EX-99.1 2 a05-7701_1ex99d1.htm EX-99.1

Exhibit 99.1

 

News

 

micros ®

 

 

 

 

 

 

MICROS Systems, Inc.

 

 

 

7031 Columbia Gateway Drive

 

 

 

Columbia, Maryland 21046-2289

 

 

 

 

 

 

Release Date: April 28, 2005

Contact:

Peter J. Rogers, Jr.

 

 

 

Vice President, Investor Relations

 

 

 

(443) 285-8059

 

 

 

progers@micros.com

 

 

MICROS REPORTS FISCAL 2005 THIRD QUARTER RESULTS:

RECORD REVENUE, NET INCOME AND EPS;

REVENUE, NET INCOME AND EPS EXCEED EXPECTATIONS

 

Columbia, Maryland... MICROS Systems, Inc.  (Nasdaq:MCRS), a leading supplier of information systems to the hospitality and retail industries, today announced the results for its fiscal 2005 third quarter ended March 31, 2005.   Revenue for the quarter was $153.4 million, an increase of $32.4 million, or 26.8%, over the same period last year.  Net income for the quarter was $14.2 million, an increase of $6.7 million, or 88.6%, over the year ago third quarter.  Earnings per share, on a diluted basis, were $0.35, an increase of $0.16 per share, or 84.2%, over the year ago earnings of $0.19 per share. The quarterly revenue, net income and earnings per share are Company records. The earnings per share results reflect the February 2005 two-for-one stock split, effected in the form of a 100% stock dividend.

 

Revenue, net income and earnings per share results exceeded consensus expectations.

 

For the nine-month period ending March 31, 2005, MICROS’s revenue was $425.2 million, an increase of $80.6 million, or 23.4%, over the same period in fiscal 2004.  Net income for the nine-month period was $35.6 million, an increase of $14.8 million, or 70.8%, over the same period in fiscal 2004.  Earnings per share, on a diluted basis, were $0.90, an increase of $0.36 per share, or 66.7%, over the earnings of $0.54 per share for the same period in fiscal 2004. The earnings per share results reflect the February 2005 two-for-one stock split, effected in the form of a 100% stock dividend.

 

Tom Giannopoulos, MICROS’s Chairman and CEO, stated, “The record financial results reflect the strength of our products and services in our market segments: hotels, restaurants, and specialty retail.  We look forward to a strong fourth quarter and another record year for revenue, net income and earnings per share.”

 

MICROS’s guidance for the fiscal 2005 fourth quarter ending June 30, 2005 has been increased to revenue between $155.0 million and $162.0 million and net income between $14.5 million and $16.5 million. MICROS’s guidance for the fiscal 2005 year ending June 30, 2005, has been increased to revenue between $580.2 million and $587.2 million and net income between $50.0 million and $52.0 million.

 

Some of the statements contained herein are not based on historic facts but are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.  Statements in the release that are forward-looking statements include Mr. Giannopoulos’s statements above and our statements about guidance for the fiscal 2005 fourth quarter and fiscal 2005 year ending June 30, 2005. These statements are based upon MICROS’s current expectations and assumptions and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated. Some of those risks and uncertainties are: product demand and market acceptance; adverse economic factors; impact of competitive products and pricing on margins; product development delays and technological difficulties; and aggressively controlling expenses.  Other risks and uncertainties are indicated in the MICROS Annual Report on Form 10-K for the fiscal year ending June 30, 2004 and in other filings made by MICROS with the Securities and Exchange Commission.  MICROS assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.

 

1



 

MICROS SYSTEMS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited - in thousands, except per share amounts)

 

 

 

Third Quarter Ended March 31,

 

Nine Months Ended March 31,

 

 

 

2005

 

2004

 

2005

 

2004

 

 

 

 

 

 

 

 

 

 

 

Revenue:

 

 

 

 

 

 

 

 

 

Hardware

 

$

49,871

 

$

35,811

 

$

131,804

 

$

104,057

 

Software

 

28,762

 

21,509

 

75,183

 

58,273

 

Service

 

74,719

 

63,647

 

218,257

 

182,308

 

Total revenue

 

153,352

 

120,967

 

425,244

 

344,638

 

 

 

 

 

 

 

 

 

 

 

Cost of sales:

 

 

 

 

 

 

 

 

 

Hardware

 

32,628

 

23,705

 

88,220

 

72,162

 

Software

 

6,704

 

5,471

 

17,965

 

14,312

 

Service

 

36,226

 

29,665

 

105,040

 

82,831

 

Total cost of sales

 

75,558

 

58,841

 

211,225

 

169,305

 

 

 

 

 

 

 

 

 

 

 

Gross margin

 

