments at
"We are very pleased with the business results we reported today," said
"Our outlook for 2008 is very positive. We expect to accelerate our revenue growth and return to profitability in 2008. We plan to leverage the strong recent leadership additions to our management team, new products announced during recent months and those that will come to market later this year, dynamic new marketing initiatives, and an absolute commitment to continue to solidify and improve our overall execution in this very attractive market environment."
A Conference Call with company management will be held
About Packeteer
Packeteer (Nasdaq: PKTR) is the global market leader in Application Traffic Management for wide area networks. Deployed at more than 7,000 companies in 50 countries, Packeteer solutions empower IT organizations with patented network visibility, control, and acceleration capabilities delivered through a family of intelligent, scalable appliances. For more information, contact Packeteer via telephone at +1 (408) 873-4400, fax at + 1 (408) 873- 4410, or by email at info@packeteer.com, or visit the Company's website at http://www.packeteer.com. Packeteer is headquartered in Cupertino, CA.
Use of Non-GAAP Financial Measures
Non-GAAP net income (loss) and net income (loss) per share discussed in this press release exclude stock-based compensation, amortization of purchased intangible assets and in-process research and development, and the related tax impact of the applicable items, as well as the impact of a charge relating to the settlement of the Company's IRS tax examination. Management presents non- GAAP financial measures because it considers them to be important supplemental measures of performance. Management uses the non-GAAP financial measures for planning purposes, including analysis of the Company's performance against prior periods, the preparation of operating budgets and to determine appropriate levels of operating and capital investments. Management also believes that the non-GAAP financial measures provide additional insight for analysts and investors in evaluating the Company's financial and operational performance. However, these non-GAAP financial measures have limitations as an analytical tool, and are not intended to be an alternative to financial measures prepared in accordance with GAAP. A reconciliation between the Company's GAAP and non-GAAP financial results is provided at the end of this press release. Investors are advised to carefully review and consider this information as well as the GAAP financial results that are disclosed in the Company's SEC filings.
Safe Harbor Clause
The statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 21E of the Securities and Exchange Act of 1934, as amended, including statements regarding Packeteer's expectations, beliefs, intentions or strategies regarding the future. Forward-looking statements include, but are not limited to, express or implied statements regarding future revenue growth and profitability, spending levels by existing and prospective customers, the markets for our products, new product development, liquidity and macro economic conditions. All forward-looking statements included in this press release are based upon information available to Packeteer as of the date hereof. Packeteer assumes no obligation to update any such forward-looking statements. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from those projected. Actual results may differ materially due to a number of factors including the perceived need for our products, our ability to convince potential customers of our value proposition, the costs of competitive solutions, continued capital spending by prospective customers and macro economic conditions. These and other risks relating to Packeteer's business are set forth in Packeteer's Form 10-K filed with the Securities and Exchange Commission on
Packeteer, PacketShaper, PacketShaper Express are trademarks or registered trademarks of Packeteer, Inc. All other products and services are the trademarks of their respective owners.
