EX-99 2 v310795_ex99.htm PRESS RELEASE

Exhibit 99

 

News Release

 

   

 

 

 

Release Date: April 26, 2012 Contact: Peter J. Rogers, Jr.
    Executive Vice President, Investor Relations
    443-285-8059
    progers@micros.com

 

 

MICROS Reports Fiscal 2012 Third Quarter Results

Record Third Quarter Revenue, Net Income and EPS

Results Exceed Expectations

 

Columbia, MD – April 26, 2012—MICROS Systems, Inc. (NASDAQ:MCRS), a leading provider of information technology solutions for the hospitality and retail industries, today announced the results for its fiscal 2012 third quarter ended March 31, 2012.

 

FINANCIAL HIGHLIGHTS

 

·Revenue for the quarter was $278.0 million, an increase of $24.9 million, or 9.8%, versus the same period last year.

 

·Revenue for the nine-month period was $805.0 million, an increase of $71.3 million, or 9.7% over the same period last year.

 

·GAAP net income for the quarter was $43.2 million, an increase of $4.7 million, or 12.1%, over the same period last year.

 

·GAAP net income for the nine-month period was $118.8 million, an increase of $16.2 million, or 15.8%, over the same period last year.

 

·GAAP diluted earnings per share (EPS) for the quarter was $0.53 per share, an increase of $0.06, or 12.8%, over the same period last year.

 

·GAAP diluted EPS for the nine-month period was $1.45, an increase of $0.21, or 16.9%, over the same period last year.

 

·Non-GAAP financial results, excluding the effect of charges for stock options, are as follows:

 

-Non-GAAP net income for the quarter was $45.6 million, an increase of $5.2 million, or 13.0%, over the year ago period.

 

-Non-GAAP net income for the nine-month period was $127.0 million, an increase of $16.3 million, or 14.8%, over the year ago period.

 

-Non-GAAP diluted EPS for the quarter was $0.56, an increase of $0.07, or 14.3%, over the year ago period.

 

-Non-GAAP diluted EPS for the nine-month period was $1.55, an increase of $0.21, or 15.7%, over the year ago period.

  

 

 

 
 

  

·MICROS’s revenue, net income and EPS results were Company records for a third fiscal quarter and exceeded consensus expectations.

 

 

Tom Giannopoulos, MICROS’s Chairman and CEO, stated, “We are very pleased with our record results for the third fiscal quarter amidst a challenging economy. We continue to execute well with new products and sales initiatives. We look forward to a successful conclusion to our fiscal year 2012.”

 

 

MICROS’s stock is traded through NASDAQ under the symbol MCRS. Some of the statements contained herein not based on historic facts are forward-looking statements that involve risks and uncertainties MICROS is subject to, among others, the following uncertainties and risks: product demand and market acceptance; impact of competitive products and pricing on margins; product development delays and technological difficulties; controlling expenses as MICROS continues to expand; the ability to obtain on acceptable terms the right to incorporate in MICROS’s products and services technology patented by others; the risk that there are actual or perceived security vulnerabilities in MICROS’s products; adverse results in legal disputes resulting in liabilities that exceed reserves; unanticipated tax liabilities; the effects of terrorist activity and armed conflict; the effects of major environmental disasters; weakening in general economic conditions that adversely affect demand for computer hardware or software; and currency fluctuations.

 

All information in this release is as of April 26, 2012. MICROS undertakes no duty to update any forward-looking statement to conform the statement to actual results or changes in MICROS’s expectations.

 

For further information regarding risks and uncertainties associated with MICROS’s business, please refer to the “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Business and Investment Risks” sections of MICROS’s SEC filings, including, but not limited to, its annual report on Form 10-K and quarterly reports on Form 10-Q, copies of which may be obtained by contacting MICROS’s investor relations department at 443-285-8059 or at MICROS’s website at http://www.micros.com.

 

###

 

The MICROS logo is a registered trademark of MICROS Systems, Inc.
All other product and brand names are the property of their respective owners.

 

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MICROS SYSTEMS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited - in thousands, except per share amounts)

 

   Three Months Ended    Nine Months Ended  
   March 31,    March 31,  
   2012  2011   2012   2011 
Revenue:                  
Hardware  $63,045  $49,901   $168,881   $142,008 
Software  37,577   31,075    105,402    92,043 
Service  177,422   172,217    530,722    499,673 
Total revenue  278,044   253,193    805,005    733,724 
                   
Cost of sales:                  
Hardware  40,187   31,827    106,988    93,135 
Software  5,838   5,288    14,991    16,034 
Service  79,426   74,675    233,611    219,299 
Stock option expense  58   25    143    87 
Total cost of sales  125,509   111,815    355,733    328,555 
                   
Gross margin  152,535   141,378    449,272    405,169 
                   
Selling, general and administrative expenses  75,938   71,739    225,241    202,282 
Research and development expenses  13,417   11,649    36,616    33,116 
Depreciation and amortization  3,523   3,548    11,383    11,911 
Litigation reserve  0   0    0    3,000 
Stock option expense  3,710   2,536    12,406    9,434 
Total operating expenses  96,588   89,472    285,646    259,743 
                   
