REDWOOD CITY, Calif., Aug. 23, 2012 (GLOBE NEWSWIRE) -- Versant Corporation (Nasdaq:VSNT), an industry leader in specialized data management software, today announced its financial results for its third quarter ended July 31, 2012.
Versant reported revenues of $3.0 million for the quarter compared to $4.2 million for the same quarter of its last fiscal year. The 28% decrease in revenues in the third quarter compared to the same quarter of the last fiscal year was primarily attributable to a decrease in license revenues. A decrease in the euro/dollar exchange rate also contributed approximately 20% of the decrease in revenues for the quarter compared to the corresponding period of the prior year. One customer accounted for 10% of total revenues in the quarter, whereas two customers accounted for 22% of total revenues in the quarter ended July 31, 2011.
Net loss for the third quarter ended July 31, 2012 was $1.2 million and diluted net loss per share was $0.42, compared to net income of $0.5 million and diluted net income per share of $0.16 for the quarter ended July 31, 2011. Versant continued to make planned investments in increased research and development and sales and marketing efforts during the third quarter of fiscal 2012.
Under the Company's current stock repurchase program, Versant is authorized to expend up to $5.0 million to repurchase outstanding shares of its common stock. During the quarter ended July 31, 2012, Versant acquired approximately 23,000 shares through open market purchases and block trades at an average price of $9.78 per share, leaving a balance of approximately $2.7 million available for future repurchases of common stock under this program.
Bernhard Woebker, Versant Corporation's CEO, stated "Although the current quarter's revenues were disappointing, we are diligently pursuing license opportunities which had been expected to close in the third fiscal quarter but which remain promising. The Company currently continues to expect to meet its previously provided annual guidance for the fiscal year ending October 31, 2012. The Company does not presently anticipate that it will continue its current stock buyback program beyond fiscal year 2012, and we plan to evaluate means of providing a return of some available capital to our shareholders. With respect to our product development efforts, during the most recent quarter we provided current customers and prospects with our updated pre-release version of the Versant Java Persistence API, and we currently are expecting general availability of this product on or about October 2012."
About Versant Corporation
Versant Corporation (Nasdaq:VSNT) is an industry leader in building specialized NoSQL data management systems to enable the real-time enterprise. Using the Versant Database Engine, enterprises can handle complex information in environments that demand high performance, concurrency, and availability, significantly cut hardware and administration costs, speed and simplify development, and deliver products with a strong competitive edge. Versant's solutions are deployed in over 150,000 installations across a wide array of industries, including telecommunications, energy, financial services, transportation, manufacturing, and defense. For more than 20 years, Versant has been a trusted partner of Global 2000 companies such as Ericsson, Verizon, Siemens, and Financial Times, as well as the U.S. Government. For more information, call 650-232-2400 or visit www.versant.com.
Forward Looking Statements Involve Risks and Uncertainties
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the safe harbor created by those sections. These forward-looking statements include the statements in this press release that (i) the Company continues to expect to meet its original previously provided annual guidance for its fiscal year ending October 31, 2012, (ii) the Company does not presently anticipate that it will continue its current stock buyback program beyond fiscal year 2012, (iii) the Company plans to evaluate means of providing a return of some available capital to its shareholders and (iv) the Company's current expectation that Versant Java Persistence API will be generally available on or about October 2012. Forward-looking statements are based on our assessment of current trends in our business, as well as the general economic environment in fiscal 2012, and may prove to be incorrect. Investors are cautioned that any such forward-looking statements are not guarantees of Versant's future performance or other matters and involve very significant risks and uncertainties.
There are many important factors and risks that could cause our actual results or events to differ materially from those anticipated in the forward-looking statements. The forward-looking statements contained in this press release are made only as of the date of this press release, and the Company assumes no obligation to publicly update any forward-looking statement. Investors are cautioned not to place undue reliance on forward-looking statements. Information concerning factors that could adversely affect our business and results can be found in the Company's filings with the Securities and Exchange Commission, including without limitation the Company's most recent Annual Report on Form 10-K for the year ending October 31, 2011, its reports on Form 10-Q and its reports on Form 8-K.
Versant is a registered trademark or trademark of Versant Corporation in the United States.