77,794

 

62,126

 

214,019

 

175,333

 

 

 

 

 

 

 

 

 

 

 

Selling, general and administrative expenses

 

48,540

 

40,375

 

134,397

 

114,065

 

Research and development expenses

 

7,201

 

6,623

 

20,864

 

19,957

 

Depreciation and amortization

 

2,681

 

2,330

 

7,627

 

7,078

 

Total operating expenses

 

58,422

 

49,328

 

162,888

 

141,100

 

 

 

 

 

 

 

 

 

 

 

Income from operations

 

19,372

 

12,798

 

51,131

 

34,233

 

 

 

 

 

 

 

 

 

 

 

Non-operating income (expense), net

 

(254

)

117

 

1,081

 

1,573

 

 

 

 

 

 

 

 

 

 

 

Income before taxes, minority interest, and equity in net Earnings of affiliates

 

19,118

 

12,915

 

52,212

 

35,806

 

 

 

 

 

 

 

 

 

 

 

Income tax provision

 

4,777

 

5,230

 

16,029

 

14,501

 

 

 

 

 

 

 

 

 

 

 

Income before minority interest and equity in net earnings of affiliates

 

 

 

 

 

 

 

 

 

 

 

14,341

 

7,685

 

36,183

 

21,305

 

Minority interest and equity in net earnings of affiliates

 

(163

)

(168

)

(591

)

(471

)

 

 

 

 

 

 

 

 

 

 

Net income

 

$

14,178

 

$

7,517

 

$

35,592

 

$

20,834

 

 

 

 

 

 

 

 

 

 

 

Net income per common share:

 

 

 

 

 

 

 

 

 

Basic

 

$

0.37

 

$

0.20

 

$

0.96

 

$

0.57

 

Diluted

 

$

0.35

 

$

0.19

 

$

0.90

 

$

0.54

 

 

 

 

 

 

 

 

 

 

 

Weighted-average number of shares outstanding:

 

 

 

 

 

 

 

 

 

Basic

 

37,885

 

36,771

 

37,255

 

36,398

 

Diluted

 

40,112

 

38,877

 

39,562

 

38,374

 

 

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MICROS SYSTEMS, INC.
CONSOLIDATED BALANCE SHEET

(Unaudited - in thousands, except per share amounts)

 

 

 

March 31,

 

June 30,

 

 

 

2005

 

2004

 

ASSETS

 

 

 

 

 

Current assets:

 

 

 

 

 

Cash and cash equivalents

 

$

93,925

 

$

83,451

 

Short term investments

 

22,000

 

8,000

 

Accounts receivable, net

 

124,830

 

101,367

 

Inventories, net

 

44,754

 

36,095

 

Deferred income taxes

 

7,971

 

9,396

 

Prepaid expenses and other current assets

 

33,599

 

16,242

 

Total current assets

 

327,079

 

254,551

 

 

 

 

 

 

 

Property, plant and equipment, net

 

21,285

 

19,550

 

Deferred income taxes, non-current

 

25,923

 

24,288

 

Goodwill, net

 

80,451

 

70,715

 

Intangible assets, net

 

6,945

 

5,476

 

Purchased and internally developed software costs, net

 

40,561

 

41,112

 

Investments

 

411

 

415

 

Other assets

 

2,016

 

2,785

 

Total assets

 

$

504,671

 

$

418,892

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

 

 

Current liabilities:

 

 

 

 

 

Bank lines of credit

 

$

2,585

 

$

2,481

 

Current portion of capital lease obligations

 

194

 

139

 

Accounts payable

 

29,865

 

29,681

 

Accrued expenses and other current liabilities

 

66,336

 

58,693

 

Income taxes payable

 

2,992

 

1,541

 

Deferred income taxes

 

956

 

512

 

Deferred service revenue

 

61,147

 

43,019

 

Total current liabilities

 

164,075

 

136,066

 

 

 

 

 

 

 

Capital lease obligations, net of current portion

 

184

 

166

 

Deferred income taxes, non-current

 

16,511

 

15,544

 

Other non-current liabilities

 

1,507

 

1,401

 

Commitments and contingencies

 

 

 

 

 

Minority interests

 

2,881

 

2,742

 

 

 

 

 

 

 

Shareholders’ equity:

 

 

 

 

 

Common stock

 

475

 

457

 

Capital in excess of par

 

86,494

 

71,525

 

Retained earnings

 

221,250

 

185,660

 

Accumulated other comprehensive loss

 

11,294

 

5,331

 

Total shareholders’ equity

 

319,513

 

262,973

 

 

 

 

 

 

 

Total liabilities and shareholders’ equity

 

$

504,671

 

$

418,892

 

 

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