Sagent, a leading provider of enterprise Business Intelligence solutions, have announced financial results for the third quarter ended September 30, 2001. Sagent's revenues for the third quarter of 2001 were $14.5 million, a year-over-year increase of 5 percent compared to the $13.8 million reported in the third quarter of 2000, and an increase of 9 percent sequentially, compared to the $13.3 million reported in the second quarter of 2001.
Sagent's license revenues for the third quarter of 2001 totaled $8.9 million, a sequential increase of 20 percent compared to the $7.4 million reported in the second quarter of 2001.
Sagent's net loss before stock-based compensation, amortization of goodwill, asset impairment, merger and integration charges and interest and taxes, was $7.2 million, or a loss of $0.18 per share on a fully diluted basis, compared to a net loss of $7.8 million, or a loss of $0.27 per share on a fully diluted basis, for the third quarter of 2000.
Net loss including those items was $9.9 million, or $0.24 per share, for the third quarter of 2001, compared to a net loss of $8.4 million, or $0.29 per share, for the third quarter of 2000.
Included in the loss of $9.9 million were:
- an asset impairment charge related to the spin-off of Sagent's service bureau business;
- a one-time charge related to the sale of Sagent's small-office/home-office (SOHO) postal discount business;
- a charge related to the closing of Sagent's facility in Clearwater, Fla.;
- a charge related to the divestment of Sagent's online prospect listing service; and
- a bad debts charge for uncollectable accounts receivable.
The total amount of these charges, which were largely non-cash, was $3.5 million.
"The third quarter was a challenging one for Sagent. Having been one of the only organizations in the Business Intelligence market to achieve growth in Q2 over Q1, we were tasked with meeting even higher expectations during Q3, a time of economic uncertainty, even before the September 11 terrorist attacks," said Ben Barnes, president and CEO, Sagent.
"I am proud to say that Sagent employees worldwide rallied in the face of this adversity and continued to close deals through the end of the quarter leading us to meet our revenue expectations."
Business outlook for fourth quarter 2001 For the fourth quarter 2001, Sagent expects to see revenues in the range of $16 million range, with gross margins in the range of 75 percent and a net loss before depreciation, amortization of stock-based compensation, and goodwill, asset impairment and charges, interest and taxes in the range of $0.04 to 0.06 per share.
South African market
In terms of the South African market, Susan Andre, head of the local operations says that the Sagent Solution has been recognised as a serious contender in the local arena.
"Sagent South Africa's contributions toward the global success of the company is realised through the continued support of its customers.
"Predictions indicate positive growth signs for the Business Intelligence market and even though the South African economy is sensitive to international trends, meaning the global slowdown will continue to impact on our market, Sagent SA is geared to focus on the growth opportunities."
Sagent's suite of enterprise Business Intelligence solutions enables companies to measurably impact their business by implementing highly successful customer relationship and financial management initiatives.
Through Sagent's powerful enabling technologies, organizations can easily and rapidly turn company data into relevant information that can be used for effective decision-making, analysis and reporting. Information can be extracted from multiple sources (internal and external), optimized for decision support and delivered in a customized format for Web-based or client applications.
Even the most complex analytic application can be developed in weeks, not months.
More than 1,500 companies have selected Sagent software to enhance customer retention, cross-sell/up-sell, improve customer service, increase efficiencies of marketing campaigns, streamline business operations, analyze financials, and reduce costs.
Customers include AT&T, BP Amoco, Boeing Employees Credit Union, Bristol Meyers, British Telecom, California State Automobile Association, Citibank, GPU Energy, Hughes Aircraft Employees Federal Credit Union, Johnson & Johnson (UK), Kemper National Insurance, Provident Central Credit Union, Safeway and Siemens.
Sagent retains strategic relationships with partners such as Advent Software, Commerce One, Compaq, EDS, IBM, Microsoft, NEC, SAS and Sun Microsystems. Sagent is headquartered in Mountain View, California, and can be reached at www.sagent.com.
"Sagent" and "Sagent Solution" are trademarks of Sagent Technology, Inc. All other trademarks are the property of their respective owners.