Conference Call Information
Versant will host a teleconference today to discuss the above after markets close. The details for the call are as follows:
| Date: Thursday, August 23, 2012 | ||
| Time: 1:30 PM Pacific (4:30 PM Eastern) | ||
| Dial-in number US: 1-877-941-4774 | ||
| International: 1-480-629-9760 | ||
| Conference ID: 4561206 | ||
| Internet Simulcast*: http://public.viavid.com/index.php?id=101609 | ||
| *Windows Media Player needed for simulcast. Simulcast is voice only. | ||
| Dial in 5-10 minutes prior to the start time. An operator will request your name and organization and ask you to wait until the call begins. If you have any difficulty connecting, please call Versant Corporation at (650) 232-2416. | ||
| A replay of the conference call will be available until August 30, 2012. | ||
| Replay number US: 1-877-870-5176 | ||
| International Replay number: 1-858-384-5517 | ||
| Replay Pass Code**: 4561206 | ||
| ** Enter the playback pass code to access the replay | ||
| VERSANT CORPORATION AND SUBSIDIARIES | ||
| CONDENSED CONSOLIDATED BALANCE SHEETS | ||
| (in thousands, except for share amounts) | ||
| (unaudited) | ||
| July 31, | October 31, | |
| 2012 | 2011 | |
| ASSETS | ||
| Current assets: | ||
| Cash and cash equivalents | $ 21,577 | $ 23,145 |
| Trade accounts receivable, net | 1,542 | 2,183 |
| Deferred income taxes | 778 | 898 |
| Other current assets | 612 | 481 |
| Total current assets | 24,509 | 26,707 |
| Property and equipment, net | 904 | 993 |
| Goodwill | 8,589 | 8,589 |
| Intangible assets, net | 231 | 309 |
| Other assets | 38 | 38 |
| Total assets | $ 34,271 | $ 36,636 |
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||
| Current liabilities: | ||
| Accounts payable | $ 316 | $ 152 |
| Accrued liabilities | 1,461 | 1,076 |
| Deferred revenues | 2,840 | 2,695 |
| Total current liabilities | 4,617 | 3,923 |
| Other long-term liabilities | 196 | 178 |
| Total liabilities | 4,813 | 4,101 |
| Commitments and contingencies | ||
| Shareholders' equity: | ||
| Common stock, no par value, 7,500,000 shares authorized, 2,750,899 shares issued and outstanding at July 31, 2012, and 2,935,125 shares issued and outstanding at October 31, 2011 | 88,736 | 90,055 |
| Accumulated other comprehensive income (loss), net | (480) | 31 |
| Accumulated deficit | (58,798) | (57,551) |
| Total shareholders' equity | 29,458 | 32,535 |
| Total liabilities and shareholders' equity | $ 34,271 | $ 36,636 |
| VERSANT CORPORATION AND SUBSIDIARIES | ||||
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||
| (in thousands, except for per share amounts) | ||||
| (unaudited) | ||||
| Three Months Ended | Nine Months Ended | |||
| July 31, | July 31, | July 31, | July 31, | |
| 2012 | 2011 | 2012 | 2011 | |
| Revenues: | ||||
| License | $ 1,350 | $ 2,344 | $ 6,148 | $ 6,758 |
| Maintenance | 1,674 | 1,821 | 4,998 | 5,396 |
| Professional services | 18 | 39 | 84 | 139 |
| Total revenues | 3,042 | 4,204 | 11,230 | 12,293 |
| Cost of revenues: | ||||
| License | 57 | 66 | 189 | 199 |
| Amortization of intangible assets | 26 | 26 | 78 | 164 |
| Maintenance | 326 | 384 | 1,027 | 1,111 |
| Professional services | 9 | 26 | 41 | 68 |
| Total cost of revenues | 418 | 502 | 1,335 | 1,542 |
| Gross profit | 2,624 | 3,702 | 9,895 | 10,751 |
| Operating expenses: | ||||
| Sales and marketing | 1,627 | 1,341 | 4,560 | 4,161 |
| Research and development | 1,328 | 1,055 | 3,668 | 2,967 |
| General and administrative | 815 | 786 | 2,654 | 3,093 |
| Restructuring | -- | 25 | -- | 25 |
| Total operating expenses | 3,770 | 3,207 | 10,882 | 10,246 |
| Income (loss) from operations | (1,146) | 495 | (987) | 505 |
| Interest and other income (expense), net | 73 | 34 | 129 | (14) |
| Income (loss) before income taxes | (1,073) | 529 | (858) | 491 |
| Provision for income taxes | 96 | 55 | 389 | 93 |
| Net income (loss) | $ (1,169) | $ 474 | $ (1,247) | $ 398 |
| Net income (loss) per share: | ||||
| Basic | $ (0.42) | $ 0.16 | $ (0.44) | $ 0.13 |
| Diluted | $ (0.42) | $ 0.16 | $ (0.44) | $ 0.13 |
| Shares used in per share calculation: | ||||
| Basic | 2,755 | 3,021 | 2,839 | 3,122 |
| Diluted | 2,755 | 3,021 | 2,839 | 3,123 |