Income from operations  55,947   51,906    163,626    145,426 
Non-operating income (expense):                  
Interest income, net  1,605   1,013    5,185    3,465 
Interest expense - litigation reserve  -   -    -    (360)
Change in credit based impairment, net of realized gain on redemption  -   -    -    19 
Other non-operating income (expense), net  6   (337)   203    (732)
Total non-operating income, net  1,611   676    5,388    2,392 
                   
Income before taxes  57,558   52,582    169,014    147,818 
Income tax provision  14,102   13,724    49,992    44,766 
Net income  43,456   38,858    119,022    103,052 
Less:  Net income attributable to noncontrolling interest  (209)   (279)   (258)   (529)
                   
Net Income attributable to MICROS Systems, Inc. (GAAP)  $43,247  $38,579   $118,764   $102,523 
                   
Net Income per diluted common share attributable to
MICROS Systems, Inc.
  $0.53  $0.47   $1.45   $1.24 
Weighted-average number of shares outstanding - diluted  82,008   82,913    82,127    82,562 

 

 

Reconciliation of GAAP Net Income and EPS attributable to MICROS Systems, Inc. to
Non-GAAP Net Income and EPS attributable to MICROS Systems, Inc.

Net Income attributable to MICROS Systems, Inc.  $43,247  $38,579   $118,764   $102,523 
Add back:                  
Stock option expense                  
   Selling, general and administrative expenses  3,446   2,419    11,528    9,066 
   Research and development expenses  264   117    878    368 
   Cost of sales  58   25    143    87 
   3,768   2,561    12,549    9,521 
Litigation reserve, including accrued interest expense  -   -    -    3,360 
Credit based impairment charge, net of realized gain on redemption  -   -    -    (19)
Total add back  3,768   2,561    12,549    12,862 
                   
Subtract tax effect on:                  
Stock option expense  1,441   802    4,344    3,457 
Litigation reserve, including accrued interest expense  -   -    -    1,280 
Non-GAAP Net Income attributable to MICROS Systems, Inc.  $45,574  $40,338   $126,969   $110,648 
                   
Non-GAAP Net Income per Diluted Common Share attributable to MICROS Systems, Inc.  $0.56  $0.49   $1.55   $1.34 

 

 

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We believe the inclusion of the above non-GAAP measure will be useful to investors because it will enhance the comparability of our current period results to prior periods' results without comparable charges. We also believe inclusion of this measure will enhance comparability of our results to results of our competitors and to the analysts’ forecasts because the analysts typically forecast excluding the effect of share-based payment charge and above one time charges, the non-GAAP measure. In addition, our management uses this measure to evaluate our operating performance and compare our results to our competitors. Management also uses this measure as a metric to measure performance under our executive compensation program.

 

The Company notes that non-GAAP financial measures are not based on a comprehensive set of accounting rules or principles. Instead, they are based on subjective determinations by management designed to supplement our GAAP financial measures. They are subject to a number of important limitations and should be considered only in conjunction with our consolidated financial statements prepared in accordance with GAAP. Among the limitations on the use of the non-GAAP measure are the following:

 

-The exclusion of non-GAAP items can have a significant impact on reported GAAP net income and diluted net income per share.
-Other companies may calculate non-GAAP net income and non-GAAP net income per share differently than MICROS does, limiting the usefulness of those measures for comparative purposes.

 

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News  
Release Date: April 26, 2012 Contact:    Peter J. Rogers, Jr  
4/26/2012 10:46    EVP, Investor Relations  
     443-285-8059    

 

 

MICROS SYSTEMS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited - in thousands)

 

   March 31,
2012
   June 30,
2011
 
ASSETS        
Current assets:          
    Cash and cash equivalents and short-term investments  $816,019   $780,265 
    Accounts receivable, net   208,304    181,833 
    Inventory   36,715    38,119 
    Deferred income taxes   20,602    21,036 
    Prepaid expenses and other current assets   40,793    30,454 
          Total current assets   1,122,433    1,051,707 
           
Long-term investments   47,521    46,226 
Property, plant and equipment, net   32,183    28,145 
Deferred income taxes, non-current   23,220    20,798 
Goodwill   239,152    242,319 
Intangible assets, net   15,519    19,293 
Purchased and internally developed software costs, net   19,261    18,710 
Other assets   5,482    5,820 
Total Assets  $1,504,771   $1,433,018 
           
LIABILITIES AND EQUITY          
Current liabilities:          
    Accounts payable  $53,684   $54,851 
    Accrued expenses and other current liabilities   149,603    148,901 
    Income taxes payable   3,511    7,705 
    Deferred revenue   170,513    143,238 
        Total current liabilities   377,311    354,695 
           
Income taxes payable, non-current   32,646    32,309 
Deferred income taxes, non-current   6,213    8,261 
Other non-current liabilities   15,991    14,502 
        Total liabilities   432,161    409,767 
           
Commitments and contingencies          
           
Equity:          
 MICROS Systems, Inc. shareholders’ equity:          
    Common stock   2,007    2,020 
    Capital in excess of par   106,834    132,529 
    Retained earnings   952,603    833,839 
    Accumulated other comprehensive income   7,452    48,323 
         Total MICROS Systems, Inc. shareholders’ equity   1,068,896    1,016,711 
 Noncontrolling interest   3,714    6,540 
Total Equity   1,072,610    1,023,251 
           
Total Liabilities and Equity  $1,504,771   $1,433,018 

  

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