-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, EHKAoAG2Zff4gSREUgRWAW99FrWWOkJzhHZMWWx+pC7/BWL5IlNxR2RUXSAnhCMZ LW0zZ0CetolsQqYXJJEgyg== 0001022408-03-000017.txt : 20030814 0001022408-03-000017.hdr.sgml : 20030814 20030814094723 ACCESSION NUMBER: 0001022408-03-000017 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20030814 ITEM INFORMATION: FILED AS OF DATE: 20030814 FILER: COMPANY DATA: COMPANY CONFORMED NAME: EPLUS INC CENTRAL INDEX KEY: 0001022408 STANDARD INDUSTRIAL CLASSIFICATION: FINANCE LESSORS [6172] IRS NUMBER: 541817218 STATE OF INCORPORATION: DE FISCAL YEAR END: 0331 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-28926 FILM NUMBER: 03843673 BUSINESS ADDRESS: STREET 1: 400 HERNDON PARKWAY CITY: HERNDON STATE: VA ZIP: 20176 BUSINESS PHONE: 7038345710 MAIL ADDRESS: STREET 1: 400 HERNDON PARKWAY STREET 2: SUITE B CITY: HERNDON STATE: VA ZIP: 20170 FORMER COMPANY: FORMER CONFORMED NAME: MLC HOLDINGS INC DATE OF NAME CHANGE: 19960906 8-K 1 f_8k81403.txt 8K PRESS REL FOR FIRST QUARTER FINANCIALS Item 12. Regulation FD Disclosure. On August 13, 2003, The Registrant issued a press release reporting its financial results for the fiscal quarter ended June 30, 2003. The press release is attached hereto as Exhibit 99.1. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned duly authorized. Dated: August 14, 2003 /s/ STEVEN J. MENCARINI ------------------------ Steven J. Mencarini Chief Financial Officer EXHIBIT INDEX Exhibit 99.1 Press Release of the Registrant dated August 13, 2003 EX-99 3 exh99_1.txt 8/14/03 PRESS REL FOR FIRST QUARTER FINANCIALS Exhibit 99.1 Investor Relations: Kley Parkhurst, SVP ePlus inc. Tel: (703) 709-1924 kparkhurst@eplus.com ePlus Reports First Quarter Financial Results: Fully Diluted EPS Increases 26% TO $0.24 Revenues Increase 11% to $79.9 Million; Net Earnings Increase 17% to $2.3 Million; Company Adopts Strategic Sourcing Initiative HERNDON, VA - August 13, 2003- ePlus inc. (Nasdaq NM: PLUS - news), a leading provider of Enterprise Cost Management (ECM), today announced financial results for its first quarter ending June 30, 2003. For the quarter, as compared to the same period the prior fiscal year, total revenues increased 11% to $79.9 million from $72.2 million, net earnings increased 17% to $2.3 million from $2.0 million, and fully diluted earnings per share increased 26% to $0.24 from $0.19. Phillip G. Norton, chairman, president and CEO of ePlus stated, "This quarter's financial performance affirms our cost reduction strategy and the positive impact of our strategic sourcing initiatives. As we have previously announced, we completed the integration of our three technology sales companies into a single, more efficient operating unit. We've reduced overhead costs, such as reducing the headcount from about 590 on 6/30/02 to 565 today - and we've optimized our internal supply chain using our proprietary software. We believe this will result in higher margins, better controls, visibility, and financial reporting. Most importantly, our customers will get the benefit of enhanced services." The increase in total revenues for the quarter was driven by a 23% increase in Sales of Equipment. Mr. Norton continued "We believe the increased revenues result from greater demand for Enterprise Cost Management by customers who are seeking value added solutions. In addition, we continue to have success with Content+ and Procure+ in the Fortune 1000 marketplace. Our pipeline of new opportunities remains strong." ePlus' cash position declined from $27.8 million on 3/31/03 to $23.2 million on 6/30/03, due in part to a higher level of accounts receivable attributable to increased Sales of Equipment. Total Assets and Shareholders Equity on June 30, 2003 were $279.6 million and $112.0 million, respectively, as compared to $278.9 million and $109.6 million on March 31, 2003. -1- Highlights - ---------- o ePlus announced that it has been awarded a U.S. Patent No. 6,505,172, entitled "Electronic Sourcing System," which covers ePlus' technology for searching multiple catalogs from different suppliers simultaneously, checking inventory availability, and transferring information on selected items to generate purchase orders in an eProcurement, purchasing, ERP, or accounting system. o ePlus announced that the Hearst Corporation, one of the nation's largest diversified media companies, has purchased a license for Procure+ software to reduce process costs for MRO (maintenance, repair and operation) supplies, office supplies, and technology procurement. Hearst selected ePlus' Procure+ after a yearlong due diligence study that encompassed an extensive set of vendor criteria, including the ability to work within Hearst's existing procurement structure and meet its demanding technology requirements. o ePlus announced a new version of its leading asset management software, Manage+ v4.0, which includes a Software License Management Module solution for enterprise-wide software license management, including tracking, compliance, integration with auto discovery tools, and an unique reconciliation function that eliminates duplicate assignment of seat licenses. o ePlus announced that it achieved the Cisco Gold Certification Status, and was named one of Cisco's Two Tier Partner of the Year. The financial results presented herein are unaudited. Investors are encouraged to review the company's Form 10-Q which will be filed on or around August 14, 2003 and to review other SEC filings including the company's audited financial statements contained in Form 10-K. Conference Call Scheduled for Friday, August 15th at 11:00 A.M. - --------------------------------------------------------------- The Company will host a conference call at 11 a.m. on Friday, August 15, 2003. To listen, please call (973) 339-3086 or toll-free (800) 683-1535. Ask to be connected to the ePlus conference call. Live and archived webcasts can be accessed from http://www.eplus.com/news/080603.htm. A telephone replay of the conference call will be available by calling (877) 519-4471 or (973) 341-3080, and entering the passcode 3971950 beginning at about 2:00 P.M. on August 15th through August 29th. About ePlus inc. A leading provider of Enterprise Cost Management, ePlus provides a comprehensive solution to reduce the costs of purchasing, owning, and financing goods and services. ePlus Enterprise Cost Management (eECM) packages business process outsourcing, eProcurement, asset management, supplier enablement, strategic -2- sourcing, and financial services into a single integrated solution, all based on ePlus' leading business application software. Profitable since inception in 1990, the company is headquartered in Herndon, VA, and has more than 30 locations in the U.S. For more information, visit www.eplus.com, call 888-482-1122 or email info@eplus.com. ePlus(TM), Procure+(TM) , and Manage+(TM) are trademarks of ePlus inc. ePlus Enterprise Cost Management, and eECM, are trademarks applied for of ePlus inc. Other marks referenced herein are property of their respective owners. "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release, which are not historical facts, may be deemed to be "forward-looking statements". Actual and anticipated future results may vary due to certain risks and uncertainties, including, without limitation, the existence of demand for, and acceptance of, our services; our ability to adapt our services to meet changes in market developments; the impact of competition in our markets; the possibility of defects in our products or catalog content data; our ability to hire and retain sufficient personnel; our ability to protect our intellectual property; the creditworthiness of our customers; our ability to raise capital and obtain non-recourse financing for our transactions; our ability to realize our investment in leased equipment; our ability to reserve adequately for credit losses; fluctuations in our operating results; our reliance on our management team; and other risks or uncertainties detailed in our Securities and Exchange Commission filings. -3- ePlus inc. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED) Three Months Ended June 30, 2002 2003 --------------------------------- REVENUES Sales of product $52,886,739 $65,295,787 Sales of leased equipment 4,611,303 - --------------------------------- 57,498,042 65,295,787 Lease revenues 10,575,403 12,375,547 Fee and other income 4,101,835 2,196,184 --------------------------------- 14,677,238 14,571,731 --------------------------------- TOTAL REVENUES 72,175,280 79,867,518 --------------------------------- COSTS AND EXPENSES Cost of sales, product 46,183,424 57,511,924 Cost of sales, leased equipment 4,535,001 - --------------------------------- 50,718,425 57,511,924 Direct lease costs 910,776 2,348,130 Professional and other fees 773,073 516,045 Salaries and benefits 10,384,783 10,147,191 General and administrative expenses 3,628,301 3,816,453 Interest and financing costs 2,410,584 1,746,349 --------------------------------- 18,107,517 18,574,168 --------------------------------- TOTAL COSTS AND EXPENSES 68,825,942 76,086,092 --------------------------------- EARNINGS BEFORE PROVISION FOR INCOME TAXES 3,349,338 3,781,426 --------------------------------- PROVISION FOR INCOME TAXES 1,373,203 1,478,098 --------------------------------- NET EARNINGS $1,976,135 $2,303,328 ================================= NET EARNINGS PER COMMON SHARE - BASIC $0.19 $0.24 ================================= NET EARNINGS PER COMMON SHARE - DILUTED $0.19 $0.24 ================================= WEIGHTED AVERAGE SHARES OUTSTANDING - BASIC 10,404,895 9,455,381 WEIGHTED AVERAGE SHARES OUTSTANDING - DILUTED 10,506,489 9,601,499 -4- -----END PRIVACY-ENHANCED MESSAGE-----