TROY, N.Y.--(BUSINESS WIRE)--Jan.20, 2005--MapInfo Corporation (NASDAQ:MAPS) today reported that net income for the first quarter of fiscal 2005 nearly doubled to $1.2 million, or $0.06 per share, versus $637,000, or $0.04 per share in the same quarter last year.Earnings for the quarter included $0.05 per share in net charges, as announced on January 11, related to the write-off of the remaining value of the company's equity investment in Alps Mapping, Co., Ltd.partially offset by a benefit resulting from recent changes in the United States tax laws.Revenue for the first quarter of 2005 reached $34.7 million, the highest quarterly revenue in the history of the company, and representing a 21 percent increase over the prior year's $28.6 million.
Financial highlights for the quarter include:
- For the seventh consecutive quarter, MapInfo reported ayear-over-year gain in both operating income and operatingmargin. Operating income nearly tripled to $3.1 million,resulting in an operating margin of 9.0 percent, more than double the prior year operating margin.
- Cash and investments as of December 31, 2004 were $67.3million and cash from operations grew by $1.9 million during the quarter.
- Total deferred revenues were $17.3 million at the end of the quarter.
"In the first quarter MapInfo demonstrated its consistent execution capability, as we continued to penetrate our target vertical markets and advance our 2005 growth initiatives," said Mark Cattini, president and chief executive officer."We are satisfied with our performance in all of our target vertical markets, however, the public sector stood out on the strength of customer wins and the addition of Southbank Systems, a company specializing in infrastructure management software. The integration of Southbank Systems is progressing well and we already have several cross-selling engagements underway.In addition, the offerings we introduced last year - Envinsa(TM), MapXtreme(R) 2004 and Exponare(TM) - are gaining traction with additional implementations that extend the use of location-based solutions across an organization. Most importantly, revenue growth this quarter was well in excess of the operating expense additions associated with the Southbank acquisition, which, together with our commitment to cost discipline, pushed our operational return to its highest first quarter level."
Added Cattini, "Today, MapInfo is a much stronger company than a year ago.Our vertical market strategy is succeeding in solidifying our competitive position, the pipeline for Envinsa continues to grow and we are responding to an increasing number of RFPs.Building on the headway we made in the first quarter toward achieving our objectives, we plan to deliver increasingly profitable growth in 2005."
MapInfo reaffirms its guidance for fiscal 2005 that anticipates revenues in the range of $149 million to $154 million, a full year operating margin of approximately 12 percent and earnings per share in the range of $0.42 to $0.46.Full year EPS guidance includes $0.05 per share related to the write-off of the remaining value of the company's equity investment in Alps Mapping, Co., Ltd.partially offset by a benefit resulting from recent changes in the United States tax laws.
For the second quarter of fiscal 2005, the company expects earnings per share of approximately $0.12 on revenue between $36 million and $37 million.For the second quarter of fiscal 2004, the company reported earnings per share of $0.07 on revenue of $31.4 million.
The MapInfo First Fiscal Quarter Earnings Conference Call will be held at 10:00AM (EST) on Thursday, January 20, 2005.The conference call will be Webcast live at www.vcall.com.An audio replay of the call will be available starting at 12:00 Noon (EST) on January 20, 2005 through 5:30 PM (EST) on January 27, 2005.To access the recording, domestic callers may dial into 877-519-4471 and international callers into 973-341-3080 (passcode: 5564518).Replays of the Webcast are also available at www.vcall.com for 90 days following the call and at www.mapinfo.com/investors.
MapInfo Corporation is a global company that integrates software, data and services to help customers realize greater value from location-based information and drive more insightful decisions.MapInfo solutions are available in 20 languages through a network of strategic partners and distribution channels in 60 countries.Headquartered in Troy, NY, MapInfo Corporation is on the World Wide Web at www.mapinfo.com.
Statements in this press release regarding MapInfo's future
financial performance, including statements regarding future revenue
and earnings per share, statements regarding the broadening of usage of
MapInfo's products in targeted vertical markets, statements about the
integration of Southbank Systems, statements regarding the prospects of
favorable business conditions, and any other statements about
management's future expectations, beliefs, goals, plans or prospects
constitute forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995.MapInfo's actual results
could differ materially from those stated or implied in forward-looking
statements due to a number of factors, including those factors
contained in the Company's annual report on Form 10-K under the section
"Risk Factors" as well as other documents that may be filed by MapInfo
from time to time with the Securities and Exchange Commission.
Forward-looking statements can be identified by forward-looking words
such as "anticipate," "believe," "could," "estimate," "expect,"
"intend," "may," "should," "will" and "would" or similar words.MapInfo
assumes no obligations to update the information included in this press