SAN DIEGO, April 28, 2005 (PRIMEZONE) -- Sagient Research Systems (OTCBB:SRYS), a leading publisher of independent research for financial services companies and institutional investors, today announced its first-quarter 2005 financial results highlighted by its first quarter of profitability.
For the first quarter of 2005, Sagient reported Revenues of $801,918, a 24% increase over the $647,719 recorded in the first quarter of 2004. Sagient reported first-quarter 2005 Operating Income of $78,248, compared with an Operating Loss of ($237,858) in the first quarter of 2004. Sagient also reported first-quarter 2005 Net Income of $20,667, compared with a Net Loss of ($356,780) in the first quarter of 2004.
Other First-Quarter 2005 Financial and Operational Highlights:
-- Deferred Revenue, which is revenue from booked research
subscription orders that Sagient will recognize in
future periods, increased 21% from the first-quarter
2004 to $1.23 million.
-- Sagient added 15 new subscription clients for its proprietary
research services in the first quarter.
-- Sagient recorded a 90% renewal rate for existing subscribers
to its proprietary research services in the first quarter,
an all-time best for the Company.
"Achieving our first quarter of profitability is a major milestone for Sagient Research," said Brian M. Overstreet, president and CEO. "It marks the end of a restructuring process we implemented in 2003 and it marks the beginning of the next phase of Sagient's life--that of a profitable and growing enterprise committed to serving the needs of our clients through innovative and market-leading research services. We are particularly enthusiastic about adding 15 new subscription clients and achieving a record 90% renewal rate during the first quarter. We believe these numbers speak volumes about the quality of the research services we are providing and the value we are delivering to our institutional client base. I lead our management group and our shareholders in congratulating and thanking our dedicated Sagient Research team for their contributions in achieving our first quarter of profitability."
Robert F. Kyle, Executive V.P. of Sagient Research added, "We've worked tirelessly over the past six months on new product features and modules for both our PlacementTracker and BioMedTracker services. We believe that these new features, which include expanded drug and company coverage on BioMedTracker and new analytical tools for portfolio valuation on PlacementTracker, position us strongly in the market for new subscription sales and high renewal rates throughout the year."
About Sagient Research Systems
Sagient Research Systems is a publisher of independent research. We develop, produce, and sell proprietary research products to mutual funds, hedge funds, and investment banks. Our business strategy is to continue to leverage our development, technology, and marketing expertise to solidify our position as a leading provider of independent research to the financial services and institutional investment communities. For more information, please visit the Sagient Research Systems website at www.sagientresearch.com.
Safe Harbor Statement
Statements in this press release that are not statements of historical or current fact constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties, and other unknown factors that could cause the actual results of the Company to be materially different from the historical results or from any future results expressed or implied by such forward-looking statements. In addition to statements which explicitly describe such risks and uncertainties, readers are urged to consider statements labeled with the terms "believes," "belief," "expects," "intends," "anticipates," "will," or "plans" to be uncertain and forward-looking. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company's reports and registration statements filed with the Securities and Exchange Commission.