PACKETEER, INC. CONDENSED CONSOLIDATED INCOME STATEMENTS (in thousands, except per share amounts) (unaudited) Three months ended Year ended December 31, December 31, 2007 2006 2007 2006 Net revenues Product revenues $ 28,461 $ 32,872 $ 97,784 $110,164 Service revenues 12,445 9,811 46,677 34,959 Total net revenues 40,906 42,683 144,461 145,123 Cost of revenues Product costs 7,687 8,918 28,639 26,028 Service 3,546 3,200 14,125 10,907 Amortization of purchased intangible assets 632 635 2,536 2,150 Total cost of revenues 11,865 12,753 45,300 39,085 Gross profit 29,041 29,930 99,161 106,038 Operating expenses: Research and development 9,792 8,594 37,542 30,646 Sales and marketing (includes amortization of purchased intangible assets of $316 for both of the three months ended December 31, 2007 and 2006, and $1,265 and $790 for the year ended December 31, 2007 and 2006, respectively) 17,984 17,872 67,906 57,889 General and administrative 4,594 4,101 16,988 13,949 In- process research and development - - - 1,800 Total operating expenses 32,370 30,567 122,436 104,284 Operating income (loss) (3,329) (637) (23,275) 1,754 Other income, net 833 838 3,359 3,932 Income (loss) before provision for income taxes (2,496) 201 (19,916) 5,686 Provision (benefit) for income taxes 9,748 (693) 5,938 782 Net income (loss) $(12,244) $894 $(25,854) $ 4,904 Basic net income (loss) per share $ (0.34) $ 0.03 $ (0.72) $ 0.14 Diluted net income (loss) per share $ (0.34) $ 0.02 $ (0.72) $ 0.14 Shares used in computing basic net income (loss) per share 36,202 35,725 36,007 34,848 Shares used in computing diluted net income (loss) per share 36,202 36,215 36,007 35,740 Stock-based compensation included in the costs and expense line items: Product costs $ 72 $ 115 $ 348 $ 414 Service costs 167 203 706 732 Research and development 818 1,367 3,670 4,372 Sales and marketing 1,186 1,463 4,278 5,242 General and administrative 658 937 2,855 3,037 Total amortization of stock-based compensation $ 2,901 $ 4,085 $ 11,858 $ 13,797 PACKETEER, INC. RECONCILIATION OF GAAP NET INCOME TO NON-GAAP NET INCOME (in thousands, except per share amounts) (unaudited) Three months ended Year ended December 31, December 31, 2007 2006 2007 2006 Non-GAAP net income (loss) $309 $4,725 $(5,009) $21,270 Stock-based compensation from options and employee stock purchase plan (2,879) (3,891) (11,770) (13,311) Stock-based compensation from acquisitions (22) (192) (88) (484) Amortization of purchased intangible assets (949) (952) (3,802) (2,941) In-process research and development - - - (1,800) Tax impact of above 1,092 1,204 4,610 2,170 Tax impact of IRS Settlement (9,795) - (9,795) - GAAP net income (loss) $(12,244) $894 (25,854) $4,904 Basic non-GAAP net income (loss) per share excluding amortization of purchased intangible assets, stock-based compensation and in-process research and development, net of taxes $0.01 $0.13 $(0.14) $0.61 Diluted non-GAAP net income (loss) per share excluding amortization of purchased intangible assets and stock-based compensation, net of taxes $0.01 $0.13 $(0.14) $0.60 Shares used in computing basic net income (loss) per share 36,202 35,725 36,007 34,848 Shares used in computing diluted net income (loss) per share 36,586 36,215 36,007 35,740 PACKETEER, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands) (unaudited) December 31, December 31, 2007 2006 Assets: Cash, cash equivalents and investments $77,779 $76,557 Accounts receivable, net 27,353 31,743 Inventories 7,665 3,957 Property and equipment, net 4,962 3,968 Other assets 26,802 31,042 Goodwill and other intangible assets, net 74,342 69,701 Total assets $218,903 $216,968 Liabilities and Stockholders' Equity Liabilities: Accounts payable and accrued liabilities $21,590 $28,176 Other liabilities 3,804 179 Deferred revenue 31,934 29,104 Total liabilities 57,328 57,459 Stockholders' equity 161,575 159,509 Total liabilities and stockholders' equity $218,903 $216,968 PACKETEER, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) (unaudited) Year ended December 31, 2007 2006 Net cash (used) provided by operating activities $(1,595) $20,428 Net cash used in investing activities (3,755) (25,084) Net cash provided by financing activities 6,636 8,075 Net increase in cash and cash equivalents 1,286 3,419 Cash and cash equivalents at beginning of period 39,640 36,221 Cash and cash equivalents at end of period 40,926 39,640 Investments 36,853 36,917 Total cash, cash equivalents and investments $77,779 $76,557
SOURCE Packeteer, Inc.
